I had been happily using my dev virtual machine for a while, and suddenly while installing a service pack, it reported a lack of space. Now I was under the impression that Dynamically expanding disks, expand automatically, however that is unfortunately not the case. I binged for a solution and what a sweet one it is.
The guys at VMToolKit http://vmtoolkit.com/blogs/announcements/archive/2007/02/28/vhd-expander-is-now-vhd-resizer.aspx have just the solution. They provide a simple tool called VHD Resizer which does the job of re-sizing the VHD disk. It creates a copy of the disk and allows you to specify how large a disk you require.
One thing you need to note, once you’ve got it working on your VHD, you will notice that the size of the file on disk is the same as the original. What you need to do is get into the VM and then use Disk Management tools under Win7 click on partition and basically choose Extend Volume that’s it you’re done with a new expanded, re-sized VHD. BTW did I mention I love Windows 7 and the makers of VMToolKit 🙂