diff --git a/docs/website/content/v0.6/en/configuration/v1alpha1.md b/docs/website/content/v0.6/en/configuration/v1alpha1.md
index e36e1beb5..5e616573a 100644
--- a/docs/website/content/v0.6/en/configuration/v1alpha1.md
+++ b/docs/website/content/v0.6/en/configuration/v1alpha1.md
@@ -737,6 +737,11 @@ The following DHCP options are supported:
 `ignore` is used to exclude a specific interface from configuration.
 This parameter is optional.
 
+##### machine.network.interfaces.dummy
+
+`dummy` is used to specify that this interface should be a virtual-only, dummy interface.
+This parameter is optional.
+
 ##### machine.network.interfaces.routes
 
 `routes` is used to specify static routes that may be necessary.
diff --git a/internal/app/machined/pkg/runtime/configurator.go b/internal/app/machined/pkg/runtime/configurator.go
index 76175cff2..14901f7f2 100644
--- a/internal/app/machined/pkg/runtime/configurator.go
+++ b/internal/app/machined/pkg/runtime/configurator.go
@@ -152,6 +152,7 @@ type Device struct {
 	MTU       int     `yaml:"mtu"`
 	DHCP      bool    `yaml:"dhcp"`
 	Ignore    bool    `yaml:"ignore"`
+	Dummy     bool    `yaml:"dummy"`
 }
 
 // Bond contains the various options for configuring a
diff --git a/internal/app/networkd/pkg/networkd/netconf.go b/internal/app/networkd/pkg/networkd/netconf.go
index 8d3ca8bc2..67e8228e8 100644
--- a/internal/app/networkd/pkg/networkd/netconf.go
+++ b/internal/app/networkd/pkg/networkd/netconf.go
@@ -71,6 +71,11 @@ func buildOptions(device runtime.Device, hostname string) (name string, opts []n
 		}
 	}
 
+	// Handle dummy interface
+	if device.Dummy {
+		opts = append(opts, nic.WithDummy())
+	}
+
 	// Configure Bonding
 	if device.Bond == nil {
 		return device.Interface, opts, err
diff --git a/internal/app/networkd/pkg/nic/nic.go b/internal/app/networkd/pkg/nic/nic.go
index 0dc939b20..7d194f8fc 100644
--- a/internal/app/networkd/pkg/nic/nic.go
+++ b/internal/app/networkd/pkg/nic/nic.go
@@ -45,6 +45,7 @@ type NetworkInterface struct {
 	Name          string
 	Type          int
 	Ignore        bool
+	Dummy         bool
 	Bonded        bool
 	MTU           uint32
 	Link          *net.Interface
@@ -124,6 +125,10 @@ func (n *NetworkInterface) Create() error {
 		info = &rtnetlink.LinkInfo{Kind: "bond"}
 	}
 
+	if n.Dummy {
+		info = &rtnetlink.LinkInfo{Kind: "dummy"}
+	}
+
 	if err = n.createLink(n.Name, info); err != nil {
 		return err
 	}
diff --git a/internal/app/networkd/pkg/nic/options.go b/internal/app/networkd/pkg/nic/options.go
index 81dee920b..7fd8d0e50 100644
--- a/internal/app/networkd/pkg/nic/options.go
+++ b/internal/app/networkd/pkg/nic/options.go
@@ -23,6 +23,14 @@ func defaultOptions() *NetworkInterface {
 	}
 }
 
+// WithDummy indicates that the interface should be a virtual, dummy interface.
+func WithDummy() Option {
+	return func(n *NetworkInterface) (err error) {
+		n.Dummy = true
+		return
+	}
+}
+
 // WithIgnore indicates that the interface should not be processed by talos.
 func WithIgnore() Option {
 	return func(n *NetworkInterface) (err error) {
diff --git a/pkg/config/types/v1alpha1/v1alpha1_types.go b/pkg/config/types/v1alpha1/v1alpha1_types.go
index 7ece7287c..7e87519af 100644
--- a/pkg/config/types/v1alpha1/v1alpha1_types.go
+++ b/pkg/config/types/v1alpha1/v1alpha1_types.go
@@ -436,6 +436,11 @@ type NetworkConfig struct {
 	//     `ignore` is used to exclude a specific interface from configuration.
 	//     This parameter is optional.
 	//
+	//     ##### machine.network.interfaces.dummy
+	//
+	//     `dummy` is used to specify that this interface should be a virtual-only, dummy interface.
+	//     This parameter is optional.
+	//
 	//     ##### machine.network.interfaces.routes
 	//
 	//     `routes` is used to specify static routes that may be necessary.