This was resolved in upstream cloud-init in 23.3, which moved
Before=systemd-user-sessions.service from cloud-init.service to cloud-
config.service to resolve LP: #2013403. That change was temporarily
reverted on Ubuntu due to a snap-related performance regression. On
Noble and newer, the snap regression has been resolved, and with that
resolution the fix for this problem has been re-introduced.

Closing.

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

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https://bugs.launchpad.net/bugs/1633453

Title:
  ssh is started before cloud-init completed

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