Fragmentation manifests itself in virtual storage systems in the following ways:
1. In segmentation, unused memory segments cause internal fragmentation as the space within segments may not be contiguous or aligned.
2. In paging, unused pages cause internal fragmentation. Additionally, pages may become scattered across disk causing external fragmentation.
3. In combined segmentation and paging, both internal fragmentation from unused segments and pages can occur along with external fragmentation from scattered pages on disk.