Comment 16 for bug 773433

Just for fun I installed xfce (apt-get install xubuntu-desktop). This doesn't change the hardware, the kernel, or any drivers, factoring them out of the equation. The result? My touchpad works flawlessly with xfce, where it does not under unity or gnome-classic.

The solution for me is simple - bye-bye unity/gnome, hello xfce!