ndev = hv_get_drvdata(device);
        buffer = get_per_channel_state(channel);
 
+       /* commit_rd_index() -> hv_signal_on_read() needs this. */
+       init_cached_read_index(channel);
+
        do {
                desc = get_next_pkt_raw(channel);
                if (desc != NULL) {
 
                        bufferlen = bytes_recvd;
                }
+
+               init_cached_read_index(channel);
+
        } while (1);
 
        if (bufferlen > NETVSC_PACKET_SIZE)
 
        u32 ring_data_startoffset;
        u32 priv_write_index;
        u32 priv_read_index;
+       u32 cached_read_index;
 };
 
 /*
        return write;
 }
 
+static inline u32 hv_get_cached_bytes_to_write(
+       const struct hv_ring_buffer_info *rbi)
+{
+       u32 read_loc, write_loc, dsize, write;
+
+       dsize = rbi->ring_datasize;
+       read_loc = rbi->cached_read_index;
+       write_loc = rbi->ring_buffer->write_index;
+
+       write = write_loc >= read_loc ? dsize - (write_loc - read_loc) :
+               read_loc - write_loc;
+       return write;
+}
 /*
  * VMBUS version is 32 bit entity broken up into
  * two 16 bit quantities: major_number. minor_number.
 
 static inline  void hv_signal_on_read(struct vmbus_channel *channel)
 {
-       u32 cur_write_sz;
+       u32 cur_write_sz, cached_write_sz;
        u32 pending_sz;
        struct hv_ring_buffer_info *rbi = &channel->inbound;
 
 
        cur_write_sz = hv_get_bytes_to_write(rbi);
 
-       if (cur_write_sz >= pending_sz)
+       if (cur_write_sz < pending_sz)
+               return;
+
+       cached_write_sz = hv_get_cached_bytes_to_write(rbi);
+       if (cached_write_sz < pending_sz)
                vmbus_setevent(channel);
 
        return;
 }
 
+static inline void
+init_cached_read_index(struct vmbus_channel *channel)
+{
+       struct hv_ring_buffer_info *rbi = &channel->inbound;
+
+       rbi->cached_read_index = rbi->ring_buffer->read_index;
+}
+
 /*
  * An API to support in-place processing of incoming VMBUS packets.
  */
  * This call commits the read index and potentially signals the host.
  * Here is the pattern for using the "in-place" consumption APIs:
  *
+ * init_cached_read_index();
+ *
  * while (get_next_pkt_raw() {
  *     process the packet "in-place";
  *     put_pkt_raw();