diff --git a/update.sh b/update.sh
index c7cbd88..93c5eb7 100644
--- a/update.sh
+++ b/update.sh
@@ -14,12 +14,16 @@ fi
 
 # get OS ditro and version
 OS=$(hostnamectl | awk '/Operating System/ {print $3}')
+VM=true 
 if [ ${OS} == 'Ubuntu' ]; then
 	OS_VER=$(hostnamectl | awk '/Operating System/ {print $4}')
 else
 	OS_VER=$(hostnamectl | awk '/Operating System/ {print $5}')
 fi
 
+if [ $(hostnamectl | awk '/Virtualization/ {print $2}') == 'vmware' ]; then
+	VM=false
+
 # Debian OS
 if [ ${OS} == 'Debian' ] || [ ${OS} == 'Ubuntu' ]; then
     # upgrade all packages
@@ -38,7 +42,11 @@ if [ ${OS} == 'Debian' ] || [ ${OS} == 'Ubuntu' ]; then
     apt update
     
     # install the packages on all systems
-    apt install -y pbis-open sudo nano htop nload iperf iperf3 open-vm-tools unattended-upgrades unzip git nfs-common uptimed net-tools build-essential curl
+    apt install -y pbis-open sudo nano htop nload iperf iperf3 unattended-upgrades unzip git nfs-common uptimed net-tools build-essential curl
+    
+    # install vm tools
+    if [ ${VM} == true ]; then
+    	apt install open-vm-tools
     
     # remove unneeded packages
     apt autoremove -y
@@ -71,8 +79,12 @@ elif [ ${OS} == 'CentOS' ]; then
     # Centos 7 
     if [[ ${OS_VER} =~ ^7.* ]]; then
       # install the packages
-      yum install -y pbis-open sudo nano htop nload iperf iperf3 bind-utils open-vm-tools yum-cron unzip nfs-utils git wget uptimed net-tools make
+      yum install -y pbis-open sudo nano htop nload iperf iperf3 bind-utils yum-cron unzip nfs-utils git wget uptimed net-tools make
 
+	  # install vm tools
+      if [ ${VM} == true ]; then
+           yum install open-vm-tools
+      
       # modify yum-cron config to auto install security updates and enable/start the service 
       sed --in-place "s/^update_cmd\ =\ security/update_cmd\ =\ default/" /etc/yum/yum-cron.conf
       sed --in-place "s/^apply_updates\ =\ no/apply_updates\ =\ yes/" /etc/yum/yum-cron.conf
@@ -88,7 +100,12 @@ elif [ ${OS} == 'CentOS' ]; then
    		# install the packages
         # libnsl is needed for pbis and needs to be installed already
         dnf install -y libnsl
-      	dnf install -y libnsl pbis-open sudo nano htop iperf3 bind-utils open-vm-tools unzip nfs-utils git wget net-tools make
+      	dnf install -y pbis-open sudo nano htop iperf3 bind-utilsunzip nfs-utils git wget net-tools make
+        
+        # install vm tools
+        if [ ${VM} == true ]; then
+           dnf install open-vm-tools
+    
         # https://github.com/BeyondTrust/pbis-open/issues/242
         cp /opt/pbis/share/rhel/8.0/pbis.pp /opt/pbis/share/
     fi