If this error occurs during a new VM creation to a different host it is most likely related to the destination hosts access to network adapters. One specific issue to check would be the vSphere Distribute Switch (VDS) settings for both the original and destination hosts.

This setting can be viewed in Configuration > Networking > Click the vSpehere Distributed Switch button.

  • If the original host has access to the VDS and the destination host does not then this would cause the restore to fail. To resolve this issue it is probably easiest to add the missing network device to the destination host.
  • If that is not an option then restoring the VM to a different host then migrating to the desired host would also work. As a last resort, it is possible to modify the config file for the VM to remove its networking settings.