In my situation, I set up the virtual machine (VM) to point to my Boot Camp installation of Windows XP. I could use XP just fine inside Parallels, but every time I tried to boot into Boot Camp, I ran into the black screen problem just after the Windows XP splash screen. After many iterations and trips to this forum, I found a way to fix the black screen problem. As always, back up your current setup before attempting the following procedure. My apologies for the lengthy process, but I wanted to make sure I covered all the bases: In Parallels: Boot the VM into Safe Mode (by using F8 as explained in other threads). You might see the black screen again, but be patient. Safe Mode uses a default black background, but should eventually show a Desktop. While in Safe Mode, uninstall Parallels Tools. Reboot the VM. Windows should start up normally now. If not, repeat the Safe Mode technique. If you have antivirus software installed, uninstall that software too. In my case, I uninstalled ClamWin. Reboot the VM, but this time, let it start up normally (don't go back into Safe Mode). If Windows starts up successfully and you arrive at the Desktop, so far so good. Shut down the VM. Quit Parallels. In Mac OS X: If you haven't burned a Macintosh Drivers CD yet, use Boot Camp Assistant to create one. Use System Preferences' Startup Disk to select the Boot Camp installation. Restart your Mac. In Boot Camp: Windows should start up successfully now. If not, repeat the Safe Mode technique. Install the Macintosh Drivers from the CD. If you installed the drivers previously, reinstall them. Reboot Windows. Use the Safe Mode technique again if needed. Use Control Panel to open Display. In the Settings tab, click the Advanced button. In the Monitor tab, if the Monitor Type says "Plug and Play Monitor," then so far so good. If not, Cancel out of the dialog box, then back in the Settings tab, make some trivial change and reboot. For example, I lowered the resolution, clicked Apply, changed the resolution back, clicked Apply again, and then rebooted. Try to get Windows to start up successfully without having to use Safe Mode, then continue. Use Control Panel to open Startup Disk. Use Startup Disk to select the Mac OS X installation. Reboot into Mac OS X. In Mac OS X: Find the folder that contains the .pvs file for your Boot Camp VM. Use Mac OS X to create an archive of that folder. Move the folder to the Trash, leaving just the archive. Uninstall Parallels. Reinstall Parallels. In Parallels: Create a new VM that points to your Boot Camp installation. Boot the new Boot Camp VM. Use the Safe Mode technique again if needed. Install Parallels Tools. Reboot the VM. If you can get Windows to start up successfully without having to use Safe Mode, then you're done. You should now be able to use Boot Camp by itself, as well as within Parallels. If you uninstalled antivirus software earlier, you can reinstall it now. I hope this helps. Your mileage may vary.