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I am running Mac OS X 10.8 Server with File Sharing and Open Directory providing home directories to network users, so when users log in their home directory is automatically mounted over AFP.

Is it possible to enable "Legacy" FileVault (FileVault 1) where the user's home directory resides inside an encrypted DMG sparsebundle when the user is an Open Directory user whose home directory resides on a network share?

I know this could be done in 10.6 server for mobile clients but I do not know if it can be done in 10.8 server.

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I haven't seen anyone hack together a script to re-implement the file vault encrypted disk image settings, but I have heard of people using a pre-Mountain Lion machine to make more local users and then migrate them to 10.8.

It requires a second machine (or VM if that is up your alley) but I haven't seen any downsides to moving more FileVault 1 type accounts to new systems other than the obvious downsides associated with those accounts:

  • backups to Time Machine only run when unlocked
  • compacting of free space can be problematic
  • slight slow down and chance of breaking some software that assumes hard coded file paths
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Are you talking about normal Mac OS X users, or users who have their home directories served over AFP using Mac OS X Server? I know it's still possible to set up FileVault 1 users on Mac OS X 10.8 Client, but I'm wondering if it can be done with Mac OS X Server Directory Utility users. (I.E. users residing in LDAP) –  Josh Feb 21 '13 at 19:57
    
Client setup only. If you try to set up a user on 10.8 whether or not Server.app is installed, you'll get no option to set up per-account FileVault. –  bmike Feb 21 '13 at 20:11
    
Yeah, I'm looking for a different solution; one that's for network users, not local users. Thanks though! –  Josh Feb 21 '13 at 20:34
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