Description of problem:

The customer recently migrated from vCenter 7 to vCenter 8 and is now unable to deploy virtual machines (VMs) via Red Hat Satellite 6.18. Despite configuring everything the same as on vCenter 7 (compute resource, profile, vCenter user), the deployment fails when submitting the VM creation process. The error reported is:

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Failed to create a compute compute-resource-vcenter-2 (VMware) instance xyz NoPermission: Permission to perform this operation was denied.
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The customer has confirmed that TPM is not configured in their compute profile, yet the permission Cryptographer.ManageKeyServers is flagged as missing in the logs.

How reproducible:

The customer has consistently encountered the error during VM deployment in vCenter 8, using the same configuration that worked in vCenter 7.

Is this issue a regression from an earlier version:

 The customer’s previous setup with vCenter 7 worked as expected, with no issues during VM deployment. However, after migrating to vCenter 8, the error started occurring.

Steps to Reproduce:

• Migrate from vCenter 7 to vCenter 8.
• Configure the same compute resource, profile, and vCenter user as previously used in vCenter 7.
• Attempt to create a VM via Red Hat Satellite 6.18 using the image-based provisioning method (with no TPM configured).

Actual behavior:
When the customer attempts to deploy a VM via Red Hat Satellite 6.18 on vCenter 8, they receive the following error message:

Failed to create a compute compute-resource-vcenter-2 (VMware) instance xyz: NoPermission: Permission to perform this operation was denied.

The logs indicate that the permission Cryptographer.ManageKeyServers is missing. Despite TPM not being enabled in the compute profile, the system is still requesting this permission.

Expected behavior:
The VM should be successfully deployed without requiring the Cryptographer.ManageKeyServers permission, as TPM is not enabled.

The customer expects that the deployment will proceed as it did in vCenter 7, without encountering permission-related issues.

Business Impact / Additional info:

The customer is currently unable to deploy any new VMs due to this permission issue, which is blocking their provisioning workflow. This has a high business impact, as they rely on automated provisioning for new virtual machines in their infrastructure. The issue has arisen after migrating to vCenter 8