You can defragment a virtual disk to rearrange the data on the virtual disk so that the individual blocks that make up the specific files on the virtual disk are contiguous. Using the Defragment feature improves the performance of your virtual disk, but it does not reduce the amount of storage space the virtual disk consumes on your host operating system.
You can also run the defragment feature on an older virtual disk to convert it to the newer VMware Workstation 3.1 format. If you run this feature on a virtual disk created under a prior version of VMware Workstation, and are running VMware Workstation 3.1, this option is available.
If you choose to convert (upgrade) your virtual disk, you can no longer use it with older versions of VMware Workstation.
To defragment a virtual disk:
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