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Create Virtual Machine fails with error 3101

Over Christmas I completed migrating our SCVMM 07 environmentover to SCVMM 08. An issue appeared this week which had me stumped, all of a sudden creating VMs from some templates started to fail when trying to “Install VM Components”.

Error (3101)
VMM failed to mount VHD file D:\BOH-DHOPE-V07\BOH-DHOPE-V07_disk_1.vhd on the * server. A timeout occurred.
(Internal error code: 0x80990C1D)

Recommended Action
Check Device Manager/System Devices to make sure that Microsoft Virtual Server Storage Bus is installed and functional. If it is not, install VHDMount component of Virtual Server. Restart Virtual Disk Service, and then try the operation again.

This had started occurring on all our hosts where Virtual Server 2005 had been upgraded as part of the SCVMM 08 migration. Servers which didn’t need the Virtual Server 2005 update didn’t have this problem.

Setting VHD_MOUNT_TRACE=2 and trying to mount the VHD led to the following error:
The specified operation could not be completed as an unexpected error has occurred.

The workaround is to stop the Virtual Server service, uninstall Virtual Server and install again (from the ‘vs’ folder from SCVMM 08).

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