What's the difference between the two VMs? With Windows 7 you will get a prompt for Connection Server if you are installing the View Agent on a VM that is not ESX/vSphere e.g. on a physical PC or other virtualisation platform.
As the previous reply also states, you will get this if installing on a server OS with the Terminal Services role enabled.
Let us know what you find. Specifically what the differences are between these two VMs.
Mark