Hi @Gowda, Hanumanthe
Virtual Machine SKU must be V3 or higher (D_v3, Ds_v3, Es_V3) in the comparative table, N machines do not support nested virtualization
Hyper-threaded and capable of running nested virtualization https://learn.microsoft.com/en-us/azure/virtual-machines/acu
Official reference: https://learn.microsoft.com/en-us/virtualization/hyper-v-on-windows/user-guide/nested-virtualization
Get in touch if you need more help with this issue.
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