This bug was fixed in the package cloud-init -

cloud-init (0.7.8-1-g3705bb5-0ubuntu1~16.04.1) xenial-proposed; urgency=medium

  * New upstream release 0.7.8.
  * New upstream snapshot.
    - systemd: put After (LP: #1623868)

cloud-init (0.7.7-31-g65ace7b-0ubuntu1~16.04.2) xenial-proposed;

  * debian/control: add Breaks of older versions of walinuxagent (LP:

cloud-init (0.7.7-31-g65ace7b-0ubuntu1~16.04.1) xenial-proposed;

  * debian/control: fix missing dependency on python3-serial,
    and make SmartOS datasource work.
  * debian/cloud-init.templates fix capitalisation in template so
    dpkg-reconfigure works to select OpenStack. (LP: #1575727)
  * d/README.source, d/control, d/new-upstream-snapshot, d/rules: sync
    with yakkety for changes due to move to git.
  * d/rules: change PYVER=python3 to PYVER=3 to adjust to upstream change.
  * debian/rules, debian/cloud-init.install: remove install file
    to ensure expected files are collected into cloud-init deb.
    (LP: #1615745)
  * debian/dirs: remove obsolete / unused file.
  * upstream move from bzr to git.
  * New upstream snapshot.
    - Allow link type of null in network_data.json [Jon Grimm] (LP: #1621968)
    - DataSourceOVF: fix user-data as base64 with python3 (LP: #1619394)
    - remove obsolete .bzrignore
    - systemd: Better support package and upgrade. (LP: #1576692, #1621336)
    - tests: cleanup tempdirs in apt_source tests
    - apt config conversion: treat empty string as not provided. (LP: #1621180)
    - Fix typo in default keys for phone_home [Roland Sommer] (LP: #1607810)
    - salt minion: update default pki directory for newer salt minion.
      (LP: #1609899)
    - bddeb: add --release flag to specify the release in changelog.
    - apt-config: allow both old and new format to be present.
      [Christian Ehrhardt] (LP: #1616831)
    - python2.6: fix dict comprehension usage in _lsb_release. [Joshua Harlow]
    - Add a module that can configure spacewalk. [Joshua Harlow]
    - add install option for openrc [Matthew Thode]
    - Generate a dummy bond name for OpenStack (LP: #1605749)
    - network: fix get_interface_mac for bond slave, read_sys_net for ENOTDIR
    - azure dhclient-hook cleanups
    - Minor cleanups to atomic_helper and add unit tests.
    - Fix Gentoo net config generation [Matthew Thode]
    - distros: fix get_primary_arch method use of os.uname [Andrew Jorgensen]
    - Apt: add new apt configuration format [Christian Ehrhardt]
    - Get Azure endpoint server from DHCP client [Brent Baude]
    - DigitalOcean: use the v1.json endpoint [Ben Howard]
    - MAAS: add vendor-data support (LP: #1612313)
    - Upgrade to a configobj package new enough to work [Joshua Harlow]
    - ConfigDrive: recognize 'tap' as a link type. (LP: #1610784)
    - NoCloud: fix bug providing network-interfaces via meta-data.
      (LP: 1577982)
    - Add distro tags on config modules that should have it [Joshua Harlow]
    - ChangeLog: update changelog for previous commit.
    - add ntp config module [Ryan Harper]
    - SmartOS: more improvements for network configuration
    - tools/read-version: update to address change in version
    - make-tarball: older versions of git with --format=tar.
    - read-version: do not attempt git-describe if no git.
    - Newer requests have strong type validation [Joshua Harlow]
    - For upstream snapshot versions do not modify git-describe output.
    - adjust signal_handler for version changes.
    - revert unintended change to ubuntu sources list
    - drop modification of version during make-tarball, tools changes.
    - adjust tools and version information.
    - Update build tools to work with git [Lars Kellogg-Stedman]
    - fix pep8 errors in mcollective unit tests
    - mcollective: add tests, cleanups and bug fix when no config in /etc.

 -- Scott Moser <>  Thu, 15 Sep 2016 09:57:27 -0400

** Changed in: cloud-init (Ubuntu Xenial)
       Status: Fix Committed => Fix Released

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भाषा समायोजकहरुको समूह, which is subscribed to Xenial.
Matching subscriptions: Ubuntu 16.04 Bugs

  cloud-final.service does not run due to dependency cycle

Status in cloud-init package in Ubuntu:
  Fix Released
Status in cloud-init source package in Xenial:
  Fix Released

Bug description:
  ==== Begin SRU Template ====
  As part of the change in bug 1576692, we made
  run After  That created a dependency loop between and and

  Most of the time systemd would break that loop by dropping  But sometimes, it would break the loop by dropping, which would mean that user scripts do not run
  and generally cloud-init doesn't finish.

  [Test Case]
  ## Failure in a xenial image can only be reproduced by
  ## patching an image up to the previous xenial-proposed upload
  ## (0.7.7-31-g65ace7b-0ubuntu1~16.04.1), then cleaning it
  ## and then restarting.  We will focus on verifying there is not
  ## a problem.

  ## Launch an instance and patch it up to xenial-proposed
  $ release=xenial
  $ name=x1
  $ lxc launch ubuntu-daily:$release $name

  # wait for it to boot
  $ while ! lxc exec $name -- [ -e /run/cloud-init/result.json ]; do sleep 1; 

  ## Now update container, clean and reboot to show first boot
  $ lxc exec $name -- sh -c '
      echo deb xenial-proposed main > "$p" &&
      apt-get update -q && apt-get -qy install cloud-init'
  $ lxc exec $name -- sh -c '
      cd /var/lib/cloud && for d in *; do [ "$d" = "seed" ] || rm -Rf "$d"; done
      rm -Rf /var/log/cloud-init*'

  ## This is like first boot now.
  $ lxc exec $name reboot
  $ while ! lxc exec $name -- [ -e /run/cloud-init/result.json ]; do sleep 1; 

  ## The services should show active
  $ lxc exec $name -- journalctl | grep Break || echo Good, no breaks
  $ lxc exec $name -- systemctl --no-pager status cloud-final.service
  $ lxc exec $name -- systemctl --no-pager status

  [Regression Potential]
  Playing with boot order can cause problems.  Regression would be around
  some targets not running.   On a booted system this would show itself inx
    journalctl | grep -i Break
    journalctl | grep -i ordering

  ==== End SRU Template ====

  With current yakkety cloud images (at least in Scalingstack), I often
  run into this dependency cycle at boot:

  Sep 15 09:28:51 ubuntu systemd[1]: Found ordering cycle on
  Sep 15 09:28:51 ubuntu systemd[1]: Found dependency on 
  Sep 15 09:28:51 ubuntu systemd[1]: Found dependency on
  Sep 15 09:28:51 ubuntu systemd[1]: Found dependency on
  Sep 15 09:28:51 ubuntu systemd[1]: Breaking ordering cycle 
by deleting job cloud-final.service/start
  Sep 15 09:28:51 ubuntu systemd[1]: cloud-final.service: Job 
cloud-final.service/start deleted to break ordering cycle starting with

  ● cloud-final.service - Execute cloud user/final scripts
     Loaded: loaded (/lib/systemd/system/cloud-final.service; enabled; vendor 
preset: enabled)
     Active: inactive (dead)

  Thus /var/lib/cloud/instance/boot-finished never gets written and thus
  waiting for an instance to init just times out.

  This is with the most recent

  Related bugs:
   * bug 1576692: fully support package installation in systemd

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