Upgrading VMM 2012 R2 to VMM 2016
Finally, if you are running VMM 2012 R2 with update rollup 9 or later, you can upgrade to VMM 2016. As VMM 2016 requires a minimum Windows Server 2016, you will need to upgrade the OS beforehand. Note that you can choose either Core or Windows Server full installation with desktop experience. The following steps describe in-place upgrading VMM 2012 R2 to VMM 2016 and also highlight VMM database moving required for installation on a different machine as well:
- First, you need to check if update rollup 9 or later is installed on VMM Server. To determine whether update rollup 9 has been applied, open the Programs and Features item in Control Panel, then click View Installed Updates and in the Search box type in update rollup and identify the items listed under Microsoft System Center Virtual Machine Manager Server (x64):

Another way to get the VMM version and related update rollup is to retrieve using PowerShell. Open PowerShell with administrative privileges and paste the following strings:
Set-ExecutionPolicy -ExecutionPolicy RemoteSigned -Force
Import-Module VirtualMachineManager
Get-SCVMMServer -ComputerName (Read-Host "VMM Server Name") -Credential (Get-Credential)|select Name, ProductVersion
You will receive the VMM server name and its build number. When you apply the new update rollup or hotfix, the build number might be changed as well. To find relationships between VMM version and update rollups, see https://rlevchenko.com/2017/10/02/build-numbers-for-vmm-2012-r2-and-vmm-2016/, where you can also find download links for all released update rollups. If UR9 or later is not installed, you need to download and install it before upgrading to VMM 2016.
- Take a backup of the current VMM configuration. For doing this, open VMM Console, click on Settings in the navigation pane, and click on Backup in the actions pane. In the Backup dialog box, define a path for the destination folder for the backup file. The folder must not be a root directory (for example, C:\ is not allowed) and must be created before doing a backup to avoid an error message:

- If you are going to use SQL Server installed on a different machine than the one that is used for VMM 2012 R2 (current SQL Server is not supported, for example) and you prepared the new one on another machine, follow the steps following:
- In the VMM console, click on Settings in the navigation pane and expand General, and then double-click on Database Connection. Take note of the SQL Server name and DB name as we will need them later during the database backup:

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- Press Windows + R, type services.msc, and check log on account for the VMM service (right-click on System Center Virtual Manager service and click on Properties). This might be a local account or a domain account. Record this account as well:

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- Uninstall VMM 2012 R2, remove all of the components, and choose Retain Database during the uninstallation.
- Take a full backup of the VMM database. For doing this, open SQL Server Management Studio, type your credentials in the Connect To Server dialog box and recorded SQL server name, expand Databases, and then select VirtualManagerDB. Right-click on this database and select Tasks | Backup..., as shown in the following screenshot:

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- In the back up dialog box, add a destination folder for backup files (for example, C:\VMMDB_Backup) and verify that backup type is selected to Full. Click OK to start the backup job.
- Copy the BAK files to the target SQL Server machine and initiate a restore operation using Management Studio, as shown in the following screenshot. Select Device, click Add, and define the path for the source backup files. Double-click ОК to restore database:

- Uninstall Windows ADK 8.1. Press Windows + R, type appwiz.cpl, and press Enter to open Programs and Features in Control Panel, then select Windows Assessment and Deployment Kit for Windows 8.1 and click on Uninstall.
- Download and install Windows ADK 10. Select only Deployment Tools and Windows Preinstallation Environment (Windows PE). Other ADK features are not required for VMM 2016:

- Browse to the installation media and double-click on setup.exe.
- On the main setup page, click on Install.
- On the Features to be installed page, confirm that VMM management and VMM console are selected and click on Next.
- On the Product registration information page, enter the VMM product key, and then click on Next (if you don't provide a key, VMM 2016 will be installed as a trial version that lasts 180 days).
- On the Please read this license agreement page, tick the I have read, understood, and agree with the terms of the license agreement checkbox, and click on Next.
- On the Diagnostic and Usage Data page, read the statement and click on Next.
- On the Microsoft Update page, select On (recommended) to use Microsoft Update, and click on Next.
- On the Installation location page, provide the path for the installation and then click on Next.
- On the Database Configuration page, specify the Server name of the SQL server and the Instance name; for example, MSSQLSERVER.
- Select Existing database and choose VirtualManagerDB (or whichever name the restored database has) from the drop-down menu, as shown in the following screenshot, and click on Yes to confirm the upgrade:

- On the Configure service account and distributed key management page, provide credentials for the service account and DKM path (recommended). As you can see in the following picture, DKM settings are stored in the database. If you had DKM configured in VMM 2012 R2, you can't change its settings during the upgrade to VMM 2016:

- On the Port configuration page, leave the default port numbers unchanged or provide a unique value for each feature, and then click on Next.
- On the Library Configuration page, select Use an existing library share if you are doing an in-place upgrade. If you are installing VMM on another machine, you can select Create a new share and define its name and location, then click on Next.
- You might find certain issues listed on the page that says Upgrade compatibility report. In this case, you can either click on Next to proceed with the upgrade, or click on Cancel to cancel the upgrade and resolve the issues.
- On the Installation summary page, click on Install, and then click on Close to finish.
Download links are available at https://rlevchenko.com/2017/10/02/build-numbers-for-vmm-2012-r2-and-vmm-2016/.