I am new to kvm. I have this strange issue. But before explaining the issue, here is my set up.

I try to install VM on my Host which is a Acer Laptop 5720 Has T7500 Intel processor. The cpu flags indicate that Virtualization is supported. I run Ubuntu 10.04 (lucid) on it. It comes with kvm.

Now coming to the issue - I dont get any errors while executing "sudo modprobe kvm-intel". So I presume my processor does indeed support hardware virtualization.

I use virt-manager and create a VM on which I install ubuntu from an *.iso file. When I start the VM it says it is running. No signs of any trouble. I can see the domain list in "virsh list". But when I try to connect to the VM thru VNC, all I get to see is a blank screen (no cursor). There is no response to any key press.

I changed the video mode etc. Tried all different combinations but none work. But strangely, if I shutdown the vm an virt-manager and then unload the module by doing "sudo modprove -r kvm-intel", everything works fine. ie., I can see the screen via VNC. I am able to install the OS and so on.

So what does this mean ? IS hardware virtualization not supported ? How come there is no error anywhere ? dmesg | grep kvm doesnt report anything. Can someone throw light on what excatly is happening ?