Thanks for all the pointers and suggestions! This forum seems far more helpful than Kobo itself. The original touch problem I had seemed mostly related to swipe. Swiping pages would occasionally result in touch stopping to work. Since a reboot solved it and it wasn't too frequent I just let it go. I did try contacting kobo back then, but it was tedious business (ie did I try turning it on and off (duh), etc) and they stopped replying.
I tried debugging it (there should be some old thread here somewhere) and it seemed that the touch events were not being emitted by the kernel/driver, so it was probably either a driver bug or a hardware issue. I had hopes that a firmware update might solve it, but it never did.
I'm in canada so we get a year warranty by law (?). I purchased the device 14 months ago
I didn't realize that there are ir detectors on the edge. I'll try cleaning it, though I would expect dust buildup to affect some regions but not all simultaneously.
I decided to get a nexus 7 for my ereading purposes. Not as good as a dedicated reader but adequate for my needs. So far no touch problems on the nexus 7!
Thanks again.
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