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diff --git a/doc/source/vmwareapi_readme.rst b/doc/source/vmwareapi_readme.rst
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@@ -0,0 +1,87 @@
+..
+
+      Copyright (c) 2010 Citrix Systems, Inc.
+      Copyright 2010 OpenStack LLC.
+
+      Licensed under the Apache License, Version 2.0 (the "License"); you may
+      not use this file except in compliance with the License. You may obtain
+      a copy of the License at
+
+          http://www.apache.org/licenses/LICENSE-2.0
+
+      Unless required by applicable law or agreed to in writing, software
+      distributed under the License is distributed on an "AS IS" BASIS, WITHOUT
+      WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the
+      License for the specific language governing permissions and limitations
+      under the License.
+
+VMware ESX/ESXi Server Support for OpenStack Compute
+====================================================
+
+Introduction
+------------
+A module named 'vmwareapi' is added to 'nova.virt' to add support of VMware ESX/ESXi hypervisor to OpenStack compute (Nova). Nova may now use VMware vSphere as a compute provider. 
+
+The basic requirement is to support VMware vSphere 4.1 as a compute provider within Nova. As the deployment architecture, support both ESX and ESXi. VM storage is restricted to VMFS volumes on local drives. vCenter is not required by the current design, and is not currently supported. Instead, Nova Compute talks directly to ESX/ESXi.
+
+The 'vmwareapi' module is integrated with Glance, so that VM images can be streamed from there for boot on ESXi using Glance server for image storage & retrieval.
+
+Currently supports Nova's flat networking model (Flat Manager).
+
+.. image:: images/vmwareapi_blockdiagram.jpg
+
+
+System Requirements
+-------------------
+Following software components are required for building the cloud using OpenStack on top of ESX/ESXi Server(s): 
+
+* OpenStack (Bexar Release)
+* Glance Image service (Bexar Release) 
+* VMware ESX v4.1 or VMware ESXi(licensed) v4.1
+
+VMware ESX Requirements
+-----------------------
+* ESX credentials with administration/root privileges
+* Single local hard disk at the ESX host
+* An ESX Virtual Machine Port Group (Bridge for Flat Networking)
+   
+Python dependencies 
+-------------------
+* ZSI-2.0
+
+Configuration flags required for nova-compute 
+---------------------------------------------
+::
+ 
+  --connection_type=vmwareapi 
+  --vmwareapi_host_ip=<VMware ESX Host IP> 
+  --vmwareapi_host_username=<VMware ESX Username>
+  --vmwareapi_host_password=<VMware ESX Password>
+   
+Other flags
+-----------
+::
+
+  --network_manager=nova.network.manager.FlatManager
+  --flat_network_bridge=<ESX Virtual Machine Port Group>
+  --image_service=nova.image.glance.GlanceImageService
+  --glance_host=<Glance Host>
+
+FAQ 
+---
+
+1. What type of disk images are supported?
+
+* Only VMware VMDK's are currently supported and of that support is available only for thick disks, thin provisioned disks are not supported.
+
+
+2. How is IP address information injected into the guest?
+
+* IP address information is injected through 'machine.id' vmx parameter (equivalent to XenStore in XenServer). This information can be retrived inside the guest using VMware tools.
+
+    
+3. What is the guest tool?
+
+* The guest tool is a small python script that should be run either as a service or added to system startup. This script configures networking on the guest.
+
+
diff --git a/nova/virt/guest-tools/guest_tool.py b/etc/vmware_guest_tool.py
similarity index 94%
rename from nova/virt/guest-tools/guest_tool.py
rename to etc/vmware_guest_tool.py
index c605e47d2581..7a18a9180490 100644
--- a/nova/virt/guest-tools/guest_tool.py
+++ b/etc/vmware_guest_tool.py
@@ -15,6 +15,15 @@
 #    License for the specific language governing permissions and limitations
 #    under the License.
 
+"""
+The guest tool is a small python script that should be run either as a service
+or added to system startup. This script configures networking on the guest.
+
+IP address information is injected through 'machine.id' vmx parameter which is
+equivalent to XenStore in XenServer. This information can be retrived inside
+the guest using VMware tools.
+"""
+
 import os
 import sys
 import subprocess
diff --git a/nova/virt/guest-tools/guest_tool.bat b/nova/virt/guest-tools/guest_tool.bat
deleted file mode 100644
index f7445d05ca19..000000000000
--- a/nova/virt/guest-tools/guest_tool.bat
+++ /dev/null
@@ -1,5 +0,0 @@
-@echo off
-
-set GuestToolsHome=%~dp0
-set PATH=%PATH%;%GuestToolsHome%\Python24
-"%GuestToolsHome%\Python24\python.exe" "%GuestToolsHome%\guest_tool.py"
\ No newline at end of file
diff --git a/nova/virt/guest-tools/guest_tool.sh b/nova/virt/guest-tools/guest_tool.sh
deleted file mode 100644
index 1bfbc7804283..000000000000
--- a/nova/virt/guest-tools/guest_tool.sh
+++ /dev/null
@@ -1,4 +0,0 @@
-#!/bin/sh
-##!/usr/bin/bash
-
-python guest_tool.py
\ No newline at end of file