diff --git a/lib/ansible/plugins/inventory/kubevirt.py b/lib/ansible/plugins/inventory/kubevirt.py
new file mode 100644
index 00000000000..3d53ecfdbaa
--- /dev/null
+++ b/lib/ansible/plugins/inventory/kubevirt.py
@@ -0,0 +1,263 @@
+# Copyright (c) 2018 Ansible Project
+# GNU General Public License v3.0+ (see COPYING or https://www.gnu.org/licenses/gpl-3.0.txt)
+
+from __future__ import (absolute_import, division, print_function)
+
+__metaclass__ = type
+
+DOCUMENTATION = '''
+    name: kubevirt
+    plugin_type: inventory
+    author:
+      - KubeVirt Team (@kubevirt)
+
+    version_added: "2.8"
+    short_description: KubeVirt inventory source
+    extends_documentation_fragment:
+        - inventory_cache
+        - constructed
+    description:
+      - Fetch running VirtualMachines for one or more namespaces.
+      - Groups by namespace, namespace_vms  and labels.
+      - Uses kubevirt.(yml|yaml) YAML configuration file to set parameter values.
+
+    options:
+      plugin:
+        description: token that ensures this is a source file for the 'kubevirt' plugin.
+        required: True
+        choices: ['kubevirt']
+        type: str
+      host_format:
+        description:
+          - Specify the format of the host in the inventory group.
+        default: "{namespace}-{name}-{uid}"
+      connections:
+          type: list
+          description:
+            - Optional list of cluster connection settings. If no connections are provided, the default
+              I(~/.kube/config) and active context will be used, and objects will be returned for all namespaces
+              the active user is authorized to access.
+          suboptions:
+            name:
+                description:
+                - Optional name to assign to the cluster. If not provided, a name is constructed from the server
+                    and port.
+                type: str
+            kubeconfig:
+                description:
+                - Path to an existing Kubernetes config file. If not provided, and no other connection
+                    options are provided, the OpenShift client will attempt to load the default
+                    configuration file from I(~/.kube/config.json). Can also be specified via K8S_AUTH_KUBECONFIG
+                    environment variable.
+                type: str
+            context:
+                description:
+                - The name of a context found in the config file. Can also be specified via K8S_AUTH_CONTEXT environment
+                    variable.
+                type: str
+            host:
+                description:
+                - Provide a URL for accessing the API. Can also be specified via K8S_AUTH_HOST environment variable.
+                type: str
+            api_key:
+                description:
+                - Token used to authenticate with the API. Can also be specified via K8S_AUTH_API_KEY environment
+                    variable.
+                type: str
+            username:
+                description:
+                - Provide a username for authenticating with the API. Can also be specified via K8S_AUTH_USERNAME
+                    environment variable.
+                type: str
+            password:
+                description:
+                - Provide a password for authenticating with the API. Can also be specified via K8S_AUTH_PASSWORD
+                    environment variable.
+                type: str
+            cert_file:
+                description:
+                - Path to a certificate used to authenticate with the API. Can also be specified via K8S_AUTH_CERT_FILE
+                    environment variable.
+                type: str
+            key_file:
+                description:
+                - Path to a key file used to authenticate with the API. Can also be specified via K8S_AUTH_HOST
+                    environment variable.
+                type: str
+            ssl_ca_cert:
+                description:
+                - Path to a CA certificate used to authenticate with the API. Can also be specified via
+                    K8S_AUTH_SSL_CA_CERT environment variable.
+                type: str
+            verify_ssl:
+                description:
+                - "Whether or not to verify the API server's SSL certificates. Can also be specified via
+                    K8S_AUTH_VERIFY_SSL environment variable."
+                type: bool
+            namespaces:
+                description:
+                - List of namespaces. If not specified, will fetch all virtual machines for all namespaces user is authorized
+                    to access.
+                type: list
+            network_name:
+                description:
+                - In case of multiple network attached to virtual machine, define which interface should be returned as primary IP
+                    address.
+                type: str
+            api_version:
+                description:
+                - "Specify the KubeVirt API version."
+                type: str
+            annotation_variable:
+                description:
+                - "Specify the name of the annotation which provides data, which should be used as inventory host variables."
+                - "Note, that the value in ansible annotations should be json."
+                type: str
+                default: 'ansible'
+    requirements:
+    - "openshift >= 0.6"
+    - "PyYAML >= 3.11"
+'''
+
+EXAMPLES = '''
+# File must be named kubevirt.yaml or kubevirt.yml
+
+# Authenticate with token, and return all virtual machines for all namespaces
+plugin: kubevirt
+connections:
+ - host: https://kubevirt.io
+   token: xxxxxxxxxxxxxxxx
+   ssl_verify: false
+
+# Use default config (~/.kube/config) file and active context, and return vms with interfaces
+# connected to network myovsnetwork and from namespace vms
+plugin: kubevirt
+connections:
+  - namespaces:
+      - vms
+    network_name: myovsnetwork
+'''
+
+import json
+
+from ansible.plugins.inventory.k8s import K8sInventoryException, InventoryModule as K8sInventoryModule, format_dynamic_api_exc
+
+try:
+    from openshift.dynamic.exceptions import DynamicApiError
+except ImportError:
+    pass
+
+
+API_VERSION = 'kubevirt.io/v1alpha3'
+
+
+class InventoryModule(K8sInventoryModule):
+    NAME = 'kubevirt'
+
+    def setup(self, config_data, cache, cache_key):
+        self.config_data = config_data
+        super(InventoryModule, self).setup(config_data, cache, cache_key)
+
+    def fetch_objects(self, connections):
+        client = self.get_api_client()
+        vm_format = self.config_data.get('host_format', '{namespace}-{name}-{uid}')
+
+        if connections:
+            for connection in connections:
+                client = self.get_api_client(**connection)
+                name = connection.get('name', self.get_default_host_name(client.configuration.host))
+                if connection.get('namespaces'):
+                    namespaces = connection['namespaces']
+                else:
+                    namespaces = self.get_available_namespaces(client)
+                interface_name = connection.get('network_name')
+                api_version = connection.get('api_version', API_VERSION)
+                annotation_variable = connection.get('annotation_variable', 'ansible')
+                for namespace in namespaces:
+                    self.get_vms_for_namespace(client, name, namespace, vm_format, interface_name, api_version, annotation_variable)
+        else:
+            name = self.get_default_host_name(client.configuration.host)
+            namespaces = self.get_available_namespaces(client)
+            for namespace in namespaces:
+                self.get_vms_for_namespace(client, name, namespace, vm_format, None, api_version, annotation_variable)
+
+    def get_vms_for_namespace(self, client, name, namespace, name_format, interface_name=None, api_version=None, annotation_variable=None):
+        v1_vm = client.resources.get(api_version=api_version, kind='VirtualMachineInstance')
+        try:
+            obj = v1_vm.get(namespace=namespace)
+        except DynamicApiError as exc:
+            self.display.debug(exc)
+            raise K8sInventoryException('Error fetching Virtual Machines list: %s' % format_dynamic_api_exc(exc))
+
+        namespace_group = 'namespace_{0}'.format(namespace)
+        namespace_vms_group = '{0}_vms'.format(namespace_group)
+
+        name = self._sanitize_group_name(name)
+        namespace_group = self._sanitize_group_name(namespace_group)
+        namespace_vms_group = self._sanitize_group_name(namespace_vms_group)
+        self.inventory.add_group(name)
+        self.inventory.add_group(namespace_group)
+        self.inventory.add_child(name, namespace_group)
+        self.inventory.add_group(namespace_vms_group)
+        self.inventory.add_child(namespace_group, namespace_vms_group)
+        for vm in obj.items:
+            if not (vm.status and vm.status.interfaces):
+                continue
+
+            # Find interface by its name:
+            if interface_name is None:
+                interface = vm.status.interfaces[0]
+            else:
+                interface = next(
+                    (i for i in vm.status.interfaces if i.name == interface_name),
+                    None
+                )
+
+            # If interface is not found or IP address is not reported skip this VM:
+            if interface is None or interface.ipAddress is None:
+                continue
+
+            vm_name = name_format.format(namespace=vm.metadata.namespace, name=vm.metadata.name, uid=vm.metadata.uid)
+            vm_ip = interface.ipAddress
+            vm_annotations = {} if not vm.metadata.annotations else dict(vm.metadata.annotations)
+
+            self.inventory.add_host(vm_name)
+
+            if vm.metadata.labels:
+                # create a group for each label_value
+                for key, value in vm.metadata.labels:
+                    group_name = 'label_{0}_{1}'.format(key, value)
+                    group_name = self._sanitize_group_name(group_name)
+                    self.inventory.add_group(group_name)
+                    self.inventory.add_child(group_name, vm_name)
+                vm_labels = dict(vm.metadata.labels)
+            else:
+                vm_labels = {}
+
+            self.inventory.add_child(namespace_vms_group, vm_name)
+
+            # add hostvars
+            self.inventory.set_variable(vm_name, 'ansible_host', vm_ip)
+            self.inventory.set_variable(vm_name, 'labels', vm_labels)
+            self.inventory.set_variable(vm_name, 'annotations', vm_annotations)
+            self.inventory.set_variable(vm_name, 'object_type', 'vm')
+            self.inventory.set_variable(vm_name, 'resource_version', vm.metadata.resourceVersion)
+            self.inventory.set_variable(vm_name, 'uid', vm.metadata.uid)
+
+            # Add all variables which are listed in 'ansible' annotation:
+            annotations_data = json.loads(vm_annotations.get(annotation_variable, "{}"))
+            for k, v in annotations_data.items():
+                self.inventory.set_variable(vm_name, k, v)
+
+    def verify_file(self, path):
+        if super(InventoryModule, self).verify_file(path):
+            if path.endswith(('kubevirt.yml', 'kubevirt.yaml')):
+                return True
+        return False
+
+    def _sanitize_group_name(self, name):
+        """ Replace unsupported charactes in group name by underscore character """
+        name = name.replace('/', '_')
+        name = name.replace('.', '_')
+        name = name.replace('-', '_')
+        return name
diff --git a/test/integration/targets/inventory_kubevirt_conformance/aliases b/test/integration/targets/inventory_kubevirt_conformance/aliases
new file mode 100644
index 00000000000..765b70da796
--- /dev/null
+++ b/test/integration/targets/inventory_kubevirt_conformance/aliases
@@ -0,0 +1 @@
+shippable/posix/group2
diff --git a/test/integration/targets/inventory_kubevirt_conformance/inventory_diff.py b/test/integration/targets/inventory_kubevirt_conformance/inventory_diff.py
new file mode 100755
index 00000000000..ad8b70aa65f
--- /dev/null
+++ b/test/integration/targets/inventory_kubevirt_conformance/inventory_diff.py
@@ -0,0 +1,67 @@
+#!/usr/bin/env python
+
+import json
+import sys
+
+
+def check_hosts(contrib, plugin):
+    contrib_hosts = sorted(contrib['_meta']['hostvars'].keys())
+    plugin_hosts = sorted(plugin['_meta']['hostvars'].keys())
+    assert contrib_hosts == plugin_hosts
+    return contrib_hosts, plugin_hosts
+
+
+def check_groups(contrib, plugin):
+    contrib_groups = set(contrib.keys())
+    plugin_groups = set(plugin.keys())
+    missing_groups = contrib_groups.difference(plugin_groups)
+    if missing_groups:
+        print("groups: %s are missing from the plugin" % missing_groups)
+    assert not missing_groups
+    return contrib_groups, plugin_groups
+
+
+def check_host_vars(key, value, plugin, host):
+    # tags are a dict in the plugin
+    if key.startswith('ec2_tag'):
+        print('assert tag', key, value)
+        assert 'tags' in plugin['_meta']['hostvars'][host], 'b file does not have tags in host'
+        btags = plugin['_meta']['hostvars'][host]['tags']
+        tagkey = key.replace('ec2_tag_', '')
+        assert tagkey in btags, '%s tag not in b file host tags' % tagkey
+        assert value == btags[tagkey], '%s != %s' % (value, btags[tagkey])
+    else:
+        print('assert var', key, value, key in plugin['_meta']['hostvars'][host], plugin['_meta']['hostvars'][host].get(key))
+        assert key in plugin['_meta']['hostvars'][host], "%s not in b's %s hostvars" % (key, host)
+        assert value == plugin['_meta']['hostvars'][host][key], "%s != %s" % (value, plugin['_meta']['hostvars'][host][key])
+
+
+def main():
+    # a should be the source of truth (the script output)
+    a = sys.argv[1]
+    # b should be the thing to check (the plugin output)
+    b = sys.argv[2]
+
+    with open(a, 'r') as f:
+        adata = json.loads(f.read())
+    with open(b, 'r') as f:
+        bdata = json.loads(f.read())
+
+    print(adata)
+    print(bdata)
+
+    # all hosts should be present obviously
+    ahosts, bhosts = check_hosts(adata, bdata)
+
+    # all groups should be present obviously
+    agroups, bgroups = check_groups(adata, bdata)
+
+    # check host vars can be reconstructed
+    for ahost in ahosts:
+        contrib_host_vars = adata['_meta']['hostvars'][ahost]
+        for key, value in contrib_host_vars.items():
+            check_host_vars(key, value, bdata, ahost)
+
+
+if __name__ == "__main__":
+    main()
diff --git a/test/integration/targets/inventory_kubevirt_conformance/runme.sh b/test/integration/targets/inventory_kubevirt_conformance/runme.sh
new file mode 100755
index 00000000000..390f80cb547
--- /dev/null
+++ b/test/integration/targets/inventory_kubevirt_conformance/runme.sh
@@ -0,0 +1,61 @@
+#!/usr/bin/env bash
+
+if [[ $(python --version 2>&1) =~ 2\.6 ]]
+  then
+    echo "Openshift client is not supported on Python 2.6"
+    exit 0
+fi
+
+set -eux
+
+source virtualenv.sh
+pip install openshift
+
+./server.py &
+
+# Fake auth file
+mkdir -p ~/.kube/
+cat <<EOF > ~/.kube/config
+apiVersion: v1
+clusters:
+- cluster:
+    insecure-skip-tls-verify: true
+    server: http://localhost:12345
+  name: development
+contexts:
+- context:
+    cluster: development
+    user: developer
+  name: dev-frontend
+current-context: dev-frontend
+kind: Config
+preferences: {}
+users:
+- name: developer
+  user:
+    token: ZDNg7LzSlp8a0u0fht_tRnPMTOjxqgJGCyi_iy0ecUw
+EOF
+
+#################################################
+#   RUN THE PLUGIN
+#################################################
+
+# run the plugin second
+export ANSIBLE_INVENTORY_ENABLED=kubevirt
+export ANSIBLE_INVENTORY=test.kubevirt.yml
+
+cat << EOF > "$OUTPUT_DIR/test.kubevirt.yml"
+plugin: kubevirt
+connections:
+  - namespaces:
+      - default
+EOF
+
+ANSIBLE_JINJA2_NATIVE=1 ansible-inventory -vvvv -i "$OUTPUT_DIR/test.kubevirt.yml" --list --output="$OUTPUT_DIR/plugin.out"
+kill -9 "$(jobs -p)"
+
+#################################################
+#   DIFF THE RESULTS
+#################################################
+
+./inventory_diff.py "$(pwd)/test.out" "$OUTPUT_DIR/plugin.out"
diff --git a/test/integration/targets/inventory_kubevirt_conformance/server.py b/test/integration/targets/inventory_kubevirt_conformance/server.py
new file mode 100755
index 00000000000..0a4303e68da
--- /dev/null
+++ b/test/integration/targets/inventory_kubevirt_conformance/server.py
@@ -0,0 +1,161 @@
+#!/usr/bin/env python
+
+import json
+import os
+
+try:
+    from http.server import HTTPServer
+    from http.server import SimpleHTTPRequestHandler
+except ImportError:
+    from BaseHTTPServer import HTTPServer
+    from SimpleHTTPServer import SimpleHTTPRequestHandler
+
+from threading import Thread
+
+try:
+    from urllib.parse import urlparse
+except ImportError:
+    from urlparse import urlparse
+
+
+class TestHandler(SimpleHTTPRequestHandler):
+    # Path handlers:
+    handlers = {}
+
+    def log_message(self, format, *args):
+        """
+        Empty method, so we don't mix output of HTTP server with tests
+        """
+        pass
+
+    def do_GET(self):
+        params = urlparse(self.path)
+
+        if params.path in self.handlers:
+            self.handlers[params.path](self)
+        else:
+            SimpleHTTPRequestHandler.do_GET(self)
+
+    def do_POST(self):
+        params = urlparse(self.path)
+
+        if params.path in self.handlers:
+            self.handlers[params.path](self)
+        else:
+            SimpleHTTPRequestHandler.do_POST(self)
+
+
+class TestServer(object):
+    # The host and port and path used by the embedded tests web server:
+    PORT = None
+
+    # The embedded web server:
+    _httpd = None
+    # Thread for http server:
+    _thread = None
+
+    def set_json_response(self, path, code, body):
+        def _handle_request(handler):
+            handler.send_response(code)
+            handler.send_header('Content-Type', 'application/json')
+            handler.end_headers()
+
+            data = json.dumps(body, ensure_ascii=False).encode('utf-8')
+            handler.wfile.write(data)
+
+        TestHandler.handlers[path] = _handle_request
+
+    def start_server(self, host='localhost'):
+        self._httpd = HTTPServer((host, 12345), TestHandler)
+        self._thread = Thread(target=self._httpd.serve_forever)
+        self._thread.start()
+
+    def stop_server(self):
+        self._httpd.shutdown()
+        self._thread.join()
+
+
+if __name__ == '__main__':
+    print(os.getpid())
+    server = TestServer()
+    server.start_server()
+    server.set_json_response(path="/version", code=200, body={})
+    server.set_json_response(path="/api", code=200, body={
+        "kind": "APIVersions", "versions": ["v1"], "serverAddressByClientCIDRs": [{"clientCIDR": "0.0.0.0/0", "serverAddress": "localhost:12345"}]
+    })
+    server.set_json_response(path="/api/v1", code=200, body={'resources': {}})
+    server.set_json_response(path="/apis", code=200, body={
+        "kind": "APIGroupList", "apiVersion": "v1",
+        "groups": [{
+            "name": "kubevirt.io", "versions": [{"groupVersion": "kubevirt.io/v1alpha3", "version": "v1alpha3"}],
+            "preferredVersion": {"groupVersion": "kubevirt.io/v1alpha3", "version": "v1alpha3"}
+        }]
+    })
+    server.set_json_response(
+        path="/apis/kubevirt.io/v1alpha3",
+        code=200,
+        body={
+            "kind": "APIResourceList", "apiVersion": "v1", "groupVersion": "kubevirt.io/v1alpha3",
+            "resources": [{
+                "name": "virtualmachineinstances", "singularName": "virtualmachineinstance",
+                "namespaced": True, "kind": "VirtualMachineInstance",
+                "verbs": ["delete", "deletecollection", "get", "list", "patch", "create", "update", "watch"],
+                "shortNames":["vmi", "vmis"]
+            }]
+        }
+    )
+    server.set_json_response(
+        path="/apis/kubevirt.io/v1alpha3/namespaces/default/virtualmachineinstances",
+        code=200,
+        body={'apiVersion': 'kubevirt.io/v1alpha3',
+              'items': [{'apiVersion': 'kubevirt.io/v1alpha3',
+                         'kind': 'VirtualMachineInstance',
+                         'metadata': {'annotations': {'ansible': '{"data1": "yes", "data2": "no"}'},
+                                      'creationTimestamp': '2019-04-05T14:17:02Z',
+                                      'generateName': 'myvm',
+                                      'generation': 1,
+                                      'labels': {'kubevirt.io/nodeName': 'localhost',
+                                                 'label': 'x',
+                                                 'vm.cnv.io/name': 'myvm'},
+                                      'name': 'myvm',
+                                      'namespace': 'default',
+                                      'ownerReferences': [{'apiVersion': 'kubevirt.io/v1alpha3',
+                                                           'blockOwnerDeletion': True,
+                                                           'controller': True,
+                                                           'kind': 'VirtualMachine',
+                                                           'name': 'myvm',
+                                                           'uid': 'f78ebe62-5666-11e9-a214-0800279ffc6b'}],
+                                      'resourceVersion': '1614085',
+                                      'selfLink': '/apis/kubevirt.io/v1alpha3/namespaces/default/virtualmachineinstances/myvm',
+                                      'uid': '7ba1b196-57ad-11e9-9e2e-0800279ffc6b'},
+                         'spec': {'domain': {'devices': {'disks': [{'disk': {'bus': 'virtio'},
+                                                                    'name': 'containerdisk'},
+                                                                   {'disk': {'bus': 'virtio'}, 'name': 'ansiblecloudinitdisk'}],
+                                                         'interfaces': [{'bridge': {}, 'name': 'default'}]},
+                                             'firmware': {'uuid': 'cdf77e9e-871b-5acb-a707-80ef3d4b9849'},
+                                             'machine': {'type': ''},
+                                             'resources': {'requests': {'memory': '64M'}}},
+                                  'networks': [{'name': 'default', 'pod': {}}],
+                                  'volumes': [{'containerDisk': {'image': 'kubevirt/cirros-container-disk-demo:v0.11.0'},
+                                               'name': 'containerdisk'},
+                                              {'cloudInitNoCloud': {'userData': '#cloud-config\npassword: password\nchpasswd: { expire: False }'},
+                                               'name': 'ansiblecloudinitdisk'}]},
+                         'status': {'conditions': [{'lastProbeTime': None,
+                                                    'lastTransitionTime': None,
+                                                    'status': 'True',
+                                                    'type': 'LiveMigratable'},
+                                                   {'lastProbeTime': None,
+                                                    'lastTransitionTime': '2019-04-05T14:17:27Z',
+                                                    'status': 'True',
+                                                    'type': 'Ready'}],
+                                    'interfaces': [{'ipAddress': '172.17.0.19',
+                                                    'mac': '02:42:ac:11:00:13',
+                                                    'name': 'default'}],
+                                    'migrationMethod': 'BlockMigration',
+                                    'nodeName': 'localhost',
+                                    'phase': 'Running'}}],
+              'kind': 'VirtualMachineInstanceList',
+              'metadata': {'continue': '',
+                           'resourceVersion': '1614862',
+                           'selfLink': '/apis/kubevirt.io/v1alpha3/namespaces/default/virtualmachineinstances'}}
+    )
diff --git a/test/integration/targets/inventory_kubevirt_conformance/test.out b/test/integration/targets/inventory_kubevirt_conformance/test.out
new file mode 100644
index 00000000000..932aade09ad
--- /dev/null
+++ b/test/integration/targets/inventory_kubevirt_conformance/test.out
@@ -0,0 +1,61 @@
+{
+    "_meta": {
+        "hostvars": {
+            "default-myvm-7ba1b196-57ad-11e9-9e2e-0800279ffc6b": {
+                "annotations": {
+                    "ansible": "{\"data1\": \"yes\", \"data2\": \"no\"}"
+                },
+                "ansible_host": "172.17.0.19",
+                "data1": "yes",
+                "data2": "no",
+                "labels": {
+                    "kubevirt.io/nodeName": "localhost",
+                    "label": "x",
+                    "vm.cnv.io/name": "myvm"
+                },
+                "object_type": "vm",
+                "resource_version": "1614085",
+                "uid": "7ba1b196-57ad-11e9-9e2e-0800279ffc6b"
+            }
+        }
+    },
+    "all": {
+        "children": [
+            "label_kubevirt_io_nodeName_localhost",
+            "label_label_x",
+            "label_vm_cnv_io_name_myvm",
+            "localhost_12345",
+            "ungrouped"
+        ]
+    },
+    "label_kubevirt_io_nodeName_localhost": {
+        "hosts": [
+            "default-myvm-7ba1b196-57ad-11e9-9e2e-0800279ffc6b"
+        ]
+    },
+    "label_label_x": {
+        "hosts": [
+            "default-myvm-7ba1b196-57ad-11e9-9e2e-0800279ffc6b"
+        ]
+    },
+    "label_vm_cnv_io_name_myvm": {
+        "hosts": [
+            "default-myvm-7ba1b196-57ad-11e9-9e2e-0800279ffc6b"
+        ]
+    },
+    "localhost_12345": {
+        "children": [
+            "namespace_default"
+        ]
+    },
+    "namespace_default": {
+        "children": [
+            "namespace_default_vms"
+        ]
+    },
+    "namespace_default_vms": {
+        "hosts": [
+            "default-myvm-7ba1b196-57ad-11e9-9e2e-0800279ffc6b"
+        ]
+    }
+}