Public bug reported:

Because kvm_intel is being auto-loaded early on, then KVM_NESTED
argument in /etc/init/qemu-kvm is being ignored.

Perhaps we should always install a /etc/modprobe.d/qemu-kvm.conf file
which has

options kvm_intel nested=1

** Affects: qemu (Ubuntu)
     Importance: High
         Status: Confirmed

** Changed in: qemu (Ubuntu)
       Status: New => Confirmed

** Changed in: qemu (Ubuntu)
   Importance: Undecided => High

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https://bugs.launchpad.net/bugs/1155177

Title:
  nested=1 not taking effect

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