The cool new features are now available in Windows Server 2016 such as time-based membership grouping, privileged access management and more. The following article will detail how to install Active Directory (AD) on Windows Server 2016.
Steps to install Active Directory in Server 2016
Log on to the server where you want to install Active Directory. Then open Server Manager.
From Server Manager, click Manage and choose Add roles and Features.

At the screen Before you beginClick Next.
When you get to the screen Select installation type, Please choose Role-based or feature-based installation. Then click Next.

At the screen Select destination server, select the server you want to install Active Directory. Then click Next.
When the screen Select server roles that opens, check the box next to it Active Directory Domain Services. You will receive a prompt Add features that are required for Active Directory Domain Services (Add the necessary features for Active Directory Domain Services). Click Add Features.

When you come back Select server rolesClick Next.
Then at the screen Select Features, click Next.
Read the information provided about the AD DS. Then click Next.

Then at the screen Confirmation, review your options and click Install.
When the installation is complete, click Close.
You can also install Active Directory in Server 2016 using the below PowerShell command:
Install-windowsfeature -name AD-Domain-Services -IncludeManagementTools
Upgrade the server to the Domain Controller
After you install Active Directory in Server 2016, the next step is to upgrade the server to a Domain Controller. You can create a new domain or add a DC to an existing domain.
This tutorial demonstrates how to add a DC to an existing domain.
Before you upgrade the server to DC, assign it a static IP address.
Here are the steps to take:
From Server Manager, click the amber colored notification triangle. Then click Promote this server to a domain controller.

At the screen Deployment Configuration, select a deployment activity. To create a new domain, choose the last option – Add a new forest. If you are adding a DC to an existing domain, choose the first option – Add a domain controller to an existing domain.
If selected Add a domain controller to an existing domainYou will be asked to provide the domain. Next to the school DomainClick Select. Then, enter the domain credentials in the format shown below. Then press OK.

The wizard will list all available domains in the forest. Select the domain you want to add DC and click OK.
The Domain fields and login information will be filled in automatically. Confirm that the information is correct. Then click Next.
At the screen Domain Controller Operations, select the roles you want the DC to perform. Then enter the DSRM password and click Next.

If you get this warning about DNS, ignore it and click Next.

Since you are adding this DC to the existing domain, the new DC will need to copy the AD data from the existing DC. To copy from a specific DC, click the drop-down menu Replicate from, choose a DC and click Next.
Then choose the path to AD DS database, log file and SYSVOL. Press Next.
Finally, review the options and click Next.
And if pass part Prerequisite CheckClick Install.

Once the server is upgraded to DC, a reboot can be performed.
See more:
Source content: How to install Active Directory on Windows Server 2016 and upgrade to DC
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