When running ESXi version prior to 9.0, the below symptoms are seen
ESXi 8
4Kn storage devices are not natively supported on ESXi versions prior to 9.0, and are not supported at all on flash storage (NVMe or SSD) prior to 9.0. For non-flash storage, ESXi can emulate 4Kn storage, but has to format with 512 block size on its end. This can result in overlapped writes to the same block addresses due to the alignment of blocks. When this happens, the writes are serialized to avoid issues, which slows down delivery of the write to disk as they are queued and processed slower. See the below techdoc for more details.
Device Sector Formats
When you use 4Kn devices, the following considerations apply:
Use non-flash storage if utilizing 4Kn storage prior to ESXi 9. For best performance, it is suggested to either re-format the presented storage device with 512 sector size (this will require recreating the datastore, so ensure all VMs are migrated to different storage), or upgrade to ESXi 9 for full support of 4Kn storage.