diff --git a/packaging/flavorgen/flavors/generators.go b/packaging/flavorgen/flavors/generators.go
index 3b8b654982..a6cd606729 100644
--- a/packaging/flavorgen/flavors/generators.go
+++ b/packaging/flavorgen/flavors/generators.go
@@ -370,7 +370,6 @@ func defaultVirtualMachineCloneSpec() infrav1.VirtualMachineCloneSpec {
 		MemoryMiB:         env.DefaultMemoryMiB,
 		Template:          env.VSphereTemplateVar,
 		Server:            env.VSphereServerVar,
-		Thumbprint:        env.VSphereThumbprint,
 		ResourcePool:      env.VSphereResourcePoolVar,
 		Datastore:         env.VSphereDatastoreVar,
 		StoragePolicyName: env.VSphereStoragePolicyVar,
@@ -433,7 +432,6 @@ func nodeIPAMVirtualMachineCloneSpec() infrav1.VirtualMachineCloneSpec {
 		MemoryMiB:         env.DefaultMemoryMiB,
 		Template:          env.VSphereTemplateVar,
 		Server:            env.VSphereServerVar,
-		Thumbprint:        env.VSphereThumbprint,
 		ResourcePool:      env.VSphereResourcePoolVar,
 		Datastore:         env.VSphereDatastoreVar,
 		StoragePolicyName: env.VSphereStoragePolicyVar,
diff --git a/pkg/clustermodule/service.go b/pkg/clustermodule/service.go
index 6a7d62fa12..9ccfb768b5 100644
--- a/pkg/clustermodule/service.go
+++ b/pkg/clustermodule/service.go
@@ -62,7 +62,7 @@ func (s *service) Create(ctx context.Context, clusterCtx *capvcontext.ClusterCon
 	if err != nil {
 		return "", errors.Wrapf(err, "error fetching machine template for object %s/%s", wrapper.GetNamespace(), wrapper.GetName())
 	}
-	if server := template.Spec.Template.Spec.Server; server != clusterCtx.VSphereCluster.Spec.Server {
+	if server := template.Spec.Template.Spec.Server; server != "" && server != clusterCtx.VSphereCluster.Spec.Server {
 		log.V(4).Info("Skipping module creation for object since template uses a different server", "server", server)
 		return "", nil
 	}
diff --git a/templates/cluster-template-external-loadbalancer.yaml b/templates/cluster-template-external-loadbalancer.yaml
index 233162e22e..0da7583926 100644
--- a/templates/cluster-template-external-loadbalancer.yaml
+++ b/templates/cluster-template-external-loadbalancer.yaml
@@ -59,7 +59,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
 kind: VSphereMachineTemplate
@@ -86,7 +85,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: controlplane.cluster.x-k8s.io/v1beta1
 kind: KubeadmControlPlane
diff --git a/templates/cluster-template-ignition.yaml b/templates/cluster-template-ignition.yaml
index 53549a2557..6b09213f15 100644
--- a/templates/cluster-template-ignition.yaml
+++ b/templates/cluster-template-ignition.yaml
@@ -59,7 +59,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: controlplane.cluster.x-k8s.io/v1beta1
 kind: KubeadmControlPlane
diff --git a/templates/cluster-template-node-ipam.yaml b/templates/cluster-template-node-ipam.yaml
index 2fc7b2bf18..e562935811 100644
--- a/templates/cluster-template-node-ipam.yaml
+++ b/templates/cluster-template-node-ipam.yaml
@@ -64,7 +64,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
 kind: VSphereMachineTemplate
@@ -96,7 +95,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: controlplane.cluster.x-k8s.io/v1beta1
 kind: KubeadmControlPlane
diff --git a/templates/cluster-template.yaml b/templates/cluster-template.yaml
index 96c86a0472..d0a03258cc 100644
--- a/templates/cluster-template.yaml
+++ b/templates/cluster-template.yaml
@@ -59,7 +59,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
 kind: VSphereMachineTemplate
@@ -86,7 +85,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: controlplane.cluster.x-k8s.io/v1beta1
 kind: KubeadmControlPlane
diff --git a/templates/clusterclass-template.yaml b/templates/clusterclass-template.yaml
index f3ee540607..dbacfc0e07 100644
--- a/templates/clusterclass-template.yaml
+++ b/templates/clusterclass-template.yaml
@@ -285,7 +285,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
 kind: VSphereMachineTemplate
@@ -312,7 +311,6 @@ spec:
       server: '${VSPHERE_SERVER}'
       storagePolicyName: '${VSPHERE_STORAGE_POLICY}'
       template: '${VSPHERE_TEMPLATE}'
-      thumbprint: '${VSPHERE_TLS_THUMBPRINT}'
 ---
 apiVersion: controlplane.cluster.x-k8s.io/v1beta1
 kind: KubeadmControlPlaneTemplate