diff --git a/config/suse/waagent.conf b/config/suse/waagent.conf
index 85fd2a3e98..fdcb60279b 100644
--- a/config/suse/waagent.conf
+++ b/config/suse/waagent.conf
@@ -43,7 +43,7 @@ ResourceDisk.Format=y
 
 # File system on the resource disk
 # Typically ext3 or ext4. FreeBSD images should use 'ufs2' here.
-ResourceDisk.Filesystem=ext4
+ResourceDisk.Filesystem=btrfs
 
 # Mount point for the resource disk
 ResourceDisk.MountPoint=/mnt/resource
@@ -55,7 +55,7 @@ ResourceDisk.EnableSwap=n
 ResourceDisk.SwapSizeMB=0
 
 # Comma-separated list of mount options. See mount(8) for valid options.
-ResourceDisk.MountOptions=None
+ResourceDisk.MountOptions=compress=lzo
 
 # Respond to load balancer probes if requested by Microsoft Azure.
 LBProbeResponder=y