It seems that PD5 is not compatible with Lion. This very annoying...I just bought PD5 last year and now I have to buy a new version. I think it's time to switch to Fusion.
Hey leroydouglas, Older versions of Parallels Desktop are not compatible with Lion. You can read more about it in this KB article: http://kb.parallels.com/en/111578
Version 5 is not compatible out of the box, but it is if you use the Launcher. Try googling for Parallels 5 Launcher or similar: https://discussions.apple.com/thread/3191409?start=15&tstart=0 http://www.macuser.de/forum/f105/parallels-desktop-5-a-592107/ You can get your VM to run, though networking seems not to function in Windows.
Hi, I downloaded that launcher and ran it, it froze my Mac each time. Any idea what I may have done wrong? Thanks.