Upgrading from a vdr 1.x appliance:
unmount any CIFS shares while the vdr appliance is idle
shutdown and delete or rename vdr 1.x appliance
deploy vdr 2.0 appliance
configure vdr 2.0 appliance and re-add CIFS shares
manually perform an integrity check
there’s no method to directly upgrade a vdr 1.x appliance to a vdr 2.0 appliance. it simply must be replaced.
VMWare Data Recovery Release Notes