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volume c: has 40% free space but only 0% is available for use by disk defragmenter

The subject line pretty much says it all.  I have a Windows 2000 Terminal Server with a 80 GB HD that is 70% fragmented, but I can't run defragment with any success even thought it has 40% free space cause none is "usable".  The Page file size is only 768 MB.  I tried running AusLogics Disk Defrag with a 1% improvement in fragmentation.

Also, I'm not sure how or why because it was in place before I got there, but this office is running this terminal server on a pentium 4 2.66 GHZ clone PC.  I'm trying to convince the owner that they need to upgrade to TS 2003 and run it on an actual server, but they have gotten away with running it on a PC for so long he seems to think that all he needs to do is upgrade their terminal server hardware to a newer workstation PC and everything will be fine.  What can I tell this guy to get him to understand that he needs to run his server on a SERVER?
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intelliwyse
Asked:
intelliwyse
1 Solution
 
mcse2007Commented:
Try to do 'disk clean up' to free some more space, delete files that no longer required, then run disfrag again.
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top_gizmoCommented:
As for the defrag, look for large unmoveable files.  Sometime a .pst will be fragmented and can not be moved.

Explain the benifits of RAID-5 and hot-swappable disks.  Down time means money.
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digvijay_nathSenior Windows ArchitectCommented:
Refer to these links
http://technet.microsoft.com/en-us/library/bb878010.aspx
http://www.microsoft.com/windowsserver2003/enterprise/scalable.mspx

For defrag.. try to free disk space.. may be by moving files temporarily to a diff location.. and running defrag.exe
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intelliwyseAuthor Commented:
It doesn't matter how much I move off or delete from the hard drive.  It had 30% free when I first started on this and now it is 40% free, but when I go to run a defragment it tells me that there is 0% usable space.
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stavrosxarCommented:
I have the same situation on a 2000 advanced server. I have free up space up to 40 % but nothing happens. I'm starting to think that it maybe the hard disk that has the problem.
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