Using the network 'default', DNS works differently in the guests than in the host: I have a local DNS server, which is mentioned as the first ns in /etc/resolv.conf on the host, but from the guest, it seems dnsmasq just talks to a random ns from that file, and therefore doesn't reliably resolve my local names. Should probably turn 'strict-order' on in the dnsmasq.conf
Hmm, so 'man resolv.conf' says [quote] nameserver Name server IP address Internet address (in dot notation) of a name server that the resolver should query. Up to MAXNS (currently 3, see <resolv.h>) name servers may be listed, one per keyword. If there are multiple servers, the resolver library queries them in the order listed. If no nameserver entries are present, the default is to use the name server on the local machine. (The algorithm used is to try a name server, and if the query times out, try the next, until out of name servers, then repeat trying all the name servers until a maximum number of retries are made.) [/quote] While 'man dnsmasq' says [quote] -o, --strict-order By default, dnsmasq will send queries to any of the upstream servers it knows about and tries to favour servers to are known to be up. Setting this flag forces dnsmasq to try each query with each server strictly in the order they appear in /etc/resolv.conf [/quote] So, by default dnsmasq is definitely doing wrong behaviour - it should match GLibC's algorithm. Thus we defintely need to add --strict-order to the flags we use.
Fixed in 0.2.2-3.fc7