Nvidia Control Panel problem upon upgrade.

I was given a GTS 250 as an upgrade to my existing 7800 GT.

PSU, though not supreme is a Thermaltake 500W with 30a on the 12v rail. The specs. are telling me that 24a should be enough.

How it started: uninstalled all Nvidia programs (Monitor, PhysX, etc.) Then through Device Manager, I uninstalled the video card. Shutdown the system.

Dusted out the system, a little cable management, and removed the old 7800GT. popped in the new GTS250.

booted her up, installed the new video drivers from the CD that came with the card. Cool.
Went to nvidia's website, got the latest drivers. 257.21 Installed them.
After the reboot I started to notice that the cursor would freeze for only a millisecond (what I perceived as such) then would continue. Except this occurred every 2/3rds of a second.
Updated chipset drivers
flashed BIOS
downgraded to Nvidia diplay drivers 197.
Long Story Short (ha!) I checked my running processes and nvsvc32.exe is running between 10-20% all the time.

At a loss here, guys. I can kill it, and it fixes the problem, but I should have to.

Any ideas?
-Thanks