I am running ESX 4. I have 4 VMs running on the ESX host. My Server 2008 server will not take a snapshot, the other servers will. When I try to take a snapshot I get the following:
Create virtual machine snapshot
ALS006
File
The ESX server is formatted with 1 MB block size and the VM is set to have a 256 GB virtual disk.
see this KB article
http://kb.vmware.com/kb/1012384
sounds to me as though you need a bigger block size on your LUN.
That's what I did not wanted to hear. I am using local storage, and I didn't need a virtual disk bigger than 256 GB (the reason I left it at 1 MB block size.) Local storage means I have to reformat the server.