This is not an addon for skyrim per se. You will need to download and install Autohotkey program first.
The "hide_mouse.ahk" file should be run with Autohotkey program. Note that the script doesn't launch when the game does so you need to start the script separately every time you launch the game. If the script is running but doesn't seem to work then try to run Autohotkey as Administrator.
TLDR version: Check the authors page: https://nirklars.wordpress.com/tag/focus/
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Drop it into my Skyrim directory, data directory, skse folder?
The "hide_mouse.ahk" file should be run with Autohotkey program. Note that the script doesn't launch when the game does so you need to start the script separately every time you launch the game. If the script is running but doesn't seem to work then try to run Autohotkey as Administrator.
TLDR version:
Check the authors page: https://nirklars.wordpress.com/tag/focus/