VMware Incompatibility Issues may Lead to Performance Degradation on Windows – Update 2017/05/19

If you use Windows Server 2012, 2012 R2 or 2016 guests on VMware vSphere, you may experience high network latency due to an incompatibility issue between the VMware Tools and Windows RSS. For details, see the VMware blog:

The Windows Receive Side Scaling (RSS) feature is not functional on virtual machines running VMware Tools versions 9.10.0 up to 10.1.5.

Any Windows Virtual Machine running these versions of the VMware Tools will experience increase in rate of “Received Dropped Packets”, caused by the fact that all network traffic will be serviced by only one CPU in the Guest.

This condition results in performance degradation for the applications and services hosted on the affected Virtual Machine.

VMware published VMware Tools version 10.1.7 which fixes the issue.

This issue is covered by SAP Note 2447884. To be notified in case of known issues when running SAP software in virtual and cloud environments, check my WIKI page Known Support Issues in Virtual Environments regularly or enable watching it.

As an alternative within 1DX, you may want to follow my blog https://blogs.sap.com/2016/10/11/known-issues-sap-applications-vmware-vsphere/ which is kept up-to-date too.