There's a few things going on with analog inputs. Mame is set up to take analog inputs, or digital input to be simulated as analog for the game. To do that in the remapping menus, mame has three inputs per analog axis: ____ Analog, ____ Inc, and ____ Dec. The first is for analog inputs like the u360 in analog mode, the latter two are for digital inputs like an 8-way stick or keyboard. Mame also can convert input from an analog device and convert it to digital. The problem is it you map an analog device to Inc & Dec, mame converts it to digital, then takes that 0 or 1 and simulates an analog signal to the game. IOW, don't map an analog joystick to Inc or Dec.
- So first thing to check is start a game in mame, tab, "Input (general)", player 1/2, and make sure the u360 is mapped to "AD Stick... Analog" and NOT "AD Stick... Inc" nor "AD Stick... Dec", and other analog inputs you want to use the u360. You can also do "Input (this game)", but then the fix only helps that game.
Next, mame has two analog settings in the mame.ini: joystick_deadzone and joystick_saturation. (more info in mame's docs/config.txt file)
- So next step is decrease joystick_deadzone in mame.ini.
Lastly are the in game accessed analog control settings. Don't worry about digitalspeed or centerspeed, as these are for converting digial inputs to analog (these set the speed mame goes from center to edge, or edge to center, in delta per frame on a -127 to 127 posible values). Sensitivity, OTOH, does affect your analog joystick. But usually the default value is good.
- So change the sensitivity after you've checked the two above.
I bet it's the first, as windows does not let mame know if the input is analog or not, so mame defaults to map the joystick to both analog and digital.