diff --git a/setup.py b/setup.py
new file mode 100644
index 0000000..33ddfcb
--- /dev/null
+++ b/setup.py
@@ -0,0 +1,46 @@
+#!/usr/bin/python
+#
+# Windows Azure Linux Agent setup.py
+#
+# Copyright 2013 Microsoft Corporation
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+#     http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+#
+
+import sys
+from distutils.core import setup
+import imp
+
+# waagent has no '.py' therefore create waagent module import manually.
+__name__='setupmain'
+waagent=imp.load_source('waagent','waagent') #prevent waagent.__main__ from executing
+BUILDROOT=None
+
+for a in range(len(sys.argv)):
+    if sys.argv[a] == '--buildroot':
+        BUILDROOT=sys.argv[a+1]
+
+if BUILDROOT : # called by rpm-build
+    waagent.PackagedInstall(BUILDROOT)
+    
+else : # python library module installation.
+    setuptools.setup(name='waagent',
+                     version=waagent.GuestAgentVersion,
+                     description='Windows Azure Linux Agent',
+                     url='http://launchpad.net/cloud-init/',
+                     license='ApacheV2',
+                     py_modules=['waagent'],
+                     script_files=waagent.LibraryInstall(),
+                 )
+
+