not sure where this will show up - but will it be clear that includes "from scratch" VMs as well as cloned VMs and vm's created via VM import?

The cloud-init configuration is applied only to newly created VMs.

@ddemlow Would be this text better?

      - The cloud-init configuration is applied only to a newly created VM.
        It is not applied to an existing VM, to a cloned VM, or to an imported VM.
        This is consistent with HyperCore appliance behavior.

it IS applied when VMs are cloned or imported as well - well when those result in new vms being created ... which I guess is whenever the target vm doesn't already exist?

for example:
https://scalecomputing.github.io/HyperCoreAnsibleCollection/collections/scale_computing/hypercore/vm_clone_module.html#parameter-cloud_init

how about this:

The cloud-init configuration is applied only during the initial creation of a VM (whether through provisioning, cloning, or importing).
It is not applied to an existing VM.
This is consistent with the behavior of the HyperCore appliance.

Aha. Then it is up to the new (created, cloned or imported) VM to decide what to do with cloud-init configuration. I mean, some cloud-init configurations are applied only on "first run". Such commands would not be applied when VM is cloned or imported - the cloud-init daemon already run before.

Thank you for corrected doc snippet, Dave! Will use it.

correct.... our api will only create and attach the cidata iso if the vm is considered new through any of those methods ... whether the guest image is "armed" to look for that and use / apply it is an entirely different story