I don't know about that. I was aware that M$ did an aboutface on Vista virtualization but I didn't think there were any technical barriers, just the EULA.
Fusion v1.1.1 doesn't break out Vista support into Basic, Home, Mega, SuperMega, SuperMegaUltra, SuperDuperUltraMega, Supreme, MegaSupreme. It just says it supports Vista.
I just went to vmware.com and downloaded their latest pdf file of compatible OS's and sorry to say that they seemingly do not support Vista Basic or Home in 1.1.1.
They say Vista Enterprise, Business & Ultimate only.
Given the change to M$'s position in late January, I'd imagine that vmware will modify Fusion to permit Basic/Home.
perhaps an email to tech support is in order?