I created another VM in Hyper-V on my workstation to get it setup before transferring it to some clustered hosts. I just think it’s faster this way, but regardless, I ran into a problem that I didn’t foresee.

The workstation had an AMD Ryzen processor and was running Windows 10. The requirements for Nested Virtualization with AMD processors are listed below.

AMD EPYC / Ryzen processor or later

• The Hyper-V host must be either Windows Server 2022 or later, or Windows 11 or later.
• The VM configuration version 9.3 or higher.

As it turns out, it wasn’t a hardware issue, it was a software issue.

Since I didn’t want all of the newer version features, I created a VM on another machine with version 9.3

New-VM -Name TestVM -NewVHDPath "D:\VHD\TestVM.vhdx" -MemoryStartupBytes 4GB -SwitchName "Default Switch" -Generation 2 -Version 9.3

More information on Hyper-V Nested Virtualization can be found at https://learn.microsoft.com/en-us/virtualization/hyper-v-on-windows/user-guide/enable-nested-virtualization