Microsoft inherited Virtual Pc for Mac thanks to its 2004 acquisition of Connectix and added the technology to its Microsoft Business Unit, which also develops Office for Apple. While the company committed to a five-year agreement for Office:Mac in January, Virtual PC does not have such a long future.

Developing a high-quality virtualization solution, such as Virtual PC, for the Intel-based Mac is similar to creating a version 1.0 release due to how closely the product integrates with Mac hardware, the company said in a statement, adding that alternative products from Apple and other vendors fulfilled the need.

Apple’s forthcoming Leopard version of Mac OS X will be the first to fully support Boot Camp, which enables Intel-based Macs to run Windows XP, while EMC Corp’s VMware division this week announced plans for a new product that will enable any x86 operating system to run virtually on Mac OS X.

Elsewhere virtualization start-up Parallels Inc delivered its Parallels Desktop for Mac in June enabling the likes of Windows, Linux, and Solaris to run alongside OS X.

Microsoft continues to develop Virtual PC, having taken the decision just last month to give the software away free of charge.