This article provides a how-to on setting up nested virtualization, in particular running Microsoft Hyper-V as a guest of QEMU/KVM. The usual terminology is going to be used in the text: L0 is the bare-metal host running Linux with KVM and QEMU. L1 is L0’s guest, running Microsoft Windows Server 2016 with the Hyper-V role enabled. And L2 is L1’s guest, a virtual machine running Linux, Windows, or anything else. Only Intel hardware is considered here. It is possible that the same can be achieved with AMD’s hardware virtualization support but it has not been tested yet.
A quick note on performance. Since the Intel VMX technology does not directly support nested virtualization in hardware, what L1 perceives as hardware-accelerated virtualization is in fact software emulation of VMX by L0. Thus, workloads will inevitably run slower in L2 compared to L1.
Kernel / KVM
A fairly recent kernel is required for Hyper-V on QEMU/KVM to function properly. The first commit known to work is 1dc35da, available in Linux 4.10 and newer.
Nested Intel virtualization must be enabled. If the following command does not return “Y”, kvm-intel.nested=1 must be passed to the kernel as a parameter.
$ cat /sys/module/kvm_intel/parameters/nested
QEMU 2.7 should be enough to make nested virtualization work. As always, it is advisable to use the latest stable version available. SeaBIOS version 1.10 or later is required.
The QEMU command line must include the +vmx cpu feature, for example:
If QEMU warns about the vmx feature not being available on the host, nested virt has likely not been enabled in KVM (see the previous paragraph).
Once the Windows L1 guest is installed, add the Hyper-V role as usual. Only Windows Server 2016 is known to support nested virtualization at the moment.
If Windows complains about missing HW virtualization support, re-check QEMU and SeaBIOS versions. If the Hyper-V role is already installed and nested virt is misconfigured or not supported, the error shown by Windows tends to mention “Hyper-V components not running” like in the following screenshot.
If everything goes well, both Gen 1 and Gen 2 Hyper-V virtual machines can be created and started. Here’s a screenshot of Windows XP 64-bit running as a guest in Windows Server 2016, which itself is a guest in QEMU/KVM.