Unable to see vTPM on Virtual Machines after configuring Native Key Provider on the vCenter

Products

• VMware vSphere ESXi

Issue/Introduction

• After configuring the Native Key Provider, vTPM is not visible when we try to add it to the VMs, when we go to VM edit settings and add a new device, vTPM is not being listed 

Environment

• VMware vCenter Server 7.x
• VMware vCenter Server 8.x 

Cause

• Even though the Native Key Provider is already added and in an active state,  ESXi hosts won’t use it for encryption/vTPM until it’s explicitly:

  • Set as the Default Key Provider in vCenter.

  • Assigned at the Cluster level (so all hosts inherit it).

Resolution

1. Go to the vCenter's inventory > Configure > Security > Key Providers > Native Key Provider - 'Set as Default'
2. Save the changes 
3. Go the Cluster > Configure > Security > Key Providers > Native Key Provider - 'Set as Deafult' 
   You should now be able to add TPM to the VMs and the vTPM option shows up while creating Windows 11 VM's.