diff --git a/images/daos-client-image.json b/images/daos-client-image.json
deleted file mode 100644
index d38d006..0000000
--- a/images/daos-client-image.json
+++ /dev/null
@@ -1,45 +0,0 @@
-{
-  "variables": {
-    "daos_version": "{{env `DAOS_VERSION`}}"
-  },
-    "builders": [
-    {
-      "type": "googlecompute",
-      "name": "daos-client-hpc-centos-7",
-      "account_file": "{{user `account_file`}}",
-      "project_id": "{{user `project_id`}}",
-      "source_image_project_id": [
-        "cloud-hpc-image-public"
-      ],
-      "source_image_family": "hpc-centos-7",
-      "image_name": "daos-client-hpc-centos-7-v{{isotime \"20060102-030405\"}}",
-      "image_family": "daos-client-hpc-centos-7",
-      "machine_type": "n1-standard-16",
-      "disk_size": "20",
-      "ssh_username": "packer",
-      "zone": "{{user `zone`}}",
-      "scopes": [
-        "https://www.googleapis.com/auth/cloud-platform"
-      ],
-      "metadata": {
-        "enable-oslogin": "False"
-      }
-    }
-  ],
-  "provisioners": [
-    {
-      "type": "shell",
-      "environment_vars": [
-        "DAOS_REPO_BASE_URL={{user `daos_repo_base_url`}}",
-        "DAOS_VERSION={{user `daos_version`}}",
-        "DAOS_INSTALL_TYPE=client"
-      ],
-      "execute_command": "echo 'packer' | sudo -S env {{ .Vars }} {{ .Path }}",
-      "pause_before": "5s",
-      "scripts": [
-        "./scripts/tune.sh",
-        "./scripts/install_daos.sh"
-      ]
-    }
-  ]
-}
diff --git a/images/daos-client-image.pkr.hcl b/images/daos-client-image.pkr.hcl
new file mode 100644
index 0000000..cfd25ac
--- /dev/null
+++ b/images/daos-client-image.pkr.hcl
@@ -0,0 +1,53 @@
+packer {
+  required_plugins {
+    googlecompute = {
+      version = ">= v1.0.11"
+      source  = "github.com/hashicorp/googlecompute"
+    }
+  }
+}
+
+variable "daos_repo_base_url" {
+  type = string
+}
+variable "daos_version" {
+  type = string
+}
+variable "project_id" {
+  type = string
+}
+variable "zone" {
+  type = string
+}
+
+source "googlecompute" "daos-client-hpc-centos-7" {
+  disk_size               = "20"
+  image_family            = "daos-client-hpc-centos-7"
+  image_guest_os_features = ["GVNIC"]
+  image_name              = "daos-client-hpc-centos-7-v${formatdate("YYYYMMDD-hhmmss", timestamp())}"
+  machine_type            = "n1-standard-16"
+  metadata = {
+    enable-oslogin = "False"
+  }
+  project_id              = "${var.project_id}"
+  scopes                  = ["https://www.googleapis.com/auth/cloud-platform"]
+  source_image_family     = "hpc-centos-7"
+  source_image_project_id = ["cloud-hpc-image-public"]
+  ssh_username            = "packer"
+  zone                    = "${var.zone}"
+}
+
+build {
+  sources = ["source.googlecompute.daos-client-hpc-centos-7"]
+
+  provisioner "shell" {
+    environment_vars = ["DAOS_REPO_BASE_URL=${var.daos_repo_base_url}", "DAOS_VERSION=${var.daos_version}", "DAOS_INSTALL_TYPE=client"]
+    execute_command  = "echo 'packer' | sudo -S env {{ .Vars }} {{ .Path }}"
+    pause_before     = "5s"
+    scripts          = [
+      "./scripts/tune.sh",
+      "./scripts/install_daos.sh"
+    ]
+  }
+
+}
diff --git a/images/daos-server-image.json b/images/daos-server-image.json
deleted file mode 100644
index 7105463..0000000
--- a/images/daos-server-image.json
+++ /dev/null
@@ -1,45 +0,0 @@
-{
-    "variables": {
-      "daos_version": "{{env `DAOS_VERSION`}}"
-    },
-    "builders": [
-    {
-      "type": "googlecompute",
-      "name": "daos-server-centos-7",
-      "account_file": "{{user `account_file`}}",
-      "project_id": "{{user `project_id`}}",
-      "source_image_project_id": [
-        "centos-cloud"
-      ],
-      "source_image_family": "centos-7",
-      "image_name": "daos-server-centos-7-v{{isotime \"20060102-030405\"}}",
-      "image_family": "daos-server-centos-7",
-      "machine_type": "n1-standard-16",
-      "disk_size": "20",
-      "ssh_username": "packer",
-      "zone": "{{user `zone`}}",
-      "scopes": [
-        "https://www.googleapis.com/auth/cloud-platform"
-      ],
-      "metadata": {
-        "enable-oslogin": "False"
-      }
-    }
-  ],
-  "provisioners": [
-    {
-      "type": "shell",
-      "execute_command": "echo 'packer' | sudo -S env {{ .Vars }} {{ .Path }}",
-      "environment_vars": [
-        "DAOS_REPO_BASE_URL={{user `daos_repo_base_url`}}",
-        "DAOS_VERSION={{user `daos_version`}}",
-        "DAOS_INSTALL_TYPE=server"
-      ],
-      "pause_before": "5s",
-      "scripts": [
-        "./scripts/tune.sh",
-        "./scripts/install_daos.sh"
-      ]
-    }
-  ]
-}
diff --git a/images/daos-server-image.pkr.hcl b/images/daos-server-image.pkr.hcl
new file mode 100644
index 0000000..ffe0945
--- /dev/null
+++ b/images/daos-server-image.pkr.hcl
@@ -0,0 +1,53 @@
+packer {
+  required_plugins {
+    googlecompute = {
+      version = ">= v1.0.11"
+      source  = "github.com/hashicorp/googlecompute"
+    }
+  }
+}
+
+variable "daos_repo_base_url" {
+  type = string
+}
+variable "daos_version" {
+  type = string
+}
+variable "project_id" {
+  type = string
+}
+variable "zone" {
+  type = string
+}
+
+source "googlecompute" "daos-server-centos-7" {
+  disk_size               = "20"
+  image_family            = "daos-server-centos-7"
+  image_guest_os_features = ["GVNIC"]
+  image_name              = "daos-server-centos-7-v${formatdate("YYYYMMDD-hhmmss", timestamp())}"
+  machine_type            = "n1-standard-16"
+  metadata = {
+    enable-oslogin = "False"
+  }
+  project_id              = "${var.project_id}"
+  scopes                  = ["https://www.googleapis.com/auth/cloud-platform"]
+  source_image_family     = "centos-7"
+  source_image_project_id = ["centos-cloud"]
+  ssh_username            = "packer"
+  zone                    = "${var.zone}"
+}
+
+build {
+  sources = ["source.googlecompute.daos-server-centos-7"]
+
+  provisioner "shell" {
+    environment_vars = ["DAOS_REPO_BASE_URL=${var.daos_repo_base_url}", "DAOS_VERSION=${var.daos_version}", "DAOS_INSTALL_TYPE=server"]
+    execute_command  = "echo 'packer' | sudo -S env {{ .Vars }} {{ .Path }}"
+    pause_before     = "5s"
+    scripts          = [
+      "./scripts/tune.sh",
+      "./scripts/install_daos.sh"
+    ]
+  }
+
+}
diff --git a/images/packer_cloudbuild-client.yaml b/images/packer_cloudbuild-client.yaml
index 864229e..c706584 100644
--- a/images/packer_cloudbuild-client.yaml
+++ b/images/packer_cloudbuild-client.yaml
@@ -14,14 +14,14 @@
 
 steps:
 - name: 'gcr.io/$PROJECT_ID/packer'
+  entrypoint: '/bin/bash'
   args:
-  - build
-  - -var
-  - project_id=${_PROJECT_ID}
-  - -var
-  - zone=${_ZONE}
-  - -var
-  - daos_version=${_DAOS_VERSION}
-  - -var
-  - daos_repo_base_url=${_DAOS_REPO_BASE_URL}
-  - daos-client-image.json
+  - '-c'
+  - |
+    /usr/bin/packer init daos-client-image.pkr.hcl && \
+    /usr/bin/packer build \
+      -var daos_repo_base_url=${_DAOS_REPO_BASE_URL} \
+      -var daos_version=${_DAOS_VERSION} \
+      -var project_id=${_PROJECT_ID} \
+      -var zone=${_ZONE} \
+      daos-client-image.pkr.hcl
diff --git a/images/packer_cloudbuild-server.yaml b/images/packer_cloudbuild-server.yaml
index 54b9489..86c41ba 100644
--- a/images/packer_cloudbuild-server.yaml
+++ b/images/packer_cloudbuild-server.yaml
@@ -14,14 +14,14 @@
 
 steps:
 - name: 'gcr.io/$PROJECT_ID/packer'
+  entrypoint: '/bin/bash'
   args:
-  - build
-  - -var
-  - project_id=${_PROJECT_ID}
-  - -var
-  - zone=${_ZONE}
-  - -var
-  - daos_version=${_DAOS_VERSION}
-  - -var
-  - daos_repo_base_url=${_DAOS_REPO_BASE_URL}
-  - daos-server-image.json
+  - '-c'
+  - |
+    /usr/bin/packer init daos-server-image.pkr.hcl && \
+    /usr/bin/packer build \
+      -var daos_repo_base_url=${_DAOS_REPO_BASE_URL} \
+      -var daos_version=${_DAOS_VERSION} \
+      -var project_id=${_PROJECT_ID} \
+      -var zone=${_ZONE} \
+      daos-server-image.pkr.hcl
diff --git a/terraform/examples/daos_cluster/README.md b/terraform/examples/daos_cluster/README.md
index 1ca89d6..1adbe8a 100644
--- a/terraform/examples/daos_cluster/README.md
+++ b/terraform/examples/daos_cluster/README.md
@@ -233,6 +233,7 @@ No resources.
 
 | Name | Description | Type | Default | Required |
 |------|-------------|------|---------|:--------:|
+| <a name="input_client_gvnic"></a> [client\_gvnic](#input\_client\_gvnic) | Use Google Virtual NIC (gVNIC) network interface on DAOS clients | `bool` | `false` | no |
 | <a name="input_client_instance_base_name"></a> [client\_instance\_base\_name](#input\_client\_instance\_base\_name) | MIG instance base names to use | `string` | `"daos-client"` | no |
 | <a name="input_client_labels"></a> [client\_labels](#input\_client\_labels) | Set of key/value label pairs to assign to daos-client instances | `any` | `{}` | no |
 | <a name="input_client_machine_type"></a> [client\_machine\_type](#input\_client\_machine\_type) | GCP machine type. ie. c2-standard-16 | `string` | `"c2-standard-16"` | no |
@@ -252,6 +253,7 @@ No resources.
 | <a name="input_server_daos_disk_count"></a> [server\_daos\_disk\_count](#input\_server\_daos\_disk\_count) | Number of local ssd's to use | `number` | `16` | no |
 | <a name="input_server_daos_disk_type"></a> [server\_daos\_disk\_type](#input\_server\_daos\_disk\_type) | Daos disk type to use. For now only suported one is local-ssd | `string` | `"local-ssd"` | no |
 | <a name="input_server_daos_scm_size"></a> [server\_daos\_scm\_size](#input\_server\_daos\_scm\_size) | scm\_size | `number` | `200` | no |
+| <a name="input_server_gvnic"></a> [server\_gvnic](#input\_server\_gvnic) | Use Google Virtual NIC (gVNIC) network interface on DAOS servers | `bool` | `false` | no |
 | <a name="input_server_instance_base_name"></a> [server\_instance\_base\_name](#input\_server\_instance\_base\_name) | MIG instance base names to use | `string` | `"daos-server"` | no |
 | <a name="input_server_labels"></a> [server\_labels](#input\_server\_labels) | Set of key/value label pairs to assign to daos-server instances | `any` | `{}` | no |
 | <a name="input_server_machine_type"></a> [server\_machine\_type](#input\_server\_machine\_type) | GCP machine type. ie. e2-medium | `string` | `"n2-custom-36-215040"` | no |
diff --git a/terraform/examples/daos_cluster/main.tf b/terraform/examples/daos_cluster/main.tf
index 2cf6424..714065d 100644
--- a/terraform/examples/daos_cluster/main.tf
+++ b/terraform/examples/daos_cluster/main.tf
@@ -25,9 +25,9 @@ module "daos_server" {
   daos_disk_type      = var.server_daos_disk_type
   daos_crt_timeout    = var.server_daos_crt_timeout
   daos_scm_size       = var.server_daos_scm_size
-
-  service_account = var.server_service_account
-  pools           = var.server_pools
+  service_account     = var.server_service_account
+  pools               = var.server_pools
+  gvnic               = var.server_gvnic
 }
 
 module "daos_client" {
@@ -52,4 +52,5 @@ module "daos_client" {
   service_account     = var.client_service_account
   daos_agent_yml      = module.daos_server.daos_agent_yml
   daos_control_yml    = module.daos_server.daos_control_yml
+  gvnic               = var.client_gvnic
 }
diff --git a/terraform/examples/daos_cluster/module.json b/terraform/examples/daos_cluster/module.json
index fe672d6..b428076 100644
--- a/terraform/examples/daos_cluster/module.json
+++ b/terraform/examples/daos_cluster/module.json
@@ -2,6 +2,13 @@
   "header": "",
   "footer": "",
   "inputs": [
+    {
+      "name": "client_gvnic",
+      "type": "bool",
+      "description": "Use Google Virtual NIC (gVNIC) network interface on DAOS clients",
+      "default": false,
+      "required": false
+    },
     {
       "name": "client_instance_base_name",
       "type": "string",
@@ -145,6 +152,13 @@
       "default": 200,
       "required": false
     },
+    {
+      "name": "server_gvnic",
+      "type": "bool",
+      "description": "Use Google Virtual NIC (gVNIC) network interface on DAOS servers",
+      "default": false,
+      "required": false
+    },
     {
       "name": "server_instance_base_name",
       "type": "string",
diff --git a/terraform/examples/daos_cluster/variables.tf b/terraform/examples/daos_cluster/variables.tf
index 1c8cf6a..ddfe106 100644
--- a/terraform/examples/daos_cluster/variables.tf
+++ b/terraform/examples/daos_cluster/variables.tf
@@ -148,7 +148,12 @@ variable "server_daos_scm_size" {
 variable "server_daos_crt_timeout" {
   description = "crt_timeout"
   default     = 300
-  type        = number
+}
+
+variable "server_gvnic" {
+  description = "Use Google Virtual NIC (gVNIC) network interface on DAOS servers"
+  default     = false
+  type        = bool
 }
 
 variable "client_labels" {
@@ -234,3 +239,8 @@ variable "client_preemptible" {
   type        = string
 }
 
+variable "client_gvnic" {
+  description = "Use Google Virtual NIC (gVNIC) network interface on DAOS clients"
+  default     = false
+  type        = bool
+}
diff --git a/terraform/examples/io500/build_daos_io500_images.sh b/terraform/examples/io500/build_daos_io500_images.sh
index 73f622c..be974e8 100755
--- a/terraform/examples/io500/build_daos_io500_images.sh
+++ b/terraform/examples/io500/build_daos_io500_images.sh
@@ -168,8 +168,8 @@ create_tmp_dir() {
   cp -r "${IMAGES_DIR}" "${TMP_DIR}/"
   TMP_IMAGES_DIR="${TMP_DIR}/$(basename "${IMAGES_DIR}")"
   TMP_SCRIPTS_DIR="${TMP_IMAGES_DIR}/scripts"
-  TMP_CLIENT_PACKER_FILE="${TMP_IMAGES_DIR}/daos-client-image.json"
-  TMP_SERVER_PACKER_FILE="${TMP_IMAGES_DIR}/daos-server-image.json"
+  TMP_CLIENT_PACKER_FILE="${TMP_IMAGES_DIR}/daos-client-image.pkr.hcl"
+  TMP_SERVER_PACKER_FILE="${TMP_IMAGES_DIR}/daos-server-image.pkr.hcl"
 }
 
 cleanup() {
@@ -184,7 +184,7 @@ add_script() {
   script_name="$1"
   comma="$2"
   if ! grep -q "${script_name}" "${TMP_CLIENT_PACKER_FILE}"; then
-    sed -i "\|\"./scripts/install_daos.sh\",$|a \\        \"./scripts/${script_name}\"${comma}" "${TMP_CLIENT_PACKER_FILE}"
+    sed -i "\|\"./scripts/install_daos.sh\",$|a \\      \"./scripts/${script_name}\"${comma}" "${TMP_CLIENT_PACKER_FILE}"
   fi
 }
 
diff --git a/terraform/examples/io500/config/config.sh b/terraform/examples/io500/config/config.sh
index 6968520..43b2f44 100644
--- a/terraform/examples/io500/config/config.sh
+++ b/terraform/examples/io500/config/config.sh
@@ -22,10 +22,12 @@ DAOS_SERVER_MACHINE_TYPE=n2-highmem-32 # n2-custom-20-131072 n2-custom-40-262144
 DAOS_SERVER_DISK_COUNT=8
 DAOS_SERVER_CRT_TIMEOUT=300
 DAOS_SERVER_SCM_SIZE=100
+DAOS_SERVER_GVNIC=false
 
 # Client(s)
 DAOS_CLIENT_INSTANCE_COUNT="1"
 DAOS_CLIENT_MACHINE_TYPE=c2-standard-16 # c2-standard-16 n2-standard-2
+DAOS_CLIENT_GVNIC=false
 
 # Storage
 DAOS_POOL_SIZE="$(awk -v disk_count=${DAOS_SERVER_DISK_COUNT} -v server_count=${DAOS_SERVER_INSTANCE_COUNT} 'BEGIN {pool_size = 375 * disk_count * server_count / 1000; print pool_size"TB"}')"
@@ -68,6 +70,7 @@ export TF_VAR_server_mig_name="${DAOS_SERVER_BASE_NAME}"
 export TF_VAR_server_machine_type="${DAOS_SERVER_MACHINE_TYPE}"
 export TF_VAR_server_os_project="${TF_VAR_project_id}"
 export TF_VAR_server_os_family="daos-server-io500-centos-7"
+export TF_VAR_server_gvnic="${DAOS_SERVER_GVNIC}"
 # Clients
 export TF_VAR_client_preemptible=${PREEMPTIBLE_INSTANCES}
 export TF_VAR_client_number_of_instances=${DAOS_CLIENT_INSTANCE_COUNT}
@@ -79,3 +82,4 @@ export TF_VAR_client_mig_name="${DAOS_CLIENT_BASE_NAME}"
 export TF_VAR_client_machine_type="${DAOS_CLIENT_MACHINE_TYPE}"
 export TF_VAR_client_os_project="${TF_VAR_project_id}"
 export TF_VAR_client_os_family="daos-client-io500-hpc-centos-7"
+export TF_VAR_client_gvnic="${DAOS_CLIENT_GVNIC}"
diff --git a/terraform/examples/io500/config/config_1c_1s_8d.sh b/terraform/examples/io500/config/config_1c_1s_8d.sh
index 66613ba..8aabf67 100644
--- a/terraform/examples/io500/config/config_1c_1s_8d.sh
+++ b/terraform/examples/io500/config/config_1c_1s_8d.sh
@@ -22,10 +22,12 @@ DAOS_SERVER_MACHINE_TYPE=n2-highmem-32
 DAOS_SERVER_DISK_COUNT=8
 DAOS_SERVER_CRT_TIMEOUT=300
 DAOS_SERVER_SCM_SIZE=100
+DAOS_SERVER_GVNIC=false
 
 # Client(s)
 DAOS_CLIENT_INSTANCE_COUNT="1"
 DAOS_CLIENT_MACHINE_TYPE=c2-standard-16
+DAOS_CLIENT_GVNIC=false
 
 # Storage
 DAOS_POOL_SIZE="$(awk -v disk_count=${DAOS_SERVER_DISK_COUNT} -v server_count=${DAOS_SERVER_INSTANCE_COUNT} 'BEGIN {pool_size = 375 * disk_count * server_count / 1000; print pool_size"TB"}')"
@@ -69,6 +71,7 @@ export TF_VAR_server_mig_name="${DAOS_SERVER_BASE_NAME}"
 export TF_VAR_server_machine_type="${DAOS_SERVER_MACHINE_TYPE}"
 export TF_VAR_server_os_project="${TF_VAR_project_id}"
 export TF_VAR_server_os_family="daos-server-io500-centos-7"
+export TF_VAR_server_gvnic="${DAOS_SERVER_GVNIC}"
 # Clients
 export TF_VAR_client_preemptible=${PREEMPTIBLE_INSTANCES}
 export TF_VAR_client_number_of_instances=${DAOS_CLIENT_INSTANCE_COUNT}
@@ -80,3 +83,4 @@ export TF_VAR_client_mig_name="${DAOS_CLIENT_BASE_NAME}"
 export TF_VAR_client_machine_type="${DAOS_CLIENT_MACHINE_TYPE}"
 export TF_VAR_client_os_project="${TF_VAR_project_id}"
 export TF_VAR_client_os_family="daos-client-io500-hpc-centos-7"
+export TF_VAR_client_gvnic="${DAOS_CLIENT_GVNIC}"
diff --git a/terraform/examples/io500/config/config_2c_2s_16d.sh b/terraform/examples/io500/config/config_2c_2s_16d.sh
index 340f492..d51cfc8 100644
--- a/terraform/examples/io500/config/config_2c_2s_16d.sh
+++ b/terraform/examples/io500/config/config_2c_2s_16d.sh
@@ -22,10 +22,12 @@ DAOS_SERVER_MACHINE_TYPE=n2-custom-36-262144
 DAOS_SERVER_DISK_COUNT=16
 DAOS_SERVER_CRT_TIMEOUT=300
 DAOS_SERVER_SCM_SIZE=200
+DAOS_SERVER_GVNIC=false
 
 # Client(s)
 DAOS_CLIENT_INSTANCE_COUNT="2"
 DAOS_CLIENT_MACHINE_TYPE=c2-standard-16
+DAOS_CLIENT_GVNIC=false
 
 # Storage
 DAOS_POOL_SIZE="$(awk -v disk_count=${DAOS_SERVER_DISK_COUNT} -v server_count=${DAOS_SERVER_INSTANCE_COUNT} 'BEGIN {pool_size = 375 * disk_count * server_count / 1000; print pool_size"TB"}')"
@@ -69,6 +71,7 @@ export TF_VAR_server_mig_name="${DAOS_SERVER_BASE_NAME}"
 export TF_VAR_server_machine_type="${DAOS_SERVER_MACHINE_TYPE}"
 export TF_VAR_server_os_project="${TF_VAR_project_id}"
 export TF_VAR_server_os_family="daos-server-io500-centos-7"
+export TF_VAR_server_gvnic="${DAOS_SERVER_GVNIC}"
 # Clients
 export TF_VAR_client_preemptible=${PREEMPTIBLE_INSTANCES}
 export TF_VAR_client_number_of_instances=${DAOS_CLIENT_INSTANCE_COUNT}
@@ -80,3 +83,4 @@ export TF_VAR_client_mig_name="${DAOS_CLIENT_BASE_NAME}"
 export TF_VAR_client_machine_type="${DAOS_CLIENT_MACHINE_TYPE}"
 export TF_VAR_client_os_project="${TF_VAR_project_id}"
 export TF_VAR_client_os_family="daos-client-io500-hpc-centos-7"
+export TF_VAR_client_gvnic="${DAOS_CLIENT_GVNIC}"
diff --git a/terraform/examples/io500/start.sh b/terraform/examples/io500/start.sh
index fd8fe6a..ffb5772 100755
--- a/terraform/examples/io500/start.sh
+++ b/terraform/examples/io500/start.sh
@@ -467,6 +467,16 @@ show_instances() {
     --filter="name~'^${DAOS_FILTER}'"
 }
 
+check_gvnic() {
+  DAOS_SERVER_NETWORK_TYPE=$(ssh -q -F "${SSH_CONFIG_FILE}" ${FIRST_CLIENT_IP} "ssh ${DAOS_FIRST_SERVER} 'sudo lshw -class network'" | sed -n "s/^.*product: \(.*\$\)/\1/p")
+  DAOS_CLIENT_NETWORK_TYPE=$(ssh -q -F "${SSH_CONFIG_FILE}" ${FIRST_CLIENT_IP} "sudo lshw -class network" | sed -n "s/^.*product: \(.*\$\)/\1/p")
+
+  log_section "Network adapters type:"
+  printf '%s\n%s\n' \
+    "DAOS_SERVER_NETWORK_TYPE = ${DAOS_SERVER_NETWORK_TYPE}" \
+    "DAOS_CLIENT_NETWORK_TYPE = ${DAOS_CLIENT_NETWORK_TYPE}"
+}
+
 show_run_steps() {
 
  log_section "DAOS Server and Client instances are ready for IO500 run"
@@ -497,6 +507,7 @@ main() {
   copy_files_to_first_client
   propagate_ssh_keys_to_all_nodes
   show_instances
+  check_gvnic
   show_run_steps
 }
 
diff --git a/terraform/modules/daos_client/README.md b/terraform/modules/daos_client/README.md
index 68ea3c3..cae343b 100644
--- a/terraform/modules/daos_client/README.md
+++ b/terraform/modules/daos_client/README.md
@@ -29,12 +29,14 @@ limitations under the License.
 |------|---------|
 | <a name="requirement_terraform"></a> [terraform](#requirement\_terraform) | >= 0.14.5 |
 | <a name="requirement_google"></a> [google](#requirement\_google) | >= 3.54.0 |
+| <a name="requirement_google-beta"></a> [google-beta](#requirement\_google-beta) | >= 4.16.0 |
 
 ## Providers
 
 | Name | Version |
 |------|---------|
 | <a name="provider_google"></a> [google](#provider\_google) | >= 3.54.0 |
+| <a name="provider_google-beta"></a> [google-beta](#provider\_google-beta) | >= 4.16.0 |
 
 ## Modules
 
@@ -44,8 +46,8 @@ No modules.
 
 | Name | Type |
 |------|------|
+| [google-beta_google_compute_instance_template.daos_sig_template](https://registry.terraform.io/providers/hashicorp/google-beta/latest/docs/resources/google_compute_instance_template) | resource |
 | [google_compute_instance_group_manager.daos_sig](https://registry.terraform.io/providers/hashicorp/google/latest/docs/resources/compute_instance_group_manager) | resource |
-| [google_compute_instance_template.daos_sig_template](https://registry.terraform.io/providers/hashicorp/google/latest/docs/resources/compute_instance_template) | resource |
 | [google_compute_per_instance_config.named_instances](https://registry.terraform.io/providers/hashicorp/google/latest/docs/resources/compute_per_instance_config) | resource |
 | [google_compute_image.os_image](https://registry.terraform.io/providers/hashicorp/google/latest/docs/data-sources/compute_image) | data source |
 
@@ -55,6 +57,7 @@ No modules.
 |------|-------------|------|---------|:--------:|
 | <a name="input_daos_agent_yml"></a> [daos\_agent\_yml](#input\_daos\_agent\_yml) | YAML to configure the daos agent. | `string` | n/a | yes |
 | <a name="input_daos_control_yml"></a> [daos\_control\_yml](#input\_daos\_control\_yml) | YAML configuring DAOS control. | `string` | n/a | yes |
+| <a name="input_gvnic"></a> [gvnic](#input\_gvnic) | Use Google Virtual NIC (gVNIC) network interface | `bool` | `false` | no |
 | <a name="input_instance_base_name"></a> [instance\_base\_name](#input\_instance\_base\_name) | MIG instance base names to use | `string` | `"daos-client"` | no |
 | <a name="input_labels"></a> [labels](#input\_labels) | Set of key/value label pairs to assign to daos-client instances | `any` | `{}` | no |
 | <a name="input_machine_type"></a> [machine\_type](#input\_machine\_type) | GCP machine type. ie. c2-standard-16 | `string` | `"c2-standard-16"` | no |
@@ -77,4 +80,4 @@ No modules.
 ## Outputs
 
 No outputs.
-<!-- END OF PRE-COMMIT-TERRAFORM DOCS HOOK -->
\ No newline at end of file
+<!-- END OF PRE-COMMIT-TERRAFORM DOCS HOOK -->
diff --git a/terraform/modules/daos_client/main.tf b/terraform/modules/daos_client/main.tf
index 3b3960d..13dacb1 100644
--- a/terraform/modules/daos_client/main.tf
+++ b/terraform/modules/daos_client/main.tf
@@ -19,6 +19,9 @@ locals {
   subnetwork_project = var.subnetwork_project != null ? var.subnetwork_project : var.project_id
   client_startup_script = file(
   "${path.module}/templates/daos_startup_script.tftpl")
+  # Google Virtual NIC (gVNIC) network interface
+  nic_type                    = var.gvnic ? "GVNIC" : "VIRTIO_NET"
+  total_egress_bandwidth_tier = var.gvnic ? "TIER_1" : "DEFAULT"
 }
 
 data "google_compute_image" "os_image" {
@@ -27,6 +30,7 @@ data "google_compute_image" "os_image" {
 }
 
 resource "google_compute_instance_template" "daos_sig_template" {
+  provider       = google-beta
   name           = var.template_name
   machine_type   = var.machine_type
   can_ip_forward = false
@@ -47,6 +51,11 @@ resource "google_compute_instance_template" "daos_sig_template" {
     network            = var.network_name
     subnetwork         = var.subnetwork_name
     subnetwork_project = local.subnetwork_project
+    nic_type           = local.nic_type
+  }
+
+  network_performance_config {
+    total_egress_bandwidth_tier = local.total_egress_bandwidth_tier
   }
 
   dynamic "service_account" {
diff --git a/terraform/modules/daos_client/module.json b/terraform/modules/daos_client/module.json
index ded9dc5..06b36ed 100644
--- a/terraform/modules/daos_client/module.json
+++ b/terraform/modules/daos_client/module.json
@@ -16,6 +16,13 @@
       "default": null,
       "required": true
     },
+    {
+      "name": "gvnic",
+      "type": "bool",
+      "description": "Use Google Virtual NIC (gVNIC) network interface",
+      "default": false,
+      "required": false
+    },
     {
       "name": "instance_base_name",
       "type": "string",
@@ -160,6 +167,11 @@
       "name": "google",
       "alias": null,
       "version": "\u003e= 3.54.0"
+    },
+    {
+      "name": "google-beta",
+      "alias": null,
+      "version": "\u003e= 4.16.0"
     }
   ],
   "requirements": [
@@ -170,21 +182,25 @@
     {
       "name": "google",
       "version": "\u003e= 3.54.0"
+    },
+    {
+      "name": "google-beta",
+      "version": "\u003e= 4.16.0"
     }
   ],
   "resources": [
     {
-      "type": "compute_instance_group_manager",
-      "name": "daos_sig",
-      "provider": "google",
-      "source": "hashicorp/google",
+      "type": "google_compute_instance_template",
+      "name": "daos_sig_template",
+      "provider": "google-beta",
+      "source": "hashicorp/google-beta",
       "mode": "managed",
       "version": "latest",
       "description": null
     },
     {
-      "type": "compute_instance_template",
-      "name": "daos_sig_template",
+      "type": "compute_instance_group_manager",
+      "name": "daos_sig",
       "provider": "google",
       "source": "hashicorp/google",
       "mode": "managed",
diff --git a/terraform/modules/daos_client/variables.tf b/terraform/modules/daos_client/variables.tf
index 2a35f72..2657d26 100644
--- a/terraform/modules/daos_client/variables.tf
+++ b/terraform/modules/daos_client/variables.tf
@@ -137,3 +137,8 @@ variable "daos_control_yml" {
   type        = string
 }
 
+variable "gvnic" {
+  description = "Use Google Virtual NIC (gVNIC) network interface"
+  default     = false
+  type        = bool
+}
diff --git a/terraform/modules/daos_client/versions.tf b/terraform/modules/daos_client/versions.tf
index 1aed9ae..aaa2239 100644
--- a/terraform/modules/daos_client/versions.tf
+++ b/terraform/modules/daos_client/versions.tf
@@ -16,6 +16,7 @@
 terraform {
   required_version = ">= 0.14.5"
   required_providers {
-    google = ">= 3.54.0"
+    google      = ">= 3.54.0"
+    google-beta = ">= 4.16.0"
   }
 }
diff --git a/terraform/modules/daos_server/README.md b/terraform/modules/daos_server/README.md
index c069d4f..8af8f49 100644
--- a/terraform/modules/daos_server/README.md
+++ b/terraform/modules/daos_server/README.md
@@ -29,12 +29,14 @@ limitations under the License.
 |------|---------|
 | <a name="requirement_terraform"></a> [terraform](#requirement\_terraform) | >= 0.14.5 |
 | <a name="requirement_google"></a> [google](#requirement\_google) | >= 3.54.0 |
+| <a name="requirement_google-beta"></a> [google-beta](#requirement\_google-beta) | >= 4.16.0 |
 
 ## Providers
 
 | Name | Version |
 |------|---------|
 | <a name="provider_google"></a> [google](#provider\_google) | >= 3.54.0 |
+| <a name="provider_google-beta"></a> [google-beta](#provider\_google-beta) | >= 4.16.0 |
 
 ## Modules
 
@@ -44,8 +46,8 @@ No modules.
 
 | Name | Type |
 |------|------|
+| [google-beta_google_compute_instance_template.daos_sig_template](https://registry.terraform.io/providers/hashicorp/google-beta/latest/docs/resources/google_compute_instance_template) | resource |
 | [google_compute_instance_group_manager.daos_sig](https://registry.terraform.io/providers/hashicorp/google/latest/docs/resources/compute_instance_group_manager) | resource |
-| [google_compute_instance_template.daos_sig_template](https://registry.terraform.io/providers/hashicorp/google/latest/docs/resources/compute_instance_template) | resource |
 | [google_compute_per_instance_config.named_instances](https://registry.terraform.io/providers/hashicorp/google/latest/docs/resources/compute_per_instance_config) | resource |
 | [google_compute_image.os_image](https://registry.terraform.io/providers/hashicorp/google/latest/docs/data-sources/compute_image) | data source |
 
@@ -57,6 +59,7 @@ No modules.
 | <a name="input_daos_disk_count"></a> [daos\_disk\_count](#input\_daos\_disk\_count) | Number of local ssd's to use | `number` | `16` | no |
 | <a name="input_daos_disk_type"></a> [daos\_disk\_type](#input\_daos\_disk\_type) | Daos disk type to use. For now only suported one is local-ssd | `string` | `"local-ssd"` | no |
 | <a name="input_daos_scm_size"></a> [daos\_scm\_size](#input\_daos\_scm\_size) | scm\_size | `number` | `200` | no |
+| <a name="input_gvnic"></a> [gvnic](#input\_gvnic) | Use Google Virtual NIC (gVNIC) network interface | `bool` | `false` | no |
 | <a name="input_instance_base_name"></a> [instance\_base\_name](#input\_instance\_base\_name) | MIG instance base names to use | `string` | `"daos-server"` | no |
 | <a name="input_labels"></a> [labels](#input\_labels) | Set of key/value label pairs to assign to daos-server instances | `any` | `{}` | no |
 | <a name="input_machine_type"></a> [machine\_type](#input\_machine\_type) | GCP machine type. ie. e2-medium | `string` | `"n2-custom-36-215040"` | no |
@@ -85,4 +88,4 @@ No modules.
 | <a name="output_daos_agent_yml"></a> [daos\_agent\_yml](#output\_daos\_agent\_yml) | YAML to configure the daos agent. This is typically saved in /etc/daos/daos\_agent.yml |
 | <a name="output_daos_config_script"></a> [daos\_config\_script](#output\_daos\_config\_script) | Script to configure the DAOS system. This will format the sytem with dmg -l and optionally create the specified pools. |
 | <a name="output_daos_control_yml"></a> [daos\_control\_yml](#output\_daos\_control\_yml) | YAML configuring DAOS control. This is typically saved in /etc/daos/daos\_control.yml |
-<!-- END OF PRE-COMMIT-TERRAFORM DOCS HOOK -->
\ No newline at end of file
+<!-- END OF PRE-COMMIT-TERRAFORM DOCS HOOK -->
diff --git a/terraform/modules/daos_server/main.tf b/terraform/modules/daos_server/main.tf
index 7c89a1d..97e1335 100644
--- a/terraform/modules/daos_server/main.tf
+++ b/terraform/modules/daos_server/main.tf
@@ -57,6 +57,10 @@ locals {
       pools   = var.pools
     }
   )
+
+  # Google Virtual NIC (gVNIC) network interface
+  nic_type                    = var.gvnic ? "GVNIC" : "VIRTIO_NET"
+  total_egress_bandwidth_tier = var.gvnic ? "TIER_1" : "DEFAULT"
 }
 
 data "google_compute_image" "os_image" {
@@ -65,6 +69,7 @@ data "google_compute_image" "os_image" {
 }
 
 resource "google_compute_instance_template" "daos_sig_template" {
+  provider       = google-beta
   name           = var.template_name
   machine_type   = var.machine_type
   can_ip_forward = false
@@ -96,6 +101,11 @@ resource "google_compute_instance_template" "daos_sig_template" {
     network            = var.network_name
     subnetwork         = var.subnetwork_name
     subnetwork_project = local.subnetwork_project
+    nic_type           = local.nic_type
+  }
+
+  network_performance_config {
+    total_egress_bandwidth_tier = local.total_egress_bandwidth_tier
   }
 
   dynamic "service_account" {
diff --git a/terraform/modules/daos_server/module.json b/terraform/modules/daos_server/module.json
index e3d90eb..45ef6ca 100644
--- a/terraform/modules/daos_server/module.json
+++ b/terraform/modules/daos_server/module.json
@@ -30,6 +30,13 @@
       "default": 200,
       "required": false
     },
+    {
+      "name": "gvnic",
+      "type": "bool",
+      "description": "Use Google Virtual NIC (gVNIC) network interface",
+      "default": false,
+      "required": false
+    },
     {
       "name": "instance_base_name",
       "type": "string",
@@ -198,6 +205,11 @@
       "name": "google",
       "alias": null,
       "version": "\u003e= 3.54.0"
+    },
+    {
+      "name": "google-beta",
+      "alias": null,
+      "version": "\u003e= 4.16.0"
     }
   ],
   "requirements": [
@@ -208,21 +220,25 @@
     {
       "name": "google",
       "version": "\u003e= 3.54.0"
+    },
+    {
+      "name": "google-beta",
+      "version": "\u003e= 4.16.0"
     }
   ],
   "resources": [
     {
-      "type": "compute_instance_group_manager",
-      "name": "daos_sig",
-      "provider": "google",
-      "source": "hashicorp/google",
+      "type": "google_compute_instance_template",
+      "name": "daos_sig_template",
+      "provider": "google-beta",
+      "source": "hashicorp/google-beta",
       "mode": "managed",
       "version": "latest",
       "description": null
     },
     {
-      "type": "compute_instance_template",
-      "name": "daos_sig_template",
+      "type": "compute_instance_group_manager",
+      "name": "daos_sig",
       "provider": "google",
       "source": "hashicorp/google",
       "mode": "managed",
diff --git a/terraform/modules/daos_server/variables.tf b/terraform/modules/daos_server/variables.tf
index fd2769e..b0ff4d4 100644
--- a/terraform/modules/daos_server/variables.tf
+++ b/terraform/modules/daos_server/variables.tf
@@ -163,3 +163,9 @@ variable "daos_crt_timeout" {
   default     = 300
   type        = number
 }
+
+variable "gvnic" {
+  description = "Use Google Virtual NIC (gVNIC) network interface"
+  default     = false
+  type        = bool
+}
diff --git a/terraform/modules/daos_server/versions.tf b/terraform/modules/daos_server/versions.tf
index b1211cd..6044f90 100644
--- a/terraform/modules/daos_server/versions.tf
+++ b/terraform/modules/daos_server/versions.tf
@@ -17,6 +17,7 @@
 terraform {
   required_version = ">= 0.14.5"
   required_providers {
-    google = ">= 3.54.0"
+    google      = ">= 3.54.0"
+    google-beta = ">= 4.16.0"
   }
 }