Hi i have been hacking around with a ps2 mouse, i have added support for mousewheel and more output for button presses compared to the code at the playground.
I havent found any thing to use it for yet, but there might be somone here that could use it ?
http://rotand.dk/blog/wp-content/ps2mouse.pde (blog post http://rotand.dk/blog/2007/11/21/arduino-ps2-mouse/)
just downloaded you sketch and will try it later when i get my soldering gear in order.