I have installed a Virtual ESXi 5.1 VM inside a Physical ESXi 5.1 host. This works fine, but VM's inside the Virtual ESXi have no connectivity. I can ping from physical ESXi to Virtual ESXi, but not from Physical ESXi to nested VM.
The virtual ESXi is connected to a Port Group on a distributed vSwitch. I have configured the Port group to allow Promiscuous Mode. Virtual ESXi and Nested VM are on the same VLAN, and this VLAN is configured on the Port Group VLAN settings
I can connect to the Virtual ESXi just fine, but it does not seem to be passing traffic through to the nested VM's.
Any thoughts?