Public bug reported:

Install Ubuntu 16.04 upgrade to latest 16.04.1.
Make sure in /etc/update-manager/release-upgrades
"Prompt=normal" is set.

Then as root:
# do-release-upgrade

Answer all questions with "y". The release upgrade will take place.
After it is finished it will ask a last question about rebooting.
Answer "y". The system will reboot.

After printing

Ubuntu 16.10 <hostname> tty1
<hostname> login:

for a short time the cursor blinks after ":". It vanishes.
You'll wont have keyboard, you'll wont have mouse.
CTRL-ALT-DEL wont work.

sshd will never start.

The system is dead until you reset it. It will boot again, but again no
keyboard, no mouse.

ProblemType: Bug
DistroRelease: Ubuntu 16.04
Package: ubuntu-release-upgrader-core 1:16.04.17
ProcVersionSignature: Ubuntu 4.4.0-43.63-generic 4.4.21
Uname: Linux 4.4.0-43-generic x86_64
ApportVersion: 2.20.1-0ubuntu2.1
Architecture: amd64
CrashDB: ubuntu
Date: Mon Oct 24 17:21:52 2016
InstallationDate: Installed on 2014-01-31 (997 days ago)
InstallationMedia: Ubuntu-Server 13.10 "Saucy Salamander" - Release amd64 
(20131016)
PackageArchitecture: all
ProcEnviron:
 TERM=xterm-256color
 PATH=(custom, no user)
 XDG_RUNTIME_DIR=<set>
 LANG=de_DE.UTF-8
 SHELL=/bin/bash
SourcePackage: ubuntu-release-upgrader
Symptom: release-upgrade
UpgradeStatus: Upgraded to xenial on 2016-09-06 (48 days ago)
VarLogDistupgradeAptclonesystemstate.tar.gz:
 Error: command ['pkexec', 'cat', 
'/var/log/dist-upgrade/apt-clone_system_state.tar.gz'] failed with exit code 
127: polkit-agent-helper-1: error response to PolicyKit daemon: 
GDBus.Error:org.freedesktop.PolicyKit1.Error.Failed: No session for cookie
 Error executing command as another user: Not authorized
 
 This incident has been reported.

** Affects: ubuntu-release-upgrader (Ubuntu)
     Importance: Undecided
         Status: New


** Tags: amd64 apport-bug dist-upgrade package-from-proposed xenial

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https://bugs.launchpad.net/bugs/1636237

Title:
  No mouse, no keyboard after upgrading from 16.04.1 to 16.10

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