I was able to reproduce the issue with VMWare Server 2 (build 122956)
and the kvm_intel module from kernel 2.6.24-22.45; despite unloading the
kvm and kvm_intel modules, VMWare server was unable to start up a
virtual machine. Using the kernel in hardy-proposed, 2.6.24-23.46, I was
able to start VMWare server instances after unloading the kvm modules.

I also verified that kvm was able to start up instances, including after
unloading and reloading the kvm modules.

Jay Wren: leaving the kvm modules loaded will prevent VMWare Server from
being able to start up vms.

** Description changed:

  VMware Workstation 6.5 checks CR4.VMXE as a proxy for whether the CPU is
  in VMX mode, so leaving VMXE set means we'll refuse to power on.
+ 
+ TESTCASE:
+ 1) load kvm modules (on intel hardware that supports it): sudo 
/etc/init.d/kvm start
+ 1.5 [optional]) start and stop a kvm instance
+ 2) unload kvm modules
+ 3) attempt to start up a VM from within VMWare workstation or VMWare Server

** Tags added: verification-done

** Tags removed: verification-needed

-- 
Hardy: VMware Workstation 6.5 won't power on
https://bugs.launchpad.net/bugs/268981
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