Laser mouse based DRO

I noticed through checking previous posts that one of the main
problems of using mouse based components for a DIY DRO was the coarse
resolution (usually > .001"). The solution of gears or pulleys to
increase the effective resolution introduces potential backlash and
slippage errors into the system. Logitech recently came out with 2
laser mice with 2000 dpi resolution. The corded version is shown
here:
<<http://www.logitech.com/index.cfm/products/details/US/EN,CRID=2464,CONTENTID=10715>>

This resolution should be plenty adequate for a DRO if the
communication to the PC is reliable. Past posts have remarked that
the programming could be as simple as a few lines of visual basic to
make a mouse based DRO out of an old computer. I was curious if
anyone has looked into the new higher resolution mice for this.

Unfortunately, I do not have a shop space right now, but I still still
ponder this sort of thing in anticipation of eventually having shop
space again. When I did machine regularly, most of the parts, or the
machined areas of the parts, would easily fit into an 8" X 8" X-Y
envelop.

A laser mouse mounted stationary relative to a movable target fixed to
the mill table could provide an economical DRO for a high percentage
of work encountered. (Froogle can find the mouse for < $60 US) Of
course the target and mouse would have to be shielded from chips and
coolant, but this would be easy enough to do. The target could be a
piece of thin plate with a paper surface adhered to it. The paper
would be printed with a pattern to enhance legibility by the mouse
like the pattern found on trackball balls. A box or other covering
scheme could be used to keep the mouse and target clean and protected.
It would be easiest to mount the setup on top of the mill table,
however this would effectively decrease the workable envelop of the
mill. If the common use of the individula machine would not allow for
this, the setup could be mounted underneath the table.

I am interested in comments as to the feasibility of using a high
resolution mouse like this in a homemade DRO in this way, especially
in the reliability department.

Regards,

Howard Bailey