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Difference in VMware memory & Windows server memory utilization

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Hello, I am not sure if this has been asked before but recently I built a VM server 2008 R2 box with 4 GB RAM in VMware. Installed the server with SQL & other applications & now have about 600 MB RAM left (see attached). But if I go to VSphere > choose the client & go to daily summary I see that memory utilization is only 2 Gigs & that too sporadic (see attached). My question is why the difference? Why is VM summary not showing actual memory utilization on 2008 box? Is there something I am doing wrong or is it by design? Please help in deciphering, thanks in advance.


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