That fix completely solved the issue for me. I can select sensitivities well above 1.0x without getting jumpy cursors like I was before I applied the update. I applied the registry fix, did the ShimFlushCache step, then rebooted and that fixed the problem. Mouse also seems slightly more responsive as well.
I notice that osu! seems to be taking longer to load with the fix, but that's a really minor issue compared to jumpy mouse.
I notice that osu! seems to be taking longer to load with the fix, but that's a really minor issue compared to jumpy mouse.