An alarm "Host IP Address Conflict Detected" is reported at vCenter level or at ESXi hosts' cluster level.
As per /var/log/vmware/vpxd/vpxd.log
YYYY-MM-DDTHH:MM:SSZ error vpxd[05750] [Originator@6876 sub=InvtId] Detected IP [:#.#.#.#] conflict between host [<host-name>] (moId:host-####) nic:NetworkInfo.vnic[4].ipAddress and entity [<host-name>] (moId:host-####)
YYYY-MM-DDTHH:MM:SSZ warning vpxd[05977] [Originator@6876 sub=InvtHostCnx opID=HeartbeatStartHandler-29670d64] Host IP address conflict detected. [vim.HostSystem:host-#####,<host_name>.com] is trying to change IP from <host_name>.com to #.#.#.#. New IP is already used by <Host ##>
This IP address conflict can occur due to:
Option 1: Assign a new static IP address
Option 2: Enable DHCP
Refer Configuring VMware ESXi Management Network from the direct console
For more information about ESXi IP conflicts refer this Duplicate IP address detected
If the alarm was triggered because of and improper renaming process for an ESXi host, the alarm can be Acknowledged and Reset to Green. Subsequent disconnects/reconnects will not trigger the alarm.