How To: Install Windows 7 RC1 on Parallels 3 : Divide By Zero

I am writing from Windows Live Writer on Windows 7 RC1 running on my iMac Parallels installation at work. I have Parallel Tools installed and I’ll show you how to do the same!

Create a New Virtual Machine

Start up Parallels and follow the screens like so:

Note: Use whatever you like. I prefer 1GB.

Again, whatever you prefer.

Navigate to where you saved your Windows 7 ISO image.

After starting the VM, install Windows 7 like normal. After it’s installed, press Ctrl-Alt to get back to OS X and select Action –> Install Parallels Tools.

In Windows 7, an auto-run dialog will pop up. Select “Open folder.”

Right-click PrlTools and select Properties and then the Compatibility tab, choose Windows XP (Service Pack 3) and then check Run as Administrator.

Run PrlTools and use the regular settings. When Windows 7 warns you about unverified drivers just keep clicking ‘Allow.’

Once installed, you need to set the same compatibility settings for the following two files:

C:\Program Files\Parallels\Parallels Tools\ParallelsToolsCenter.exe

C:\Program Files\Parallels\Parallels Tools\SIA\sharedintapp.exe

After that, restart once more and all will be well!

Note: Windows 7-to-Mac shared folders don’t seem to be working, I will update this post if I discover how to fix it. However, using the shortcut to the Parallels drive on your Mac desktop does work but it seems to disappear randomly (?).

Thanks to this thread for the general rundown: http://forum.parallels.com/showthread.php?t=32976