DC for new Hyper-V cluster

As failover cluster requires domain controller I am on the fence, where to install DC:

Why?

Install 2 DC (as you should anyway - one dc is one thing: RECKLESS) on LOCAL storage. YOu should have smal llocal storage anyway to boot up the machines, put the DC there. A DC image on server core (yes, that works) is quite small.

I have this setup for our development. My Hyper-V machines boot from local 128gb SATA-DOM's. SUperMicro sort os super small USB stick thingy that fits into a SATA slot (so no usb). They are rated 3 writes per day, so good enough for running windows - and I have plenty of space for 2 dc's on each.

There is no reason to put that onto the shared storage and this totally avoids the question. AND gives you significantly better uptime.

You can easily run DC as VM on Hyper-V nodes, just run it as a local and not clustered VM. Separate servers may be the best option, if you don’t mind expenses and additional management.

The option with DC role installation directly on host with Hyper-V is against best practices and cannot be recommended. Some explanation here -

www.hyper-v.io/combining-hyper-v-dc-role-server-bad-idea

Virtual Domain Controller (DC) is a way to go!

https://docs.microsoft.com/en-us/windows-server/identity/ad-ds/get-started/virtual-dc/virtualized-domain-controllers-hyper-v

P.S. Two of them with enabled DC replication, actually.

https://www.windowscrush.com/setting-up-additional-domain-controller-adc.html