get rid of the ILO 4 HP error: "Monitor is in graphics mode or an unsupported text mode." in grub2

I love to use a standard console and not a java emulation so when I got the hands on the ILO 4 of the Hp new servers with Ubuntu 14.04 installed I went directly through ssh and to my surprise I got the following error: 

"Monitor is in graphics mode or an unsupported text mode."

The problem is that the newest kernels have moved the video mode setting into the kernel. So all the programming of the hardware specific clock rates and registers on the video card happen in the kernel rather than in the X driver when the X server starts. 

If someone is curious why, this makes it possible to have high resolution nice looking splash (boot) screens and flicker free transitions from boot splash to login screen. 

Unfortunately, on the ilo console this doesnt work properly and you end up with the error message mentioned above. 

Adding the nomodeset parameter to the kernel (according to HP web site which unfortunately does not provides updated setup info for the grub2 bootloader , but only the outdated grub) instructs the kernel to not load video drivers and use BIOS modes instead until X is loaded.

Let's add the "vga=normal nomodeset 3" parameter to the kernel boot:

emacs -nw /etc/default/grub

Near the top of that file you will see something very similar to this:
GRUB_DEFAULT=0
#GRUB_HIDDEN_TIMEOUT=0
GRUB_HIDDEN_TIMEOUT_QUIET=true
GRUB_TIMEOUT=10
GRUB_DISTRIBUTOR=`lsb_release -i -s 2> /dev/null || echo Debian`
GRUB_CMDLINE_LINUX_DEFAULT="quiet splash"
GRUB_CMDLINE_LINUX=""

just modify the bold line with 

GRUB_CMDLINE_LINUX_DEFAULT="quiet splash vga=normal nomodeset 3"

then save the file and update grub:

sudo update grub 

reboot and you are done.