At first my VM's behaved as advertised - I clicked inside the box to give input focus and had to Ctrl-Alt to get out again. However now something has changed and my mouse remains stubbornly 'OSX' although it works fine in XP when over that window, it is not constrained by the VM box. This would be fine (actually nicer to be able to click in or out as I choose) but to double click I have to Ctrl-Alt to turn the OSX pointer to an XP pointer, then Ctrl-click to bring up the context sensitiev menu. At this point the pointer changes back to an OSX one again. Am I missing something? Did I change a preference by mistake? It is driving me mad (although otherwise I am totally blown away by this fantastic product).
I'm having a similar problem. Started one VM in Win2K, another in WinXP. The second VM to start booted up and appears to be running (clock is incrementing), but I can't put keyboard focus into the VM. In addition, none of the UI buttons work and *ALL* of the Parallels menu items are greyed out - can't quit. Must Force Quit to quit the application
Was running 2 VM's Now that you mention it I am generally running two VM's at the same time and I am unsure whether I had this problem when only running one.
I am only running one VM but am having this issue. I am unable to use either my mouse or my keyboard at all. Everything worked fine until I installed the parallels tools in Windows; then my VM rebooted and since neither mouse or keyboard work in Windows (they do work in initial bios/dos mode). So in my case it appears that the tools screwed up my mouse support. This is on the 15" Macbook Pro. Curious. Anyone know a fix?