Which version of ubuntu is compatible with Fusion 2.0? When I say compatible, I mean I don't want to have to install kernel sources to make VMware tools work.
Some features of the Tools require kernel sources, which are freely available (assuming you have an internet connection), you can remove the sources after the Tools are installed. In general the kernel sources are useful to keep around and do not take much space compared to, for example, the gcc compiler.
Is Vmware fusion 3 better about this?
VMware Tools are an embedded, shared component produced by a separate team for Workstation, Fusion, ESX, etc. The dependencies and how the Tools install has not changed in 3.x.
What is the most recent version of ubuntu that is compatible with vmware fusion 3?
A good resource for which VMware products support guest OS's is the VMware Compatibility Guide. That link will show you the supported Ubuntu guest versions. It appears a bit out of date for Fusion 2.0.7 and Fusion 3.1. When this happens refer to the Release Notes for up-to-date information. Fusion 3.1 currently supports Ubuntu 10.4, the latest release as of this posting.
