I'm experiencing this problem on hardy, reopening the bug.
Setting up vgabios (0.6a-3ubuntu1) ...
Setting up kvm (1:62+dfsg-0ubuntu3) ...
FATAL: Error inserting kvm_intel
(/lib/modules/2.6.24-16-generic/kernel/arch/x86/kvm/kvm-intel.ko): Operation
not supported
* Module kvm_intel failed to load
invoke-rc.d: initscript kvm, action "start" failed.
** Changed in: kvm (Ubuntu)
Status: Fix Released => Confirmed
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kvm installation and uninstallation failure
https://bugs.launchpad.net/bugs/183663
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