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If the virtual machine appears to be in use VMware Workstation, delete Lock files in the VM directory, recreate the Virtual Machine and see if it helps.
Microsoft publicly acknowledged a known issue causing Windows Server 2022 virtual machine (VM) blue screens and boot failures on VMware ESXi hosts.
On paper, it sounds like a weird feature with non-existent real-world applications. However, there are plenty of reasons to go out of your way to enable nested virtualization, regardless of ...