Problem:
Cannot create a VHD file on an encrypted or compressed share with ProfileUnity.
“The requested operation could not be completed due to a virtual disk system limitation. On NTFS, virtual hard disk files must be uncompressed and unencrypted. On ReFS, virtual hard disk files must not have the integrity bit set.”
Resolution:
Use an un-encrypted and uncompressed share to store VHDs. Per Microsoft, use of encrypted or compressed volumes is not supported for VHDs.
https://technet.microsoft.com/en-us/library/cc742509(v=ws.11).aspx
Product: ProfileUnity-FlexApp
Product Version: 6.5.x