I upgraded my copy of Parallels to the RC3 version released today. I did this to take advantage of the Coherence mode which allows you to run Windows and Mac apps on the one screen transparently (see above).
The upgrade wasn’t without its scary moments. At one point the upgrade of drivers caused XP to BSOD (bluescreen) and restart! After that I lost all video in Parallels. I had to boot into Safe Mode in Windows, re-install the drivers and re-start Windows to get it to work once more.
I still seem to have intermittant issues with Expose and my cmd-tab for switching between applications but other than that, this seems like a cool update.
With Apple now getting into the sub-notebook market, a Mac with Parallels loaded on it is an attractive and supremely versatile machine.
UPDATE: I found the solution to the intermittant Expose and keyboard issue here.