Not sure this is a bug.
The error:
Setting up udev (204-5ubuntu20.7) ...
* udev requires hotplug support, not started
...fail!
occurs in /etc/init.d/udev when the script checks for the existence of
"/sys/kernel/uevent_helper" which does't exist unless the config option
"CONFIG_UEVENT_HELPER"
I tested the problem on an OVH VPS.
I couldn't get 14.10 to manifest an issue. I think it works.
I was unable to test 15.04.
Running "service udev start" results in this below.
* udev requires hotplug support, not started
...fail!
I bypassed the issue last time by installing 12.04 and then