Virtualization is an essential tool in technology today. If you are looking to make the most of your resources and deploy virtual machines efficiently, Proxmox Virtual Environment (Proxmox VE) is an open source solution worth considering. In a previous article we took an in-depth look at what Proxmox VE is and what it brings to the table. In this guide I’ll show you how to install Proxmox VE from scratch, step by step, so you can start taking advantage of everything it offers.
1. Prerequisites
Before you start, make sure you meet these requirements:
Compatible Hardware:
- Processor: A 64-bit CPU with virtualization support (Intel VT-x/AMD-V).
- RAM: 2 GB minimum (8 GB or more recommended for advanced setups).
- Storage: At least one hard drive or SSD (SSD recommended for better performance).
- Network: Gigabit Ethernet preferably.
Server Access:
- Physical: Monitor and keyboard connected.
- Remote: An IPMI, iDRAC or iLO console, if your server supports it.
2. Download Proxmox VE
Download the latest ISO installer from the official Proxmox VE site.
3. Prepare the Installation Media
Option 1: Create a Bootable USB Drive
- Download Rufus from rufus.ie.
- Plug in a USB drive of at least 2 GB.
- Select:
- ISO: The Proxmox VE file you downloaded.
- Device: Your USB drive.
- Click Start and wait.
Option 2: Use a CD/DVD
Burn the ISO file to a CD or DVD with a burning program such as ImgBurn or Brasero.
4. BIOS/UEFI Configuration
- Reboot the server and enter the BIOS/UEFI by pressing F2, DEL or ESC (depending on your machine).
- Set booting from USB or CD/DVD as the first priority.
- Enable CPU virtualization (options such as Intel VT-x or AMD-V).
- Save the changes and reboot.
5. Proxmox VE Installation Process
5.1 Starting the Installer
When you boot from the installation media, select “Install Proxmox VE” and press Enter.
5.2 Accepting the License Agreement
Read the license agreement and click “Accept” to continue.
5.3 Choosing the Target Disk
Pick the disk you want to install Proxmox VE on. For advanced setups, you can:
- Use ZFS for redundancy (RAID-Z).
- Customize the partitions from Options.
Advanced settings in the “Options” menu
The “Options” menu offers advanced settings for customizing the Proxmox VE installation. Among the available options, these stand out:
Filesystem:
You can choose between different filesystems such as ext4 or ZFS.
- ZFS: If you go with ZFS, you get to choose which disks make up the ZFS pool and the type of RAID configuration, such as:
- RAID-Z1: Redundancy with 1 disk of fault tolerance.
- RAID-Z2: Redundancy with 2 disks of fault tolerance.
- RAID 10: Better performance and redundancy, but it needs at least 4 disks.
Partition sizes:
You can customize the disk partitions, such as:
- The size of the operating system partition (hdsize).
- Swap space (swapsize).
- Maximum and minimum space available for containers or virtual machines (maxroot, minfree and maxvz).
A note about this installation
For this post the installation is running inside a virtual machine (VM). That explains the small disk (32 GB) and the storage file type selected. On real hardware you could set up multiple disks and get the most out of ZFS for extra redundancy and performance.
5.4 Setting the Password and Email Address
- Root password: Set a strong password.
- Email address: Provide a valid one so you receive system alerts.
5.5 Network Configuration
In this step you configure the basic network settings so Proxmox VE can communicate properly inside your local network. Here is what each field means:
Management Interface
Here you pick the network interface Proxmox VE will use to manage the server. If you have several network interfaces (multiple physical NICs, for example), make sure you choose the right one.
- In this case the interface selected is
ens18, which corresponds to a virtual network card (a hint that the installation is running in a virtual machine).
Hostname (FQDN)
This is the server name, also known as the Fully Qualified Domain Name (FQDN).
- Recommended format:
<server_name>.<domain>(for example,pve.mydomain.com). - This example uses
pve.localdomain, a common placeholder domain in lab setups and test environments. - If the server is going to be reachable from outside your local network, use a valid domain name.
IP Address (CIDR)
Here you set the fixed (static) IP address of the Proxmox server.
- In this case the IP assigned is
10.0.0.49. - The
/24at the end is the subnet mask (equivalent to255.255.255.0), which defines the range of addresses available on the network.
Gateway
This is the router or default gateway Proxmox will use to reach other networks, such as the internet.
- In this case the gateway is set to
10.0.0.100, an IP inside the same subnet as the server.
DNS Server
This is the address of the DNS server Proxmox will use to resolve domain names into IP addresses.
- In this example it is also set to
10.0.0.100, which is common on local networks where the gateway also acts as the DNS server. - Alternatively, you could use public servers such as Google’s (
8.8.8.8) or Cloudflare’s (1.1.1.1).
Tip:
Make sure the IP you pick is not already in use by another device on the network, otherwise you will run into conflicts. Also double-check every value before you continue.
5.6 Summary and Installation
On this page, carefully review every setting you configured earlier: the disk you selected, the filesystem, the network settings, the time zone and other important details. Once you have confirmed everything is correct, click “Install” to start the installation. If you prefer, you can tick the option to reboot automatically when the process finishes. This is the last step before the disk gets formatted and the installation begins.
Review the configuration and click “Install”. The process can take a few minutes.
6. First Boot and Access to the Web Interface
- Remove the installation media.
- Reboot the server.
- From a browser on the same network, go to:
https://[Server IP address]:8006 
For example:
https://10.0.0.49:8006 
Note: You will probably see an insecure connection warning because the server uses a self-signed certificate. That is normal for this kind of installation. Click “Advanced” and select “Continue” to proceed.
- Log in with:
- User:
root - Password: The one you set in step 5.4
The “No valid subscription” notice
The first time you log in to the Proxmox web interface, you will get a notice like this:
“No valid subscription”
This message means the server does not have a valid Proxmox subscription. It does not affect how the system works, though. Proxmox VE can be used free of charge without a subscription, with a couple of caveats:
What not having a subscription means:
- You will not have access to the Proxmox enterprise repositories, which provide official technical support and certified stable updates.
- You can still use the free (no-subscription) repositories for updates, although those may not be tested as rigorously as the ones in the subscription repositories.
How to move on:
- Just click “OK” to dismiss the message and carry on configuring your server.
More about updates:
- If you want to learn how to update Proxmox using the no-subscription repositories, along with the pros and cons of that option, check out my dedicated post on the topic here. In that article I walk through the detailed steps and when it might make sense to consider a subscription.
This message is completely normal on free installations and does not limit your use of the system in a lab or in production without official support.
7. Recommended Initial Configuration
7.1 Configure Storage
Head over to “Datacenter” > “Storage” to add extra storage. You can attach additional disks or set up network storage (NFS, iSCSI, CIFS). This lets you manage backups, disk images and templates efficiently.
7.2 Create Virtual Machines or Containers
- Download container templates or upload operating system ISOs for virtual machines.
- Customize the resources you assign, such as CPU, RAM and storage, based on what each instance needs.
- Consider combining KVM for virtual machines with LXC for lightweight containers.
8. Conclusion: Take Your Proxmox Server to the Next Level
Congratulations! You now have Proxmox VE installed and ready to put to work. From creating virtual machines and containers to configuring storage and networking, Proxmox gives you unmatched flexibility to get the most out of your resources. But don’t stop here: this is only the beginning.
Did you know you can power on your Proxmox node remotely using Wake-on-LAN (WOL)?
That not only saves you time, it also cuts down on power usage because your servers only run when you actually need them. If you want to know how to enable WOL on your Proxmox node, check out our dedicated post:
👉 How to Enable Wake-on-LAN in Proxmox: Complete Tutorial
Explore this feature and plenty of other advanced options to take your infrastructure to the next level. Remember that virtualization is a path of constant learning, and Proxmox VE is a tool that lets you grow and adapt to the needs of IT today.
9. Further Resources
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