This week as the year winds up I was experimenting with vSphere PowerCLI and noticed that when I go to create a Virtual Distributed Switch (VDS) through PowerShell I am able to create it, but it does not support enhanced LACP out of the box. It actually behaves identically to how it would if I created it in the fat client instead of the web client.

# Create VDS
New-VDSwitch -Name "vtest" -Location "Las Vegas" -LinkDiscoveryProtocol "CDP" -LinkDiscoveryProtocolOperation "Listen" -NumUplinkPorts 2 -MaxPorts 256 -ContactName "Salomon Johns - Test" -Version "5.5.0"

# Set LACP
Get-VDSwitch -Name "vtest" | Get-VDUplinkLacpPolicy | Set-VDUplinkLacpPolicy -Enabled $true -Mode Active

When you sign into the web console, you will not see the option for LACP as you would if you made it in the web console. You will need to perform the manual steps to add that feature (see article here), however I have not seen a way to automate this fix, yet. Others have expressed frustration with VMware and not being able to automate LACP creation via PowerShell.