Pointer gets stuck when moving between Mac and iPad

I don't have any answers for you. Occasionally it takes a few bumps of the cursor against the edge of the screen to get the cursor to move across to my iPad. Once it's over there, things work seamlessly though.

Have you looked in the Display "arrangement" in the Neo's settings? Are the devices arranged in physical space the same as they're set in the settings?

You may find my recent post interesting. I'm also on a Neo and iPad setup. I simplified the slides in that post to address the cursor question.

MacBook and iPad: External display uncont… - Apple Community

The complete setup: the Neo is running a 65" 4K display, plus TWO iPads (Mini A17 Pro, M4 Pro 13").

I have since discovered that the A-chip iPads will only support external screen mirroring, while the M-chip can actually do Extended Desktop on top of their own screen space.

To complicate matters: the iPad Pro is sitting on a Magic Keyboard (for smart-connector charging). I sometimes find myself using the Smart Keyboard to drive the cursor(s) on the Mac, which seems crazy to me.

While that doesn't answer your question, it does give you some ideas of how far you can take Universal Control.

You mentioned a mouse. You're using a mouse and trackpad? Or mostly just the mouse? What happens if you use the trackpad?

I'm typing this in the Neo's window, using the iPad Pro and its Magic Keyboard. 100% functional.

I do notice that if I swap between the iPad trackpad and the Neo trackpad, the cursor jumps immediately to that display. It looks like I also have to be very deliberate in my use of the other device.

I must click into the editor window on the Neo before typing but I must do it with the trackpad associate with that keyboard I intend to use. If I click into this editor window with the Neo but, then start typing from the iPad keyboard, it doesn't respond.

I imagine this is something in the programming, deciding which device gets the control handed to.

Using the mouse might also introduce some confusion for the Neo when trying to resolve the last place clicked, vs the trackpad, vs touch-screen stuff on the iPad.

When you are using multiple displays in Extended desktop, they are ALWAYS arranged.

This older version of the Arrange pane on the Mac is more helpful for me to understand arrangement