Core 2 Duo 17" iMac here. Stock 1GB RAM. Started Parallels version 1922 while a DVD burn in Toast was underway, and bam, gray shade of death dropped. DVD is a coaster. Kernel panics are nasty, nasty things. One of the best things about OS X is that when an app crashes, the system does not. Shame that Parallels has to muck with the kernel. It's the one bad thing about an otherwise fantastic app.
I'm curious to know if you've had any other kernel panics. I have 1922 and a C2D 20" imac, and the first time I tried to run the virtual machine I got a kernel panic, only time that's happened with parallels. I also can't get internet to work using host-only networking (separate thread), and it always worked fine this way for me on a core 1 duo 17 inch imac - so, I'm wondering if 1922 doesn't like the core 2 duo imacs... I have sent a bug report and a support request, early in the week.
