I just noticed that Caffeine that I downloaded doesn't work on my new MBA with Lion. Also Parallels desktop on my MBA doesn't run my RC sim Phoenix either.
Is it just me or is Lion breaking quite a few programs right now?
Really like my new MBA but would have preferred it with now Leopard for now.
I haven't used Caffeine, but Parallels released an update a few weeks ago. You need to be running Parallels Desktop 6. There are still some known bugs that they are working on (e.g. it has a tendency to start VMs automatically when you load PD).
Every OS X update has broken compatibility with some applications, and required updates to fix bugs. Apple isn't like Microsoft, which devotes significant resources into making sure as many older applications as possible will run. Even there, however, there are compatibility issues, particularly with utilities, between XP, Vista, and 7, and between the 32-bit and 64-bit versions of each.