I found the perfect fix. Unfortunately it wont be popular...
I installed windows xp downloaded the drivers from Samsung and hey presto it works perfectly. I also get better battery life and performance all around. Scrolling is smooth and surfing the web is much improved. I tied using Ubuntu Netbook Remix for 5 months and no doubt I'll try it again but at the moment unless you're a real linux enthusiast I would recommend xp. I haven't tried win 7 or jolicloud or any of the other distros but I think it will still involve some tinkering to get a comparable experience to xp.
so you installed a 10 years old operating system - though you had to strip it down. did you own it? have you paid for it? or is it an illegal copy?
for me, the bloated win7 that came with this laptop just was not usable. i do wonder how other customers deal with it after spending 300$ on a machine that is annoyingly slow.