Pbskids.org has loads of fun games too. Looks like Between the Lions, clifford, superwhy, dragontales, and wordworld all have beginner reader games.
I have a good mouse suggestion that I disovered by chance. I have wrist issues, so i have a stationary mouse with a trackball, so you just have to move the ball, and the mouse stays put. This was much easier for my DS to learn on than the regular mouse, which he would get frustrated from when it strayed further and further from the mouse pad. I have this one, but there are others.
microsoft explorer trackball mouse