The window displays to choose to connect the USB drive to the MAC or to the PC. When I choose the PC it is not displaying under my computer. It displays on the MAC desktop. This use to work correctly before updating to OS 10.7 Lion.
Similar experience here. I believe I noticed this immediately after upgrading to OS X Lion, but didn't take the time to investigate. Today, I need the data on my USB drive under Parallels. When initially plugged in, the option is given to associate drive with Mac or Parallels, and I selected Parallels. But the drive didn't show up; instead, I see it under Finder on the Mac side. I ejected and tried again, same thing. Also tried unchecking and re-checking device under Parallels|Devices|USB, to no avail. I can't seem to get the drive to appear under Parallels. Hoping for a direct response with solution, but will continue searching...
There are already multiple threads on this issue. A temporary workaround can be found here: http://forum.parallels.com/showpost.php?p=452887&postcount=11 but it has to be run each time you boot the VM. Extremely frustrating, but at least you can access your data.
I'm not sure why you're commenting on a post that's a month old, but I posted a fix weeks ago: http://forum.parallels.com/showpost.php?p=455277&postcount=33
