VMware Fusion has now been updated to version 2.05. The release number is Build 173382. It is a free update to all Fusion 1 and Fusion 2 owners.

The update includes:

• Support for Mac OS X Server guest operating systems with Intel Xeon 5500 and 3500 series processors
• Experimental support for Snow Leopard Server as a guest OS (32 bit only)
• Experimental support for Snow Leopard as a host OS (32 bit only)
• Reduces CPU usage when a VM is idle
• Contains more than 80 bug fixes

I applied the update this morning and had no issues. You can get a look at the release notes here. Your Fusion app should update automatically on launch, or you can download the update from the VMware support web site.

Thanks to Martin for the tip

Serguei Beloussov, CEO of Parallels, was gracious enough to sit down with us to talk about his take on the Keynote, WWDC in general and some enhancements which were announced at the Parallels shindig at Jillian's. The acoustics in the room were very echo-y and I picked up a lot of air noise and fire trucks. The rescued soundtrack has some spooky artifacts but is completely audible.

The direct access we talk about is shown in detail in the Jillian's video linked above, and is a very impressive step forward for virtualization. Continue reading for the video.

Raise your hand if you remember when a Mac was a Mac and a Windows machine was a Windows machine, and never the twain shall meet. I sure do.

Change has come.

Our own Christina Warren has written an exhaustive set of instructions for installing Windows 7 on a Mac over at our sister site, Download Squad. Windows 7 is in beta, so don't try and use it for any mission-critical tasks. Meant to be an incremental update to Vista (Snow Vista?), the current iteration of Windows 7 includes changes like a redesigned taskbar, enhanced touch performance and improvements when run atop multi-core processors.

While Intel Macs can run Windows 7 via Boot Camp, Christina points out that virtualization is probably the best bet for most users. She described how to set up an installation with VMWare Fusion 2.0, Parallels 4.0 and VirtualBox 2.1.2 (and the VMware team has posted a guide of their own for Win7 on Fusion).

If you're a Mac user who keeps Windows around for compatibility testing or that one proprietary Windows app you can't do without, and you're just itching to try Windows 7, this is the tutorial for you. If you're wondering what the fuss is about over on the Microsoft side, Engadget's deep dive on Windows 7 is a good place to start.

In the world of desktop and enterprise virtualization for the Mac, two companies, VMWare and Parallels, top the list. Each offers a suite of products designed to meet the needs of virtualization aficionados -- whether they need to run a rack full of servers or just use Outlook to check email.

At last week's Macworld Expo, TUAW's Michael Rose visited the VMWare booth and spoke with the company's Peter Kazanjy to get all the latest info on their VMWare Fusion product for the Mac and some news that will be of particular interest to those of you wanting to play some cool Windows-only games.

Click through to check it out.

Even though we love our Macs here at TUAW and, if you're reading this site, you probably do to, there's some things you might have to use Windows for occasionally. So, what's a Mac user to do in that situation? Well, most of you probably choose one of the popular virtualization applications available for the Mac to accomplish this.

One of these popular solutions is from a company called Parallels, which recently updated its Parallels Desktop for Mac application. During last week's Macworld Expo, TUAW's Michael Rose visited the Parallels booth to speak with Parallels' CEO Serguei Beloussov and get all the latest on the company's plans for "virtual" domination.

Click through to see what he found out.

Popular virtualization software Parallels has been updated to build 3810. The software offers many upgrades and fixes, including Windows DirectX 9.0 with Shaders Model 2 support, as well as "experimental" support for Snow Leopard and Windows 7 beta.

The "experimental" caution, as you might surmise, means not all features will work. For example, in Snow Leopard, there is no USB support, and Parallels notes there is no shared networking support.

Parallels has been running a competitive race against VMware Fusion as each software solution tries to out-feature and outperform the other.

The Parallels update can be downloaded at this link, or you can select "check for updates" from the Parallels application help menu.

A complete list of the enhancements in this build can be found here. Some users are reporting faster performance and some improvements with use of peripherals.

If you've been considering Parallels Desktop for your two computers, they have a great deal for you: buy one for $80 and get one free. The price effectively gets you two copies of Parallels for $40 each. Not bad. Just follow this link here.

Parallels Desktop is virtualization software that allows you to run a variety of PC operating systems from within Mac OS X.

[Via Smoking Apples.]

As if all the deals from "Black Friday" weren't enough, the good folks at VMWare are keeping the love going through today with this stellar deal offered exclusively for "Cyber Monday." Here's all the details, directly from the virtual horse's mouth:

Get 50% off automatically when you purchase VMware Fusion online, using the coupon code "CyberMondayDeal" for one day only.

*Regular Price: $79.99 Your Price: $39.99

*Offer Expires at 11:59PM PT on Monday, December 1, 2008.

So, even if you love the Mac but still, on occasion, wish you could run that particular Windows app just like your Windows-loving friends, today is the day to get your hands on a tool that will enable you to do just that. Note that if you already own a license for Parallels or Virtual PC that you bought from a small selection of online retailers, you can get an additional $30 rebate when purchasing Fusion -- check it out.

Virtualization vendor Parallels has just released Parallels Desktop 4.0 for the Mac. Parallels Desktop is designed to let users run Windows (or Linux) on your Intel Mac within OS X.

The newest version of Parallels Desktop boasts better performance (Parallels is claiming a 50% increase over Parallels Desktop 3.0), better graphics, support for more OSs and support for up to 8 GB of RAM and 8 CPUs. Like VMWare Fusion 2.0, Parallels Desktop 4.0 also supports OS X 10.5 Leopard Server as a guest OS, and features experimental support for OS X 10.6 Snow Leopard.

Some of the other stand-out features:

• Ability to save screenshots across operating systems
• Remotely manage Windows VMs via the iPhone
• Direct X 9.0 and OpenGL 2.0 support and support for up to 256 MB of video RAM (you can see a list of supported games here)
• Parallels Virtual Appliance support

You can check out the full list of new features here. I'm converting my Parallels virtual machine to 4.0 right now and will post more thoughts on Parallels 4.0 and how it stacks up to other virtualization options from VMWare and VirtualBox in the next few days.

Parallels Desktop 4.0 is $79.99 and available now. Existing Parallels customers can upgrade for $39.99 through the end of November. If you purchased Parallels Desktop AFTER September 1, 2008, your upgrade is free.

When it comes to virtualization on the Mac, it's mostly discussed in the context of running a variant of Microsoft Windows. This makes sense; the ease of getting Windows to run within OS X (on Intel hardware) is one of the key reasons many first-time Mac buyers are migrating to Apple. However, Windows is hardly the only game in town.

Although the annual proclamations of "the year of the Linux desktop" haven't really panned out, thanks to distributions like Ubuntu, more and more individuals are at least giving Linux a try. Today, Canonical made both the server and desktop versions of Ubuntu 8.10 (codenamed 'Intrepid Ibex') available for download.

Even before the Intel switch, PPC users could effectively run Linux distros on their machines, but virtualization coupled with Intel hardware has made running a VM of Ubuntu -- or any Linux distribution -- fairly painless. Using commercial software like VMware Fusion 2.0 or Parallels Desktop, or open source and free solutions like VirtualBox, you can set up an Ubuntu virtual machine much like you would with Windows.

If you have ever installed a Windows virtual machine, using Parallels, Fusion or VirtualBox, the process for installing Ubuntu is almost exactly the same. Download the Ubuntu 8.10 ISO image (a slow process today with the demand for the new release; it should speed up next week, and there are Bittorrent seeds for faster service) and then select that image for the virtual CD drive when creating your VM. The process, depending on your system, should take under 20 minutes from beginning to end.

Today, I set up a virtual machine of Ubuntu 8.10 in both VMware Fusion 2.0 and VirtualBox 2.04. Parallels Desktop works with Ubuntu, but I had problems trying to get Ubuntu 8.04 installed and am still reading reports of problems with 8.10. Parallels might work just fine with Ubuntu 8.10, but keep in mind that it might be kludgy.

Read on for more install options.

Parallels must be feeling a little pressure from the big Fusion release earlier this week -- they're throwing in some music when you pick up their app. By visiting this iTunes page on their website and buying the virtualization software, which lets you run Windows or Linux virtual machines within OS X, you can nab a $25 gift card to iTunes as well.

If you've been interested in trying some virtualization software (they're certainly a plucky group of devs) and haven't yet been enticed to do so, maybe some free iTunes money will do the trick. The offer expires in about a week and a half, so you've got a little time to think it over. $25 in iTunes goes a long way these days -- that's eight HD shows of The Office, or 25 Koi Ponds!

Thanks Phill

Mike Rose and I were chatting about this on the Talkcast a few weeks back -- virtualization and emulation programmers get all John Locke from Lost when you try to tell them what's not possible. And so when the guys at CrossOver heard that Google wasn't releasing Chrome for the Mac, they decided to put together a release themselves. CrossOver Chromium is a proof-of-concept release of the Chromium browser (which Chrome is built off of) that allows Google's base code to run on Mac and Linux platforms.

It's designed to show off just how well Wine works to bring Windows-based code to other platforms, and wake Google up to the fact that if they wanted to port Chrome over, they could. CrossOver says they did this to prove a point (and the point seems proven), but it's likely not only that Google wants to run the code natively, but that they wanted to focus on their largest audience first, which anyone can tell you is likely still the Windows crowd.

Even CrossOver says their version isn't ready for prime-time yet, they just wanted to show how fast it could be done. Let this be a lesson, Google: don't tell virtual software developers what they can't do.

Great news for any virtualization junkies out there (I know I'm not the only one). VMWare Fusion 2.0 has just been will be released Tuesday! Fusion 2.0 is a free upgrade for all existing 1.x customers, and it adds more than 100 new features and enhancements.

[Note: VMware's product manager told us an official announcement time of 12:01am Tuesday morning, EDT; however the final version of Fusion 2.0 has not appeared on VMware's website yet as of 12:45am, as pointed out by Jonathan 'Wolf' Rentzsch. –Ed. Update: as of 1 am EDT, the Fusion page has been revised to include the 2.0 upgrade information. –Ed.]

I've been using Fusion 2.0 since it first entered beta during the summer and have been very impressed with its performance and feature set. In addition to TUAW, I also write for Download Squad, where we've been a little bit Chrome-Crazy for the last couple of weeks. Although I have access to a few Windows machines, because all my tools for writing and screenshots and graphics are on my Mac, I've been using the beta and release candidate versions of VMWare Fusion 2.0 for all of my testing.

Fusion 2.0 features lots of improvements and new features, but the most significant feature, from a technology-pushing perspective, is probably the ability to run Leopard Server as a virtual machine. When Apple made the decision to allow for server virtualization right after Leopard's release, both VMWare and Parallels announced plans to integrate that feature into their respective products. Parallels released Parallels Server back in June, targeting the higher-end enterprise market. VMWare decided to include the feature in Fusion 2.0 to give consumers a taste of the good life.

Although my year-old MacBook isn't really the ideal platform to run a virtual instance of Leopard Server, I did give it a go with one of the RC releases and was pleasantly surprised to find I could run a stable local MAMP server off it, and it withstood a pounding from my boyfriend's MacBook and the other media computers we have scattered around our apartment. On a loaded iMac or Mac Pro, I could see Fusion being very handy for testing or replicating a production environment.

Another new feature to Fusion 2.0, which first appeared in one of the release candidates, is a 1-year subscription to McAfee VirusScan Plus. Although I personally prefer NOD32 for Windows anti-virus protection, having anti-virus software already built into the virtual machine is a great step, especially for users who might be new to virtualization and/or the Mac. There is no longer an excuse to not have some sort of protection on your Windows installs.

VMWare Fusion 2.0 is $79.99 for new users, and free for existing customers. VMWare offers a 30-day free trial, if you want to try it out before buying. You need an Intel Mac running OS X 10.4 or higher. Like all virtualization products, the more RAM you have in your machine, the easier things will go.

The VMWare team has just released the second beta for VMWare Fusion 2.0, the company's popular virtualization program for the Mac.

The new beta adds a TON of new features, as the video above demonstrates. I got a chance to talk to VMWare today about the new beta and it is HOT. I'll be posting a more in-depth overview tomorrow, but until then, here are some of the highlights:

• Unity 2.0 - The newest version of Fusion is really focused on better Windows-Mac integration. You can now launch Windows programs from the dock or access Mac programs from within your virtual machine. You can also link folders like Documents, Pictures and Music on your virtual machine with those folders on your Mac.
• Multiple Snapshots VMWare has worked really hard to bring a Time Machine-like ease to backing up and protecting your virtual machine. You can now designate how often you want to take full system snapshots of your VM, whether once an hour, once a day or once a week, and how many copies you want to keep.
• Better Video and Graphics Graphics and shading support has been improved for Macs that have higher-end graphics cards, and even integrated Macs can now play 1080p HD video in virtual machines with considerably less CPU overhead.
• Support for more client OSs, including Leopard Server You can now run Leopard Server as a VM in OS X 10.4 and 10.5, even on client machines (virtualizing Mac OS X client is blocked by Apple's license terms). Support for the latest version of Ubuntu (Hardy Heron) is also available right out of the box with Unity integration. Power users can now designate up to four virtual CPUs per virtual machine, which is great for anyone wanting to take an XServe or Mac Pro to the next level.

VMWare Fusion 2.0 beta 2 is available for Intel Macs running OS X 10.4 or OS X 10.5. New users can try the beta for free and the upgrade path (including future betas and the full version of Fusion 2.0) is free for all existing Fusion 1.0 customers.

In October, when Apple introduced a change in policy allowing Leopard Server to run in a virtual environment on Apple hardware, Mac IT geeks everywhere looked forward to the day that they could run Windows Server, Linux and OS X Server all off their pretty Xserves. That day is today, because Parallels Server for Mac is now out of beta!

According to Parallels, this is the "...first server virtualization software to run on Intel-based Xserves...and to power VMs running on the Mac OS X platform." Similar the the Parallels Desktop product, Parallels Server lets you run virtual instances of different operating systems on top of OS X Leopard Server, including Leopard Server. The next beta of VMWare's Fusion, which like Parallels Desktop is a consumer product, will support Leopard virtualization as well, but Parallels Server is a little different and aimed at a different market.

The difference is that the hypervisor used in Parallels Server is hardware optimized and takes advantage of Intel's VT-x acceleration (which new XServe and Mac Pros have) to provide a more robust experience with better allocation of resources and memory. This makes the experience much more akin to running a completely separate machine, as opposed to running one OS on top of another.

Yesterday, we reported on Media Temple's new (xv) project, which is the first official service that will be run on Xserves running Parallels Server for Mac. The (xv) will be running multiple VMs of Leopard Server, but Parallels Server can also support Linux (Debian, SUSE, Red Hat and Ubuntu), Windows (Server 2008, Vista, XP and Server 2003 and Windows 2000) and FreeBSD 6 and 7 as guest OSes. So if you run your website off of CentOS (which is based off of Red Hat Enterprise) but your company network runs off of Leopard Server, you can do both off of one Xserve.

Make no mistake, this is an enterprise product, and as such, it is pricey. Parallels Server for Mac is $1248.75 for the software and one-year of support and maintenance and that's before you add in the cost of any software licenses you might need, but that's still a lot less expensive than another Xserve.

For enterprise users who are interested in virtualization, definitely check out the free trial.

Thanks Russ!