I plugged my gigabit switch directly into my FIOS router. I have the ESX Host plugged into the gigabit switch. The DHCP is on the FIOS router. The DHCP IP range is set to 192.168.1.2 to 192.168.1.254 with a subnet mask of 255.255.255.0 . The vmnic0/vSwitch0/Observed IP Range is showing: 169.254.1.64 - 169.254.1.127 . There has to be a way to change the Observed IP Range or have ESX host recognize the DHCP on the FIOS Router.
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