A template is a fully pre-configured operating system image that can used to deploy KVM virtual machines. Creating a special template is usually preferred over cloning an existing VM. Deploying virtual machines from templates is blazing fast, very comfortable and if you use linked clones you can optimize your storage by using base images and thin-provisioning. Steps to create Ubuntu cloud init template in Proxmox Choose your Ubuntu Cloud Image (replace with the url of the one you chose from above)