I wanted to pass this along since I just received it.
Pictometry for ArcGIS Desktop–Local extensions support ArcGIS Desktop Versions 9.3 & 10 only at this time.
Pictometry continues to integrate with the ESRI ArcGIS Desktop products and we are currently reviewing development compatibility with Version 10.1. Any changes or updates to this product integration will be posted on Tech Updates.
In the meantime, if you plan on upgrading to ArcGIS Desktop 10.1, it is important that you follow these steps:
1) Turn off (Customize > Extensions) the Pictometry for ArcGIS Desktop Extension.
2) Close ArcGIS Desktop
3) Uninstall the Pictometry for ArcGIS Desktop extension (through the Windows Control Panel)
4) Upgrade to ArcGIS Desktop 10.1
Please contact Pictometry Customer Support at 888-771-9714 or firstname.lastname@example.org if you have any questions.