Comment 5 for bug 1296913

My suggestion is that we just accept this as the way it worked. Specifying a group=foo hint from the API actually had *no* defined meaning before. It may or may not have done anything, depending on how the scheduler was configured.

Now it has a very specific meaning. If you specify this hint, the instance created will get added to that group. Policy set on that group will be enforced when the scheduler goes to schedule the instance, without any changes needed to scheduler config.