KVM is not enabled in the bios.  Please paste the output of 'kvm-ok' in
a comment.  If that says that your processor supports KVM, then please
reboot, enter the bios menu, and enable KVM from there.

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** Changed in: qemu-kvm (Ubuntu)
       Status: New => Incomplete

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https://bugs.launchpad.net/bugs/799071

Title:
  Natty: "* Starting KVM [fail]"

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