I think you need to keep some things in perspective.
You are right, it was wrong of me to assume that everyone would see the $80 retail and $30 upgrade prices as trivial.
First and foremost virtulization in general is nothing new. Its been going on for a heck of a long time.
Again you are so right. VMWare have had solutions out for years. Have you ever tried ESX server? fantastic piece of hardware. And the new offerings from IBM and SUN are dramatically changing the way the clients I work with run their data systems. And as for i386 emulation on a Mac, things have come a very long way since the 286 softPC I used to run on an LC.
(the) ONLY reason Parallels gets away with their "cheap" price of $80 for something that is free from WM is because they are the only game in town. (*1). .for now. Their software isn't anything revolutionary(*2). Its simply the first in class on the Mac. That sure as hell doesn't warrant a price premium(*3). They simply got there first. Heck look at Parallels own site. Parallels for PC: $50. Parallels for Mac: $80. Why do you think that is?(*4)
*1: I think that is called being "first to market", and in most walks of life that usually means a premium price, although by software standards Parallel's premium is IMHO minimal. I pretty sure they have priced it very affordably in order to increase adoption ahead of VMWare releasing their offering. Makes business sense.
*2: I agree, up to a point, but if there many other options in the market place which could do everything that Parallels does, then the price would be even lower would it not? And they must be revolutionary in a small way, otherwise why claim they are the only game in town?
*3 & *4: Let me guess. Development cost vs. potential market (a fact of life given that 90%+ of the world runs on windows) might enable greater economies of scale for the PC version? Possible perceived lesser value of virtualisation of Windows on native Windows hardware vs. Windows virtualisation (with almost seamless cross platform operation) on a Mac. After all how may so mac fan-boys have been crying out over the last 12 months for better Windows integration (mainly to play games I suppose). Heck. Maybe there is a perception that Mac purchasers are more wealthy off!
Second just because Microsoft, Adobe, and Apple have premium products doesn't give license to everyone who develops on the Mac to make their prices outrageous. Heck all three of those companies offers an upgrade path to existing users. Parallels? Nope. Sorry we don't give a rats rear about our existing customers. Buy it or don't. We don't care.
I hardly think that Parallel's price is outrageous. I recall paying many times more for SoftPC, SoftWindows, Connectix Virtual PC aka Microsoft Virtual PC. Each of which cost me over $250 a piece in their day and were in the main the only games in town at the time.
In my case I won't. I'm going to hold out until VMWare releases Fusion. I originally was hoping to wait for them however Parallels was calling. Now? Screw em. I'm going to wait until VM releases then I can use images on both my Mac and PC that I can store on a thumb-drive. Oh and the PC software is free any-ways.
Have you had a bad personal experience with Parallels or something similar? Regardless, it is your right to choose and I applaud your exercise of that right. I tried the first VMWare beta and found it not do what I needed (at the time). I'm aware that they have made great progress since, but I've been happy with Parallels on the whole, although I don't use it that much to justify worrying about it. If, once the final VMware product is released, reviews and feedback indicate that there are substantial advantages to moving to VMware I will be happy to do so. I don't usually care which particular badge my software has, so long as it does the job and offers value for money. Luckily I believe both Parallels and VMWare have tools which allow each other's VM format to be translated to allow easy migration between the two applications. So you are not tied in.
EDIT: OK it does appear there is an upgrade path for Parallels to the latest version. Its in an odd location. Instead of having it under the buy online. Its under the product description, the under the buy it now. They should have it under both and under the buy it now on the front page but that's neither here nor there on the subject of price. $50 is definitely a reasonable upgrade. My bad.
Indeed they have provided several substantial upgrades in the last 12 months at no extra cost. I've seen few other commercial software company that develops for the Mac which has progressed their offering so quickly and asked for so little in return. I don't count "free' beta downloads in this as it is not like for like. Once the beta goes "live" you'll be locked out unless you pay up.
Peace!