My Magic Mouse periodically randomly loses connection to my macbook, sitting approximately a foot and a half away from it. There are no software updates available for Snow Leopard (10.6.3). I have a bluetooth keyboard (that sits a little closer to the macbook, though I'm not sure this is the issue) that rarely suffers from this problem.

Google results mostly suggest to update the software but I have the most updated version of it already.

Does anybody have any idea what could be causing the issue? Is this simply a defective mouse?

Additional info: I tried replacing the batteries with new ones, making sure they are sitting tightly in their position with no change in behavior (still disconnects periodically). Also, this doesn't seem to be a problem that the mouse is turning itself off to save battery - it does not reconnect when I move or click it. If I wait long enough (a couple of minutes) it reconnects on its own. Otherwise I have to go to the bluetooth menu with my macbook touchpad and choose "yuval's mouse -> Connect"