diff --git a/README.md b/README.md
index e1a89794..836b07e5 100644
--- a/README.md
+++ b/README.md
@@ -136,6 +136,7 @@ Make sure to set/review the following vars:
 | `lab_cloud` | the cloud within the lab environment for Red Hat Performance labs (Example: `cloud42`)
 | `cluster_type` | either `mno`, or `sno` for the respective cluster layout
 | `worker_node_count` | applies to mno cluster type for the desired worker count, ideal for leaving left over inventory hosts for other purposes
+| `hybrid_worker_count` | applies to mno cluster type for the desired virtual worker count, HV nodes and VMs are required to be setup.
 | `bastion_lab_interface` | set to the bastion machine's lab accessible interface
 | `bastion_controlplane_interface` | set to the interface in which the bastion will be networked to the deployed ocp cluster
 | `controlplane_lab_interface` | applies to mno cluster type and should map to the nodes interface in which the lab provides dhcp to and also required for public routable vlan based sno deployment(to disable this interface)
diff --git a/ansible/mno-deploy.yml b/ansible/mno-deploy.yml
index c0a3cf0d..a7b30903 100644
--- a/ansible/mno-deploy.yml
+++ b/ansible/mno-deploy.yml
@@ -24,6 +24,10 @@
     vars:
       inventory_group: worker
       index: "{{ worker_node_count }}"
+  - role: boot-iso
+    vars:
+      inventory_group: hv_vm
+      index: "{{ hybrid_worker_count }}"
   - wait-hosts-discovered
   - configure-local-storage
   - install-cluster
diff --git a/ansible/roles/boot-iso/tasks/libvirt.yml b/ansible/roles/boot-iso/tasks/libvirt.yml
new file mode 100644
index 00000000..dbdbfd86
--- /dev/null
+++ b/ansible/roles/boot-iso/tasks/libvirt.yml
@@ -0,0 +1,90 @@
+---
+# Libvirt tasks for booting an iso
+# Couldn't use ansible redfish_command it requires username and password to be used.
+# URLs modeled from http://docs.openstack.org/sushy-tools/latest/user/dynamic-emulator.html
+
+- name: Libvirt - Power down machine prior to booting iso
+  uri:
+    url: "http://{{ hostvars[item]['ansible_host'] }}:9000/redfish/v1/Systems/{{ hostvars[item]['domain_uuid'] }}/Actions/ComputerSystem.Reset"
+    method: POST
+    headers:
+      content-type: application/json
+      Accept: application/json
+    body: {"ResetType":"ForceOff"}
+    body_format: json
+    validate_certs: no
+    status_code: 204
+    return_content: yes
+  register: redfish_forceoff
+
+- name: Libvirt - Pause for power down
+  pause:
+    seconds: 1
+  when: not redfish_forceoff.failed
+
+- name: Libvirt - Set OneTimeBoot VirtualCD
+  uri:
+    url: "http://{{ hostvars[item]['ansible_host'] }}:9000/redfish/v1/Systems/{{ hostvars[item]['domain_uuid'] }}"
+    method: PATCH
+    headers:
+      content-type: application/json
+      Accept: application/json
+    body: { "Boot": { "BootSourceOverrideTarget": "Cd", "BootSourceOverrideMode": "UEFI", "BootSourceOverrideEnabled": "Continuous" } }
+    body_format: json
+    validate_certs: no
+    status_code: 204
+    return_content: yes
+
+- name: Libvirt - Check for Virtual Media
+  uri:
+    url: "http://{{ hostvars[item]['ansible_host'] }}:9000/redfish/v1/Managers/{{ hostvars[item]['domain_uuid'] }}/VirtualMedia/Cd"
+    method: Get
+    headers:
+      content-type: application/json
+      Accept: application/json
+    body: {}
+    body_format: json
+    validate_certs: no
+    status_code: 200
+    return_content: yes
+  register: check_virtual_media
+
+- name: Libvirt - Eject any CD Virtual Media
+  uri:
+    url: "http://{{ hostvars[item]['ansible_host'] }}:9000/redfish/v1/Managers/{{ hostvars[item]['domain_uuid'] }}/VirtualMedia/Cd/Actions/VirtualMedia.EjectMedia"
+    method: POST
+    headers:
+      content-type: application/json
+      Accept: application/json
+    body: {}
+    body_format: json
+    validate_certs: no
+    status_code: 204
+    return_content: yes
+  when: check_virtual_media.json.Image
+
+- name: Libvirt - Insert virtual media
+  uri:
+    url: "http://{{ hostvars[item]['ansible_host'] }}:9000/redfish/v1/Managers/{{ hostvars[item]['domain_uuid'] }}/VirtualMedia/Cd/Actions/VirtualMedia.InsertMedia"
+    method: POST
+    headers:
+      content-type: application/json
+      Accept: application/json
+    body: {"Image":"http://{{ http_store_host }}:{{ http_store_port }}/{{ hostvars[item]['boot_iso'] }}", "Inserted": true}
+    body_format: json
+    validate_certs: no
+    status_code: 204
+    return_content: yes
+
+- name: Libvirt - Power on
+  uri:
+    url: "http://{{ hostvars[item]['ansible_host'] }}:9000/redfish/v1/Systems/{{ hostvars[item]['domain_uuid'] }}/Actions/ComputerSystem.Reset"
+    method: POST
+    headers:
+      content-type: application/json
+      Accept: application/json
+    body: {"ResetType":"On"}
+    body_format: json
+    validate_certs: no
+    status_code: 204
+    return_content: yes
diff --git a/ansible/roles/boot-iso/tasks/main.yml b/ansible/roles/boot-iso/tasks/main.yml
index 253c9267..c2e883dd 100644
--- a/ansible/roles/boot-iso/tasks/main.yml
+++ b/ansible/roles/boot-iso/tasks/main.yml
@@ -24,3 +24,9 @@
   with_items:
     - "{{ groups[inventory_group][:index|int] }}"
   when: hostvars[item]['vendor'] == 'Lenovo'
+
+- name: Boot iso on libvirt vm
+  include_tasks: libvirt.yml
+  with_items:
+    - "{{ groups[inventory_group][hybrid_worker_offset:index|int] }}"
+  when: hostvars[item]['vendor'] == 'Libvirt'
diff --git a/ansible/roles/create-ai-cluster/tasks/main.yml b/ansible/roles/create-ai-cluster/tasks/main.yml
index e13d5463..bdd1cfab 100644
--- a/ansible/roles/create-ai-cluster/tasks/main.yml
+++ b/ansible/roles/create-ai-cluster/tasks/main.yml
@@ -32,6 +32,13 @@
   - cluster_type == "mno"
   loop: "{{ groups['worker'] }}"
 
+- name: MNO / Hybrid (VM Workers) - Populate static network configuration with VM worker nodes
+  include_tasks: static_network_config.yml
+  when:
+  - cluster_type == "mno"
+  - hybrid_worker_count > 0
+  loop: "{{ groups['hv_vm'][hybrid_worker_offset:hybrid_worker_offset+hybrid_worker_count] }}"
+
 # - debug:
 #     msg: "{{ static_network_config }}"
 
diff --git a/ansible/roles/create-ai-cluster/templates/mac_interface_map.json.j2 b/ansible/roles/create-ai-cluster/templates/mac_interface_map.json.j2
index 15dacb3c..bd2fbd3f 100644
--- a/ansible/roles/create-ai-cluster/templates/mac_interface_map.json.j2
+++ b/ansible/roles/create-ai-cluster/templates/mac_interface_map.json.j2
@@ -2,9 +2,11 @@
     {
         "mac_address": "{{ hostvars[item]['mac_address'] }}",
         "logical_nic_name": "{{ hostvars[item]['network_interface'] }}"
+    {% if 'lab_mac' in hostvars[item] %}
     },
     {
         "mac_address": "{{ hostvars[item]['lab_mac'] }}",
         "logical_nic_name": "{{ hostvars[item]['lab_interface'] }}"
+    {% endif %}
     }
 ]
diff --git a/ansible/roles/create-inventory/templates/inventory-mno.j2 b/ansible/roles/create-inventory/templates/inventory-mno.j2
index 86fd7ec6..8a2b4d79 100644
--- a/ansible/roles/create-inventory/templates/inventory-mno.j2
+++ b/ansible/roles/create-inventory/templates/inventory-mno.j2
@@ -86,12 +86,12 @@ network_prefix={{ controlplane_network_prefix }}
 {% for hv in ocpinventory_hv_nodes %}
 {% set hv_loop = loop %}
 {% for vm in range(hw_vm_counts[lab][(hv.pm_addr.split('.')[0]).split('-')[-1]]['default']) %}
-{{ hv_vm_prefix }}{{ '%05d' % ctr.vm }} ansible_host={{ hv.pm_addr | replace('mgmt-','') }} hv_ip={{ controlplane_network | ansible.utils.nthhost(hv_loop.index + ocpinventory_worker_nodes|length + mno_worker_node_offset + hv_ip_offset) }} ip={{ controlplane_network | ansible.utils.nthhost(hv_vm_ip_offset + ctr.vm - 1) }} cpus={{ hv_vm_cpu_count }} memory={{ hv_vm_memory_size }} disk_size={{ hv_vm_disk_size }} vnc_port={{ 5900 + loop.index }} mac_address={{ (90520730730496 + ctr.vm) | ansible.utils.hwaddr('linux') }} domain_uuid={{ ctr.vm | to_uuid }} disk_location=/var/lib/libvirt/images bw_avg={{ hv_vm_bandwidth_average }} bw_peak={{ hv_vm_bandwidth_peak }} bw_burst={{ hv_vm_bandwidth_burst }}
+{{ hv_vm_prefix }}{{ '%05d' % ctr.vm }} ansible_host={{ hv.pm_addr | replace('mgmt-','') }} hv_ip={{ controlplane_network | ansible.utils.nthhost(hv_loop.index + ocpinventory_worker_nodes|length + mno_worker_node_offset + hv_ip_offset) }} ip={{ controlplane_network | ansible.utils.nthhost(hv_vm_ip_offset + ctr.vm - 1) }} cpus={{ hv_vm_cpu_count }} memory={{ hv_vm_memory_size }} disk_size={{ hv_vm_disk_size }} vnc_port={{ 5900 + loop.index }} mac_address={{ (90520730730496 + ctr.vm) | ansible.utils.hwaddr('linux') }} domain_uuid={{ ctr.vm | to_uuid }} disk_location=/var/lib/libvirt/images bw_avg={{ hv_vm_bandwidth_average }} bw_peak={{ hv_vm_bandwidth_peak }} bw_burst={{ hv_vm_bandwidth_burst }} vendor=Libvirt install_disk=/dev/sda
 {% set ctr.vm = ctr.vm + 1 %}
 {% endfor %}
 {% if hv.disk2_enable %}
 {% for vm in range(hw_vm_counts[lab][(hv.pm_addr.split('.')[0]).split('-')[-1]][hv.disk2_device]) %}
-{{ hv_vm_prefix }}{{ '%05d' % ctr.vm }} ansible_host={{ hv.pm_addr | replace('mgmt-','') }} hv_ip={{ controlplane_network | ansible.utils.nthhost(hv_loop.index + ocpinventory_worker_nodes|length + mno_worker_node_offset + hv_ip_offset) }} ip={{ controlplane_network | ansible.utils.nthhost(hv_vm_ip_offset + ctr.vm - 1) }} cpus={{ hv_vm_cpu_count }} memory={{ hv_vm_memory_size }} disk_size={{ hv_vm_disk_size }} vnc_port={{ 5900 + loop.index + hw_vm_counts[lab][(hv.pm_addr.split('.')[0]).split('-')[-1]]['default'] }} mac_address={{ (90520730730496 + ctr.vm) | ansible.utils.hwaddr('linux') }} domain_uuid={{ ctr.vm | to_uuid }} disk_location={{ disk2_mount_path }}/libvirt/images bw_avg={{ hv_vm_bandwidth_average }} bw_peak={{ hv_vm_bandwidth_peak }} bw_burst={{ hv_vm_bandwidth_burst }}
+{{ hv_vm_prefix }}{{ '%05d' % ctr.vm }} ansible_host={{ hv.pm_addr | replace('mgmt-','') }} hv_ip={{ controlplane_network | ansible.utils.nthhost(hv_loop.index + ocpinventory_worker_nodes|length + mno_worker_node_offset + hv_ip_offset) }} ip={{ controlplane_network | ansible.utils.nthhost(hv_vm_ip_offset + ctr.vm - 1) }} cpus={{ hv_vm_cpu_count }} memory={{ hv_vm_memory_size }} disk_size={{ hv_vm_disk_size }} vnc_port={{ 5900 + loop.index + hw_vm_counts[lab][(hv.pm_addr.split('.')[0]).split('-')[-1]]['default'] }} mac_address={{ (90520730730496 + ctr.vm) | ansible.utils.hwaddr('linux') }} domain_uuid={{ ctr.vm | to_uuid }} disk_location={{ disk2_mount_path }}/libvirt/images bw_avg={{ hv_vm_bandwidth_average }} bw_peak={{ hv_vm_bandwidth_peak }} bw_burst={{ hv_vm_bandwidth_burst }} vendor=Libvirt install_disk=/dev/sda
 {% set ctr.vm = ctr.vm + 1 %}
 {% endfor %}
 {% endif %}
@@ -99,6 +99,7 @@ network_prefix={{ controlplane_network_prefix }}
 {% endfor %}
 
 [hv_vm:vars]
+role=master
 ansible_user=root
 ansible_ssh_pass={{ hv_ssh_pass }}
 base_domain={{ base_dns_name }}
@@ -106,6 +107,16 @@ machine_network={{ controlplane_network }}
 network_prefix={{ controlplane_network_prefix }}
 gateway={{ controlplane_network_gateway }}
 bw_limit={{ hv_vm_bandwidth_limit }}
+
+boot_iso=discovery.iso
+lab_interface={{ controlplane_lab_interface }}
+network_interface={{ controlplane_network_interface }}
+{% if controlplane_bastion_as_dns %}
+dns1={{ bastion_controlplane_ip }}
+{% else %}
+dns1={{ labs[lab]['dns'][0] }}
+dns2={{ labs[lab]['dns'][1] | default('') }}
+{% endif %}
 {% else %}
 [hv]
 # Set `hv_inventory: true` to populate
diff --git a/ansible/roles/mno-post-cluster-install/tasks/main.yml b/ansible/roles/mno-post-cluster-install/tasks/main.yml
index eb20c133..d2e34fd8 100644
--- a/ansible/roles/mno-post-cluster-install/tasks/main.yml
+++ b/ansible/roles/mno-post-cluster-install/tasks/main.yml
@@ -154,7 +154,7 @@
   - name: Label the worker nodes
     shell: |
       KUBECONFIG={{ bastion_cluster_config_dir }}/kubeconfig oc label no --overwrite {{ item }} localstorage=true prometheus=true
-    with_items: "{{ groups['worker'] }}"
+    with_items: "{{ groups['worker'] + groups['hv_vm'][hybrid_worker_offset:hybrid_worker_offset+hybrid_worker_count] }}"
 
   - name: Install local-storage operator
     shell:
diff --git a/ansible/roles/wait-hosts-discovered/tasks/main.yml b/ansible/roles/wait-hosts-discovered/tasks/main.yml
index 12530ddc..be4c092d 100644
--- a/ansible/roles/wait-hosts-discovered/tasks/main.yml
+++ b/ansible/roles/wait-hosts-discovered/tasks/main.yml
@@ -3,7 +3,7 @@
 
 - name: MNO - Create list of nodes to be discovered
   set_fact:
-    inventory_nodes: "{{ groups['controlplane'] + groups['worker'] }}"
+    inventory_nodes: "{{ groups['controlplane'] + groups['worker'] + groups['hv_vm'][hybrid_worker_offset:hybrid_worker_offset+hybrid_worker_count] }}"
   when: cluster_type == "mno"
 
 - name: SNO - Create list of nodes to be discovered
diff --git a/ansible/roles/wait-hosts-discovered/tasks/set_hostname_role.yml b/ansible/roles/wait-hosts-discovered/tasks/set_hostname_role.yml
index 7c8bbb44..9c494de4 100644
--- a/ansible/roles/wait-hosts-discovered/tasks/set_hostname_role.yml
+++ b/ansible/roles/wait-hosts-discovered/tasks/set_hostname_role.yml
@@ -1,39 +1,50 @@
 ---
 # Set hostname and role
 
-- name: Set the host bmc address
+- name: Lookup the discovered host's bmc address
   set_fact:
     host_bmc: "{{ (discovered_host.inventory | from_json).bmc_address }}"
   when: lab in cloud_labs
 
-- name: Set the host ID
+- name: Lookup the discovered host's mac address
+  set_fact:
+    host_mac: "{{ (discovered_host.inventory | from_json).interfaces.0.mac_address }}"
+  when: lab in rh_labs
+
+- name: Lookup the discovered host's ID
   set_fact:
     host_interfaces: "{{ (discovered_host.inventory | from_json).interfaces }}"
     host_id: "{{ discovered_host.id }}"
 
-- name: Set the hostname and role via mac address
-  set_fact:
-    hostname: "{{ item.0 }}"
-    host_role: "{{ hostvars[item.0]['role'] }}"
+- name: Lookup the discovered host's hostname and role via mac address
+  block:
+  - name: "Set the hostname"
+    set_fact:
+      hostname: "{{ item }}"
+    with_items: "{{ hostvars | json_query(json_qry) }}"
+    vars:
+      json_qry: "(*)[?lab_mac=='{{ host_mac }}' || mac_address=='{{ host_mac }}'].inventory_hostname"
+  - name: Set the role
+    set_fact:
+      host_role: "{{ hostvars[hostname]['role'] }}"
   when:
     - lab in rh_labs
-    - hostvars[item.0]['lab_mac'] == item.1.mac_address
-  loop: "{{ inventory_nodes | product(host_interfaces) | list }}"
-  loop_control:
-    label: "{{ hostvars[item.0]['bmc_address'] }}"
 
-- name: Set the hostname and role via bmc address
-  set_fact:
-    hostname: "{{ item }}"
-    host_role: "{{ hostvars[item]['role'] }}"
+- name: Lookup the discovered host's hostname and role via bmc address
+  block:
+  - name: "Set the hostname"
+    set_fact:
+      hostname: "{{ item }}"
+    with_items: "{{ hostvars | json_query(json_qry) }}"
+    vars:
+      json_qry: "(*)[?bmc_address=='{{ host_bmc }}'].inventory_hostname"
+  - name: Set the role
+    set_fact:
+      host_role: "{{ hostvars[item]['role'] }}"
   when:
     - lab in cloud_labs
-    - hostvars[item]['bmc_address'] == host_bmc
-  loop: "{{ inventory_nodes }}"
-  loop_control:
-    label: "{{ hostvars[item]['bmc_address'] }}"
 
-- name: Set hostname and role for {{ hostname }}
+- name: Set the discovered host's hostname and role in assisted installer
   uri:
     url: "http://{{ assisted_installer_host }}:{{ assisted_installer_port }}/api/assisted-install/v2/infra-envs/{{ ai_infraenv_id }}/hosts/{{ host_id }}"
     method: PATCH
diff --git a/ansible/vars/all.sample.yml b/ansible/vars/all.sample.yml
index ae0a90a9..8f99c81b 100644
--- a/ansible/vars/all.sample.yml
+++ b/ansible/vars/all.sample.yml
@@ -13,6 +13,9 @@ cluster_type:
 
 # Applies to mno clusters
 worker_node_count:
+# If HV is setup, how many workers are VMs
+hybrid_worker_count: 0
+hybrid_worker_offset: 0
 
 # Enter whether the build should use 'dev' (early candidate builds) or 'ga' for Generally Available versions of OpenShift
 # Empty value results in playbook failing with error message. Example of dev builds would be 'candidate-4.17', 'candidate-4.16'