** Description changed:

  On 12.10, when I boot my host, guests are not able to load the kvm_intel 
module because the kvm_intel module on the host is loaded without nested=1 (ie, 
nested virtualization is broken). I presume this is happening because the 
module is loading before the qemu-kvm upstart job runs. The upstart job works 
correctly in that if after a fresh reboot I do:
  $ sudo stop qemu-kvm
  $ sudo start qemu-kvm
  
  I am then able to load kvm_intel in guests (ie, KVM_NESTED=" nested=1"
  was honored in /etc/default/qemu-kvm).
  
  WORKAROUND:
  Add the following to /etc/modprobe.d/qemu-kvm.conf:
  options kvm_intel nested=1
+ 
+ I should note that because of bug #1040033, I am running 12.04's qemu. I
+ verified that /etc/default/qemu-kvm between 12.04 and 12.10 are
+ identical and that the upstart jobs should be equivalent (the 12.10 one
+ adds '|| true' to the end of all modprobe lines).

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https://bugs.launchpad.net/bugs/1040230

Title:
  kvm_intel not loading with nested=1 on boot

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