Okay, I found the patch that produces my regression:
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From bc794829141f28e14fe7d0e07e35870bd9aee78c Mon Sep 17 00:00:00 2001
From: Patrik Jakobsson patrik.r.jakobsson@gmail.com Date: Mon, 21 May 2012 15:27:30 +0100 Subject: [PATCH 143/209] gma500: handle poulsbo cursor restriction
Poulsbo needs a physical address in the cursor base register. We allocate a stolen memory buffer and copy the cursor image provided by userspace into it. When/If we get our own userspace driver we can map this stolen memory directly. The patch also adds a mark in chip ops so we can identify devices that has this requirement. ----------------------------------------------------------------------------
When I modify the patch that psb_chip_ops.cursor_needs_phys doesn't get initialized to 1, then the display doesn't get displaced.