I've got a GF3 ti200 running Det.v.23.11. My problem started after installing Harry Potter (for my kid). At the menu, the mouse pointer updates around 1fps. I eventually got the pointer where I wanted and launched a game, same problem. This problem is also manifested with Midtown Madness 2, another D3D game. I tried OpenGL (Quake 1 and Alice) and it is not affected, neither ingame nor in menus. I checked DXDiag and the directdraw test that uses the bouncing box, in fullscreen mode, has the ~1fps problem, as does D3D test. I'm using DirectX 8.1.
If I reboot this problem goes away, at least for a while. Something fishy is going on, I just don't know what. I've heard 23.11 is a good release, and it has been for me, until Harry Potter took up residence in my computer.