Somehow, in the last week, I have lost the ability to connect to USB devices entirely from my Guest OS. Parallels does not see ANY USB devices now. It used to see everything: Keyboard, mouse, controller, external drivers, etc. Now, nothing. USB -> Devices is now empty. I have tried removing and re-installing the USB controllers in the guest OS. I have tried configuring Parallels to always ask me which machine to connect devices to. When I connect a device, Parallels remains oblivious, and it is connected to my Host OS.
I found the problem in my case, and filed a ticket so that Parallels will hopefully address the issue. I have a few different software packages that use the HASP dongles from Aladdin Systems. The HASP dongles require two services to be running, which are launched as LaunchDaemons. These processes were interfering with Parallels. The only way to get Parallels to function properly was to disable those services. To do this, from terminal: and reboot. Interestingly, I could manually launch those services after parallels was running, and the dongles functioned properly, and Parallels continued to receive events. This has been my workaround. The commands to run them: Hint: Put this in a shell script to make life easier. If you have sudo setup to run without a password, you can also just add this to your Login Items, and you won't have to remember any of this.
