Increase virtual disk size - not working

I have a 2K8 Server as a Guest, and it's complaining that it's out of disk space. It's currently at 20 gigs, so I powered down the guest, fired up the VSphere  4.0 client and went to edit the vm properties. I increased the Hard Disk 1 to a Provisioned Space of 40 gigs. When I fired up the Guest, it still says 20 gigs, and almost out of space, though the Provisioned Space says 42 gigs and the used says 40 gigs.
What can I do?
Trevor LocalAsked:
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Paul SolovyovskySenior IT AdvisorCommented:

You've given it a bigger disk but if you go to disk management you'll see that you have a disk with 20GB of unprovisioned space.  Right Click on the disk and expand the the disk.

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Trevor LocalAuthor Commented:
where do I right click on the disk?
go to control panel
Go to administrative tools
double click on computer management
Expand disk management
the right click on c: in disk management
Click extend volume
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Paul SolovyovskySenior IT AdvisorCommented:
right click on computer and choose manangement
go to disk managment
right click on the disk you want to extend and choose the extend options
Paul SolovyovskySenior IT AdvisorCommented:
do you have the c drive and the data drive on the same virtual disk?
Trevor LocalAuthor Commented:
oh, got it. Now it sees the extra 40 gig.

I do have just the C: drive. The OS is basically used as a print server, and an app server for two people. I think they were downloading some large files.
Paul SolovyovskySenior IT AdvisorCommented:
No problem. If you thin provision it it will only grow as the data inside the VM grows, if it's thick provisioned the space will be pre-allocated when the space is created
Trevor LocalAuthor Commented:
can I change from thick to thin if I choose to go that route?
Paul SolovyovskySenior IT AdvisorCommented:
It depends.  If you have SAN storage than you can with storage vmotion.  Otherwise you can do a poor man's conversion using VMware vConverter Standalone
vmwarun - ArunCommented:
I would like to add that the conversion from thick to thin can only be done when a Virtual Machine is powered off.
A Virtual Machine can use both thick and thin disks at the same time.
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