Under Windows 7, restore points are now basically incorporated in the Volume Shadowing Subsystem. I have heard defragmentation (including the one provided by Windows 7) has the possibility of interfering with the VSS process possibly causing corrupted/incomplete VSS images meaning corrupted/incomplete restore points.
Looking at many of the defraggers around the network, I don't see any of them discussing how their package will not interfere with VSS. Thus I am left to conclude using defraggers might be problematic to future system recovery efforts and I definitely want to avoid that.
So should I forget defragmenting altogether?
One other thought, would using an off-line defragmentation mode of the boot drive prevent VSS interference?