Apple - Why does my Magic Trackpad 2 randomly disconnect and stop clicking?

Well, I had the same problems on My Macbook Pro 2018 with randomly disconnecting magic touchpad and keyboard. I found a resolution here:

So the problem is with USB type-c concentrator: if it is connected to the left side ports - it causes random disconnects of Bluetooth devices. If it connected to the right ports - wireless mouse and keyboard work stable without disconnects for me.

I've got the same exact issue on two brand new 2018 MacBook Pros. error code is the same too reportID 0xB8 error 0xe00002d7. I still think this has to do with failed firmware downloads, but Apple denies that's the case. It's only when the bluetooth peripherals disconnect that I see the attempt by fud (firmware update daemon). And they seem to fail.

Here's the steps I've taken to troubleshoot this (and way too much of my time):

  1. Get a replacement 2018 MacBook Pro from Apple to replace the first machine that showed this issue.
  2. Restore from a superduper image to the new machine.
  3. New machine showed the same symptom, disconnect and reconnect of Apple bluetooth peripherals.
  4. Erase disk on old machine (still a 2018 MBP).
  5. Install pristine 10.13.6.
  6. Use the machine for a few hours with no external monitor, nor handoff enabled. No symptoms.
  7. Enable handoff after those few hours. Still no problem.
  8. Connect to external monitor, symptom resurfaces after an hour or so of utilization.

Next I'll be testing with no external monitor attached again. This time to see if the symptoms resurface or not. Hoping to eliminate the possibility of interference from USB-C external monitor connections in particular. (Note I'm using a Moshi USB-C to mini display port cable).

If it happens while disconnected from the monitor, then it's safe to say that it's not the problem.

Then I'll test handoff on and off in isolation.

But, what I can say with 100% certainty is that it's not limited to individual machines, and it's not 3rd party software. This is an Apple issue one way or another, be it hardware or software.

Hopefully this may help. I was having similar problems whereby my trackpad was connecting/disconnecting and being a general PITA. I searched all over and found this thread amongst others. I then also found the following article and noted about it could potentially be due to too many bluetooth connections.

I turned off bluetooth on my ipad which happened to be sat next to me and as if by magic my trackpad was fully functional again!