I'm using 4.0 for windows to upgrade a simple 2.2 win xp machine. Status is hung at "searching for new devices (step 2 of 4)". It has been this way for over an hour w/ no movement of progress bar, zero cpu usage, 50% memory usage, little HD activity. How long does this take, this is a fairly fast computer.
re:upgrading a vm I've had the same problem at a different stage. MIne has been stuck at "Installing the latest version of Parallel Tool (Step 4 of 4)" for 10 hours (went to bed and let it run). I ended up killing the process, re-starting parallels and loading the converted session (apparently it had finished with the exception of the tools). After starting the session - ran the tools and everything is now fine.
My experience based on upgrading two virtual machines from 2.2 to Desktop 4 for Windows: - during step one the process will stop, When you know it is good and stopped (though not complete per status bar) do a hard boot of host. - when you restart the guest Parallels will continue to step two - repeat through all steps.