Just tested Ubuntu 18.04 ( same issue ) logs attached

Behaviour for deploying Ubuntu 18 VMs using Static IP from Automation tool
Automation tool maps an image iso to pass cloud-init user data

Template work done
--------------

Deploy Ubuntu 18.04 from iso
sudo apt-get udpate && sudo apt-get upgrade

Cloud-init installed by default

following KB https://kb.vmware.com/s/article/56409
But used After=dbus.socket instead of After=dbus.service

sudo cloud-init clean --log

Open-VM-Tools 10346 (10.3.10)
Compatibility:  ESXi 6.7 Update 2 and later (VM version 15) for the VM Hardware

Tasks Invoked by vCenter when profivsioning from CAS

- Clone Virtual Machine from Template
- Reconfigure Virutal Machine
- Customize Virutal Machine Guest OS
- Power on Virtual Machine
 During the boot time the network state is disconnected

- Customization does start and successful, listed in the VM Events
- VM reboots and the network now is connected
- IP provied from Static IP Range
- Hostname is Updated
- Cloud config code fail to executes 

i have attached the logs. not sure if this ever going to work ..

** Attachment added: "Maher's Ubuntu 18.04 logs"
   
https://bugs.launchpad.net/ubuntu/+source/cloud-init/+bug/1833623/+attachment/5276845/+files/cloud-init.tar.gz

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https://bugs.launchpad.net/bugs/1833623

Title:
  VMware Guest OS Customization Fail for Ubuntu 16.04  with Cloud-init
  19.1

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