Patches released by Microsoft in the month of March 2018 specifically KB4088875 & KB4088878 have been reported for issues in virtual machines with Windows Server 2008 R2 running VMware. The problem appears to affect the machines configured with static IP addresses. It breaks Static IP configuration rendering VMs unreachable over network
During the installation of the update, the NIC is replaced by another configured for DHCP, leaving machine off the network. And when you try to manually configure the static IP, you get IP conflict error message.