[python] pypi UserWarning: Unknown distribution option: 'install_requires'

ATTENTION! ATTENTION! Imperfect answer ahead. To get the "latest memo" on the state of packaging in the Python universe, read this fairly detailed essay.

I have just ran into this problem when trying to build/install ansible. The problem seems to be that distutils really doesn't support install_requires. Setuptools should monkey-patch distutils on-the-fly, but it doesn't, probably because the last release of setuptools is 0.6c11 from 2009, whereas distutils is a core Python project.

So even after manually installing the setuptools-0.6c11-py2.7.egg running setup.py only picks up distutils dist.py, and not the one from site-packages/setuptools/.

Also the setuptools documentation hints to using ez_setup and not distutils.

However, setuptools is itself provided by distribute nowadays, and that flavor of setup() supports install_requires.