The Snapshot creation fails with the following error:
CreateSnapshot failed, vmRef "vm-xxx", timeout "1800000", snName "VEEAM BACKUP TEMPORARY SNAPSHOT", snDescription "Please do not delete this snapshot. It is being used by Veeam Backup.", memory "False", quiesce "True" Cannot create a quiesced snapshot because the create snapshot operation exceeded the time limit for holding off I/O in the frozen virtual machine.
The replicated/backed up machine is highly transactional and VMware Tools quiescence is unable to hold incoming I/O and flush all the data to a disk to freeze its file system properly
The option "Enable VMware tools quiescence" is disabled by default. It is strongly recommended to leave it disabled if you are backing up or replicating Windows systems that support Windows VSS. For these systems, it is recommended to use the option "Enable applicationaware image processing."