diff --git a/deploy/setup_nodes.yaml b/deploy/setup_nodes.yaml
index 74293b870..5d5bd6131 100644
--- a/deploy/setup_nodes.yaml
+++ b/deploy/setup_nodes.yaml
@@ -12,7 +12,7 @@
     instance_info:
       image_source: "http://{{ hostvars[inventory_hostname]['ansible_' + network_interface]['ipv4']['address'] }}:8080/{{deploy_image_filename}}"
       image_checksum: "{{ test_deploy_image.stat.md5 }}"
-      image_disk_format: "qcow"
+      image_disk_format: "raw"
       root_gb: 10
   delegate_to: localhost
   with_lines:
diff --git a/inventory/group_vars/all.yaml b/inventory/group_vars/all.yaml
index d0fd19e82..65aeca4b3 100644
--- a/inventory/group_vars/all.yaml
+++ b/inventory/group_vars/all.yaml
@@ -12,7 +12,7 @@ deploy_kernel: "{{http_boot_folder}}/coreos_production_pxe.vmlinuz"
 deploy_ramdisk: "{{http_boot_folder}}/coreos_production_pxe_image-oem.cpio.gz"
 deploy_kernel_url: "http://{{ hostvars[inventory_hostname]['ansible_' + network_interface]['ipv4']['address'] }}:8080/coreos_production_pxe.vmlinuz"
 deploy_ramdisk_url: "http://{{ hostvars[inventory_hostname]['ansible_' + network_interface]['ipv4']['address'] }}:8080/coreos_production_pxe_image-oem.cpio.gz"
-deploy_image_filename: "ubuntu-14.04-server-cloudimg-amd64.tar.gz"
+deploy_image_filename: "trusty-server-cloudimg-amd64.img"
 deploy_image: "{{http_boot_folder}}/{{deploy_image_filename}}"
 node_default_network_interface: eth0
 # ipv4_subnet_mask is intended for the static ipv4 address assignments.
diff --git a/setup/install.yaml b/setup/install.yaml
index 130365fca..5b98c05a4 100644
--- a/setup/install.yaml
+++ b/setup/install.yaml
@@ -253,3 +253,5 @@
     - name: "Download Ubuntu image"
       local_action: get_url url=http://cloud-images.ubuntu.com/releases/trusty/release/ubuntu-14.04-server-cloudimg-amd64.tar.gz dest={{ deploy_image }}
       when: test_os_image_present.stat.exists == false
+    - name: "Extract Ubuntu image"
+      local_action: command tar -xvzf ubuntu-14.04-server-cloudimg-amd64.tar.gz chdir=/httpboot creates=/httpboot/trusty-server-cloudimg-amd64.img