Public bug reported:

Launching Jammy KVM instances from a Jammy host where kernel is > 5.10
results in ds-identify disabling cloud-init from systemd boot targets
due to systemd-detect-virt returning "qemu" instead of "kvm".


Steps to reproduce from Jammy host
$ lxc profile show jammy-vm
config: {}
description: Default LXD profile for jammy VMs
devices:
  eth0:
    name: eth0
    network: lxdbr0
    type: nic
  root:
    path: /
    pool: default
    type: disk
name: jammy-vm

$ lxc launch ubuntu-daily:jammy --vm --profile jammy-vm test-jammy
$ lxc exec test-jammy -- systemd-detect-virt
qemu
$ lxc stop test-jammy
$ lxc config set test-jammy security.devlxd=false
$ lxc start test-jammy
$ lxc exec test-jammy --  DEBUG_LEVEL=2 DI_LOG=stderr 
/usr/lib/cloud-init/ds-identify --force
# Ensure "no datasource detected"
$ lxc exec test-jammy -- add-apt-repository ppa:cloud-init-dev/daily
$ lxc exec test-jammy -- apt install cloud-init
$ lxc exec test-jammy --  DEBUG_LEVEL=2 DI_LOG=stderr 
/usr/lib/cloud-init/ds-identify --force
"Found single datasource: LXD"

** Affects: cloud-init (Ubuntu)
     Importance: High
     Assignee: Chad Smith (chad.smith)
         Status: In Progress

** Changed in: cloud-init (Ubuntu)
       Status: New => In Progress

** Changed in: cloud-init (Ubuntu)
     Assignee: (unassigned) => Chad Smith (chad.smith)

** Changed in: cloud-init (Ubuntu)
   Importance: Undecided => High

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https://bugs.launchpad.net/bugs/1968085

Title:
  Jammy: ds-identify: cloud-init disabled by generator due to inability
  to detect LXD datasource when launched from Jammy host system

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