we are experiencing probably the same situation, and it is serious failure of the ovirt! After last upgrade of centos 7 hosts and hosted engine (see versions below), the hosted engine does not come up, making the whole ovirt cluster USELESS. I can't connect to engine console any way. I even tried clean install of one centos 7 host with hosted engine on nfs storage with the same result, engine comes up, but failing liveliness check.
Here are the versions of clean install, which is also failing:
ovirt-engine-appliance.noarch 4.2-20180903.1.el7 @ovirt-4.2
ovirt-engine-sdk-python.noarch 18.104.22.168-1.el7 @ovirt-4.2
ovirt-host.x86_64 4.2.3-1.el7 @ovirt-4.2
ovirt-host-dependencies.x86_64 4.2.3-1.el7 @ovirt-4.2
ovirt-host-deploy.noarch 1.7.4-1.el7 @ovirt-4.2
ovirt-hosted-engine-ha.noarch 2.2.16-1.el7 @ovirt-4.2
ovirt-hosted-engine-setup.noarch 2.2.26-1.el7 @ovirt-4.2
ovirt-imageio-common.x86_64 1.4.4-0.el7 @ovirt-4.2
ovirt-imageio-daemon.noarch 1.4.4-0.el7 @ovirt-4.2
ovirt-provider-ovn-driver.noarch 1.2.14-1.el7 @ovirt-4.2
ovirt-release42.noarch 22.214.171.124-1.el7 installed
ovirt-setup-lib.noarch 1.1.5-1.el7 @ovirt-4.2
ovirt-vmconsole.noarch 1.0.5-4.el7.centos @ovirt-4.2
ovirt-vmconsole-host.noarch 1.0.5-4.el7.centos @ovirt-4.2
python-ovirt-engine-sdk4.x86_64 4.2.8-2.el7 @ovirt-4.2
This is a total fail of "intended for production use" system. Even more, when I try to restore regular engine backup to new engine before engine-setup on new clean centos 7 host, it is failing also.
What logs would you need to get it analyzed? I can supply it right back.
vdsm.log from the host trying to start the engine VM.
Did you tried to connect to the engine VM over VNC?
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