I have a new DD 670 with 1 Networker Server (VM).  I want to setup a proxy machine and i'm confused on a couple of key items. Mainly how the snapshot takes place and where it resdies.

I thought when you take a snapshot of the VM it will be placed on the LUN where the VM config file sits for that VM. Even if you have multiple virtual disks on different luns the snap shot will reside on the main VM config file area of that VM.

Now i've heard that the proxy machine actually needs to be presented a new LUN where the snapshots can sit during the process and I've also heard the Proxy machine could be the target disk or "holding tank" itself for the snapshots. 

Can someone please explain the process to me? I want to make sure i setup this proxy vm correctly.  By default my new VM will see all LUNS on our SAN.

Thank you