From my understanding of PXE (Preboot Execution Environment), I know that there must be some negotiation first between the booting client and a DHCP server to obtain network parameters (IP address, etc) in order for the client to be able to fetch the boot loader and kernel image from the boot server. In other words, and aside from being a "virtual" machine, we're talking here about a "bare metal" machine, so there must be some "pre boot" mechanism for those negotiations to take place, and this is exactly what PXE is all about. When I think about the "Network install" option, I can't figure out how the new VM would be able to fetch the boot images (bootloader and kernel) without the previously mentioned mechanism.

So, here is a short version of the question: When provisioning a new virtul machine, how do you expect the "Network install" option in virt-manager to work behind the scenes?

Many thanks.