A data center engineer ran a Hyper-V VM on an Azure Stack HCI cluster. Inside that VM, they attempted to run a nested Hyper-V VM. Error 167 appeared. They ran Set-VMProcessor -VMName "HostVM" -ExposeVirtualizationExtensions $true on the physical node, power-cycled the VM, and nested virtualization worked.
After disabling, test your VM again. If error 167 disappears, you can either keep Memory Integrity off or investigate per-VM exemptions.
A data center engineer ran a Hyper-V VM on an Azure Stack HCI cluster. Inside that VM, they attempted to run a nested Hyper-V VM. Error 167 appeared. They ran Set-VMProcessor -VMName "HostVM" -ExposeVirtualizationExtensions $true on the physical node, power-cycled the VM, and nested virtualization worked.
After disabling, test your VM again. If error 167 disappears, you can either keep Memory Integrity off or investigate per-VM exemptions. hyper-v-hypervisor 167