I'm bulilding rhel 7 vm templates on vmware ws. The very same config what was working with rhel 7.7 and cloud-init-18.5-3.el7 is not working with RHEL 7.8 and cloud-init-18-5-6.el7. I see there were a few fixes:
https://access.redhat.com/errata/product/69/ver=/rhel---7/x86_64/RHBA-2019:2123
https://access.redhat.com/errata/product/69/ver=/rhel---7/x86_64/RHBA-2020:1155
And I believe sg. got wrong... Without inspecting the code this one maybe... https://bugzilla.redhat.com/show_bug.cgi?id=1744526