Host: Hard Drive Access Queue at 100% when running any guest

Host Details:

VMServer 1.02

Dell PowerEdge 840

Single SATA 160GB HDD connected via Intel 82801 onboard controller

Windows 2003 Server, Enterprise

When I start any guest (either another 2003 server, linux system, etc) the Hard Drive Access light on the front of the system is solid, both the host and guest run at a snails pace, and if i l run the system monitor, Avg Disk Queue Length is pinged at 100%.

All of these symptoms go away when the guest PC is shut down.

I have tried enabling and disabling write caching and it has no affect.

I have tried both growing and pre-allocated virtual drives, no affect.

Are some SATA controllers just not compatible?

Let me know your thoughts.