The release of Parallels Desktop 16.5 on Wednesday comes after a testing period in which the company released a pair of Technical Preview versions of the update. Instead, users will need to get the Windows 10 ARM Insider preview. While there are plenty of ARM-based Linux distributions, there currently isn't a retail ARM version of Windows.
There is a caveat - users can only run a virtual machine with an ARM-based operating system. The company says that many of its best features have been reengineered for the M1, including Coherence Mode, Shared Profiles, Touch Bar controls, and Mac keyboard layouts.