There are a number of methods to extend your drive that are all fully supported. The first, and simplest (but possibly the most dangerous in a physical environment and not recompensed by me personally) is simply to extend the volume if it is 2003 (must convert to a dynamic disc first) or to create a volume set in 2000. I wouldn't do this in the physical world, but in the virtual world where you can backup the vmdk, create snapshots, etc, it is far less potentially dangerous.

Microsoft also provides a utility called diskpart (that can be downloaded from their web site) that can be used to expand partitions in both physical and virtual drives. There are a couple of caveats to the application, however:

1) You cannot expand the running system partition (C: Drive) with the newest version of the tool, so you would need to boot to a PE Disc or another windows installation on another drive in order to run diskpart on the C drive.
2) If you find a copy of the Windows 2000 version of the tool, you can expand the running system drive but will most likely need another program called fsextend to extend the file system after the partition has been extended.

Lastly, use the VMware Converter. Even the starter edition has the ability to convert a virtual machine to a virtual machine and resize both the partition and the vmdk.

HTH

--Dave

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