This bug was fixed in the package cloud-init - 26.2-0ubuntu2

---------------
cloud-init (26.2-0ubuntu2) stonking; urgency=medium

  * d/p/udev-settle-after-mkfs.patch: perform udevadm settle when
    cloud-init performs disk setup to avoid mount errors: (LP: #2169908)

 -- Chad Smith <[email protected]>  Thu, 08 Oct 2026 18:09:26
-0600

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

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https://bugs.launchpad.net/bugs/2169908

Title:
  Formatting and mounting ephemeral disks has race condition with util-
  linux

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