Comment 10 for bug 1208455

What we know so far:

- the issue is not related to cloud-init.
- the very high CPU load was atleast partly caused by byobu bug 1208853. To disable byobu...

=== modified file 'bin/prepare-testbed'
--- bin/prepare-testbed 2013-08-06 08:05:16 +0000
+++ bin/prepare-testbed 2013-08-06 14:01:42 +0000
@@ -227,7 +227,7 @@

 apt_update: true
 apt_upgrade: true
-byobu_by_default: system
+byobu_by_default: disable

 packages:
  - eatmydata

- smb/apw noticed that nested=1 for the kvm_intel driver was not being set in the 1st and 2nd level nested VMs but was being set on the host. However, forcing nested=1 on the host system, the autopkgtest system *and* the pristine nested VM (2nd-level nesting) does not stop the kernel panic.

Now trying with linux-image-3.11.0-0-generic to see if that helps...