I'm struggling to generalize a Windows AVD session host into a deployable image. I'm using a standard Windows 11 Pro + M365 template, but have run into several issues. I've deleted the Panther directory, enabled the CD-ROM drive, installed only Firefox and Chrome for testing, decrypted the drives, and disabled BitLocker. After all this, I run 'sysprep.exe /generalize /shutdown' and immediately see errors directing me to the setupact.log and setuperr.log in the /sysprep/panther directory. The errors mostly mention default apps from the Windows installation, like Teams. Should I be installing applications under a user account and then running sysprep as an admin, or should both actions be done with admin privileges? I feel like I'm missing something fundamental because the Microsoft documentation seems simple, yet I'm having a tough time with the implementation. Any tips for creating a Windows 11 gold image in AVD would be greatly appreciated, as decoding the error logs is frustrating and time-consuming.
4 Answers
Have you tried using Azure Image Builder? It allows for customizations when installing your software and can help streamline the process. I found a video that touches on this topic, which might be useful!
We've had a similar experience, and it turned out that the Netwrix agent we were using for password management was causing the issue. Make sure you have a proper installation method especially for a multi-user environment.
I've had sysprep issues specifically with the 'Ink.Handwriting.Main.Store' appx package. When working on multisession images, I had to uninstall that one each time to avoid complications.
It's often best to identify which apps are causing the issues and remove them. User-based Microsoft apps can be tricky. In my experience, the 'Ink' apps often cause the most trouble.

Thanks for the tip! The issue is that sysprep fails at the first app it encounters, so I have to uninstall it, then try sysprep again only to hit another app. It's really a cycle of uninstallation and frustration.