Shrinking disk size in 2008 R2 VM

I have tried shrink volume but it only shows 1151MB that can be freed up. Thanks

Your best bet would be to do V2V. Use vmware converter and resize the disk when you convert.

before that route you can try this.  Do a vstorage migration to another datastore and choose thin provision as the conversion.

This can fail however, and if it does take a look at the below knowledge base.  I just had this problem a couple weeks ago and the storage migration didnt work, I ran sdelete -z d:\ (d drive in my case) and then from shell ran teh vmfstools -K /pathtodisk and it worked perfectly, went from 600GB to 90GB.

http://kb.vmware.com/selfservice/microsites/search.do?language=en_US&cmd=displayKC&externalId=2004155

There is no other way than to do V2V, because you can't shrink thick provisioned vmdks, only thin provisioned. Even if you shrink the OS partition, the disk remains at 2TB. FWIW, you can shrink the OS partition after performing a full defrag (usually not recommended for VMs, but OK in this case).

if we are shrinking the file, it is not think is it?

In the OS you can shrink the volume, this should give the space back, the vm is think, it will never reclaim the space, so convert it to thin provisioned and you can reduce it.

From the sounds, it is a thin provision consuming more than it should.