Ive got a problem with parallels automatically trying to install a new version of itself in my bootcamp parallels VM. Ive just upgraded to Lion, and i upgraded to the latest version of Parallels at around the same time. Once launching the VM, Parallels tries to uninstall its previous version from within Windows 7 and it prompts me that it cant find parallels-tools-amd64.msi. I cant that file anywhere on my pc. The machine reboots if i try to cancel it out. Very painful.
I'm having the same problem but I don't have the windows cleanup utility. I'm running Windows 7 on my VM. Any other suggestions?