It’s always been possible to extend the C: drive on a Windows 2000/2003 VMware virtual machine (see the excellent blog entry by eGroup engineer Travis Baird here: <a href="http://blogs.egroup.jasonmangone.com/?p=461">http://blogs.egroup.jasonmangone.com/?p=461</a>), but the process has always been <a href="http://dictionary.reference.com/browse/kludgy" target="_blank">kludgy</a>.  By comparison, extending the C: drive in Windows Server 2008 <em><strong>ROCKS</strong>!</em>

Here’s why:
1) You can do it while the server is online (no reboot required)
2) You don’t need a “helper” VM to make it work

Here’s how:
1) In VirtualCenter, right-click the VM and select <span style="text-decoration: underline;">Edit settings</span>
2) Select the hard disk and enter the new size. Click "Ok"
3) Log into the VM with Administrator privileges. Right-click the <span style="text-decoration: underline;">Computer</span> icon and select <span style="text-decoration: underline;">Manage</span>
4) Select <span style="text-decoration: underline;">Storage</span>, then <span style="text-decoration: underline;">Disk Management</span>
5) Right-click <span style="text-decoration: underline;">Disk Management</span> and select <span style="text-decoration: underline;">Rescan Disks</span>.  You should see some unallocated space appear to the right of the disk
6) Right-click the disk and select <span style="text-decoration: underline;">Extend Volume</span>, and follow the wizard.  It’s quick and easy, and no reboot is required!