Someone call the n00b patrol because this one should have been a no-brainer. I was working with a customer today and their default image inside of vCloud Director is a Windows 2008 R2 VM with 1vCPU and 4GB of RAM. Whenever they deployed a new VM from vCloud Director, it would take approximately 45 minutes to complete the entire sysprep process and boot up. After that 45 minute process, when they tried to use that VM, it was almost unbearable through the web UI because it was so slow. The CPU performance was just outright horrible.
After a few quick conversations, I did a bit of troubleshooting to narrow it down to a vCloud problem. I used the same exact image and deployed it from template on a blade used for vCloud resources. It also deployed on the same datastore so we could cancel out the hardware issue. Sysprep ran, and the VM was created and ready for use after 4-7 minutes. So it was definitely a problem in vCloud.
I opened up the vSphere Client to the vCloud vCenter and started looking at the VM that was spun up from vCloud Director under the resources tab. This should have been as clear as day to point out. The VM has a limit set on it of 260MHz.