Troubleshoot the VMware ESXi error: VMware ESXi Embedded Host Client compressed disk image error

After you Troubleshoot the VMware ESXi error: Failed to deploy VM: postNFCData failed by upgrading the VMware ESXi Embedded Host Client to the most recent version, you may encounter an additional deployment error in the VMware Embedded Host Client when selecting storage, such as a compressed disk image error.
VMware ESXi Embedded Host Client compressed disk image error

How to

  1. Use the VMware Open Virtual Machine Format (OVF) tool to import virtual machines (VM) with compressed disk images.
    1. In the OVF tool enter ovftool.exe --acceptAllEulas -ds="<your-datastore-name>" -dm="<thick|thin>" --net:"VM Network"="<your-portgroup-name>" agent.ovf "vi://<your-esxi-ip>". For example, ovftool.exe --acceptAllEulas -ds="datastore1" -dm="thick" --net:"VM Network"="VM Network" agent.ovf "vi://172.25.228.134"
  2. Use the OVF tool to deploy the connector.
  3. Try to Deploy a VMware vSphere Client using ESX or ESXi version 6.5 or later.