Failed to create a new Virtual Machine with virtual Trusted Platform Module (vTPM) device

Products

• VMware vSphere ESXi

Issue/Introduction

Symptoms:
Creating new VM with vTPM device will fail with the error message:
"Invalid virtual machine configuration. Cannot change encrypted vMotion state for an encrypted VM."

Environment

VMware vSphere ESXi 7.0.2
VMware vSphere ESXi 7.0.3

Resolution

When creating a new VM from vCenter vSphere client, in the "Customize hardware" step,
 

1.  Add a new Trust Platform Module device from "ADD NEW DEVICE" drop-down list,
2.  Go to "VM Options" tab, set "Encrypted vMotion" and "Encrypted FT" to "Required" from "Opportunistic" under "Encryption" configuration part.
3.  Click "Next", "Finish" to start VM creation.

For more information, please refer "Create a Virtual Machine with a Virtual Trusted Platform Module "