We’ve done a quick test of our applications with Mac OS X 10.7 (“Lion”). In contrast with previous versions, Mac OS X 10.7 ships without Java preinstalled. But when starting a Java application (like SmartGit or SmartSVN), Java will be automatically downloaded and installed from Apple.
Summary: except of the file watcher, everything seems to work fine. We’ll keep you updated.
Update: If the SmartSVN’s services (minimal Finder integration) seems to be broken, invoke /System/Library/CoreServices/pbs in a Terminal.