The problem is that the 2gb sparse disk format is no longer supported on ESXi 5.1 and beyond.
Theres the easy fix, and the hard fix.
Easy fix: before first boot, delete and recreate the SIM disk VMDK on IDE 1:1. Use this method if you are building a new sim from scratch.
Hard fix: re-enable 2gb sparse disk support, and convert the disk to a supported type with vmkfstools. Use this method if you have an existing sim you are trying to get working after upgrading your esxi install.
For example:
- enable ssh and esxishell
- use ssh or DCUI to access esxi shell
- cd /vmfs/{datastore name}/{vsim folder}
- vmkload_mod multiextent
- vmkfstools -E DataONTAP-sim.vmdk DataONTAP-sim-2gbsparse.vmdk
- vmkfstools -i DataONTAP-sim-2gbsparse.vmdk -d thin DataONTAP-sim.vmdk
- vmkfstools -U DataONTAP-sim-2gbsparse.vmdk
- vmkload_mod -u multiextent