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I'm not even sure where to start looking for the problem. I can type fine one character at a time, but any time I hold down a key, it is not repeated and I have to repeatedly press it manually.
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What kind of DE or WM are you using? You may change this behavior using the xset tool.
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I'm using i3. And you're right, I got it working with xset r on. However, it seems that if I use xset anywhere in my xinitrc, x fails to start without any meaningful error messages, not in the log or in stdout/stderr.
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