diff --git a/debian/changelog b/debian/changelog
index e39049f3..5519719a 100644
--- a/debian/changelog
+++ b/debian/changelog
@@ -1,3 +1,18 @@
+livecd-rootfs (2.729) impish; urgency=medium
+
+  [ Michael Hudson-Doyle ]
+  * Fix a few things found while porting the live server ISO builds to
+    layers.
+  * Port live server ISO builds to layers.
+
+  [ Chloé 'kajiya' Smith ]
+  * Image hangs during boot after deploying groovy-server-cloudimg-amd64.ova,
+    and the upgrading the ESXi hardware version. Adding a serial port
+    rectifies this - so this code change simply adds a serial port to the OVF
+    template (so there is a serial port as default). (LP: #1895104)
+
+ -- Michael Hudson-Doyle <michael.hudson@ubuntu.com>  Mon, 12 Jul 2021 10:27:35 +1200
+
 livecd-rootfs (2.728) impish; urgency=medium
 
   [ Dan Bungert ]
diff --git a/live-build/auto/config b/live-build/auto/config
index 196160d2..499a7d5b 100755
--- a/live-build/auto/config
+++ b/live-build/auto/config
@@ -764,12 +764,47 @@ case $PROJECT in
 		;;
 
 	ubuntu-server)
-		add_task install minimal
 		case ${SUBPROJECT:-} in
 			live)
-				add_task install standard
-				add_task install server
-				add_package install cloud-init
+				PASSES_TO_LAYERS=true
+				add_task ubuntu-server minimal standard server
+				# add_task really should do this itself but for now...
+				snap_from_seed server config/package-lists/livecd-rootfs.snaplist.chroot_ubuntu-server.full
+				add_package ubuntu-server cloud-init
+
+				add_package ubuntu-server.installer linux-firmware lupin-casper openssh-server
+				add_snap ubuntu-server.installer subiquity/classic
+				if [ $ARCH = s390x ]; then
+					add_package ubuntu-server.installer s390-tools-zkey
+				fi
+
+				# Live server ISOs for LTS point releases past .2 offer both
+				# the GA and HWE kernels (in separate layers) so this code is
+				# written generically to support both even though a lot of the
+				# time only one kernel is offered.
+
+				# variants='ga hwe'
+				variants='ga'
+
+				for variant in $variants; do
+					if [ "$variant" = "ga" ]; then
+						kernel_metapkg=linux-generic
+						flavor=generic
+					elif [ "$variant" = "hwe" ]; then
+						kernel_metapkg=linux-generic-hwe-$(lsb_release -sr)
+						flavor=generic-hwe
+					else
+						echo "bogus variant: $variant"
+						exit 1
+					fi
+
+					add_package ubuntu-server.installer.$flavor $kernel_metapkg
+					LIVE_PASSES="${LIVE_PASSES:+$LIVE_PASSES }ubuntu-server.installer.$flavor"
+				done
+				;;
+			*)
+				echo "unrecognized subproject for server: '$SUBPROJECT'"
+				exit 1
 				;;
 		esac
 		COMPONENTS='main'
@@ -1012,8 +1047,8 @@ PASSES=$(_sanitize_passes "$PASSES")
 LIVE_PASSES=${LIVE_PASSES:-$(_get_live_passes "$PASSES")}
 
 if [ -n "$PASSES" ] && [ -z "$LIVE_PASSES" ]; then
-	Echo_warning "Multi-layered mode is enabled, but we didn't find any live pass." \
-	             "Either set \$LIVE_PASSES or add a pass ending with '.live'."
+	echo "W: Multi-layered mode is enabled, but we didn't find any live pass." \
+	     "Either set \$LIVE_PASSES or add a pass ending with '.live'."
 fi
 
 echo "LB_CHROOT_HOOKS=\"$CHROOT_HOOKS\"" >> config/chroot
@@ -1023,6 +1058,9 @@ echo "IMAGEFORMAT=\"$IMAGEFORMAT\"" >> config/chroot
 if [ -n "$PASSES" ]; then
 	echo "PASSES=\"$PASSES\"" >> config/common
 fi
+if [ -n "$NO_SQUASHFS_PASSES" ]; then
+    echo "NO_SQUASHFS_PASSES=\"$NO_SQUASHFS_PASSES\"" >> config/common
+fi
 if [ -n "$LIVE_PASSES" ]; then
 	echo "LIVE_PASSES=\"$LIVE_PASSES\"" >> config/common
 fi
diff --git a/live-build/lb_binary_layered b/live-build/lb_binary_layered
index 2cf56dbb..acd6f591 100755
--- a/live-build/lb_binary_layered
+++ b/live-build/lb_binary_layered
@@ -66,7 +66,7 @@ build_layered_squashfs () {
 		return
 	fi
 
-	rm -f .build/binary_chroot
+	rm -f .build/binary_chroot .build/binary_hooks
 
 	mkdir -p "$overlay_dir/"
 	lowerdirs=$(get_lowerdirs_for_pass $pass)
@@ -92,39 +92,54 @@ build_layered_squashfs () {
 		rm -f chroot/boot/initrd.img-* chroot/boot/vmlinu{x,z}-*
 	fi
 
-	# Full manifest until that PASS
-	squashfs_f_manifest="${base}.manifest"
-	create_manifest "chroot" "${squashfs_f_manifest}.full"
-
-	# Delta manifest
-	diff -NU0 ${PWD}/livecd.${PROJECT}.$(get_parent_pass $pass).manifest.full ${squashfs_f_manifest}.full|grep -v ^@ > $squashfs_f_manifest
-
-	squashfs_f_size="${base}.size"
-	du -B 1 -s "overlay.${pass}/" | cut -f1 > "${squashfs_f_size}"
-
-	# We take first live pass for "global" ISO properties (used by installers and checkers):
-	# Prepare initrd + kernel
-	# Main manifest and size files
-	prefix="livecd.$PROJECT${SUBARCH:+-$SUBARCH}"
-	if [ ! -e "${prefix}.manifest" ] && $(is_live_layer "$pass"); then
-		totalsize=$(cat ${squashfs_f_size})
-		curpass="$pass"
-		while :; do
-			curpass=$(get_parent_pass $curpass)
-			# We climbed up the tree to the root layer, we are done
-			[ -z "$curpass" ] && break
-
-			totalsize=$(expr $totalsize + $(cat "${PWD}/livecd.${PROJECT}.${curpass}.size"))
-		done
-		echo ${totalsize} > "${prefix}.size"
-
-		cp "${squashfs_f_manifest}.full" "${prefix}.manifest"
+        make_squashfs=yes
+        ppass="${pass}"
+        while :; do
+            for nsp in ${NO_SQUASHFS_PASSES}; do
+                if [ "${ppass}" = "${nsp}" ]; then
+                    make_squashfs=no
+                    break 2
+                fi
+            done
+            ppass="$(get_parent_pass "${ppass}")"
+            if [ -z "${ppass}" ]; then
+                break
+            fi
+        done
+
+        if [ $make_squashfs = yes ]; then
+		# Full manifest until that PASS
+		squashfs_f_manifest="${base}.manifest"
+		create_manifest "chroot" "${squashfs_f_manifest}.full"
+
+		# Delta manifest
+		diff -NU0 ${PWD}/livecd.${PROJECT}.$(get_parent_pass $pass).manifest.full ${squashfs_f_manifest}.full|grep -v ^@ > $squashfs_f_manifest
+
+		squashfs_f_size="${base}.size"
+		du -B 1 -s "overlay.${pass}/" | cut -f1 > "${squashfs_f_size}"
+
+		# We take first live pass for "global" ISO properties (used by installers and checkers):
+		# Prepare initrd + kernel
+		# Main manifest and size files
+		prefix="livecd.$PROJECT${SUBARCH:+-$SUBARCH}"
+		if [ ! -e "${prefix}.manifest" ] && $(is_live_layer "$pass"); then
+			totalsize=$(cat ${squashfs_f_size})
+			curpass="$pass"
+			while :; do
+				curpass=$(get_parent_pass $curpass)
+				# We climbed up the tree to the root layer, we are done
+				[ -z "$curpass" ] && break
+
+				totalsize=$(expr $totalsize + $(cat "${PWD}/livecd.${PROJECT}.${curpass}.size"))
+			done
+			echo ${totalsize} > "${prefix}.size"
+
+			cp "${squashfs_f_manifest}.full" "${prefix}.manifest"
+		fi
+
+		create_squashfs "overlay.${pass}/" ${squashfs_f}
 	fi
 
-	(cd "overlay.${pass}/" &&
-		mksquashfs . ${squashfs_f} \
-		-no-progress -xattrs -comp xz )
-
 	if [ -n "$lowerdirs" ]; then
 		umount chroot
 		rmdir chroot
diff --git a/live-build/lb_chroot_layered b/live-build/lb_chroot_layered
index 261d447b..2c7cbcfa 100755
--- a/live-build/lb_chroot_layered
+++ b/live-build/lb_chroot_layered
@@ -130,8 +130,27 @@ reduce_pass_size () {
 		if ! diff --brief --no-dereference "$pass_dir/$f" "$parent_pass_dir/$f" >/dev/null; then
 			continue
 		fi
+		p=$(dirname $f)
+		while [ "$p" != . ]; do
+			# As explained in the overlayfs documentation
+			# https://www.kernel.org/doc/html/latest/filesystems/overlayfs.html#whiteouts-and-opaque-directories
+			# an xattr of trusted.overlay.opaque indicates an 'opaque' directory
+			# that was deleted from the overlay. Removing files from within the
+			# directory, even if identical with one in the lower layer, will result
+			# in it going missing from the combined filesystem.
+			#
+			# It would be possible to be more clever, e.g. if the two directories
+			# are still similar, we could the delete the attribute and convert any
+			# still-needed deletions to whiteouts but it doesn't seem worth it in
+			# the cases seen so far.
+			if [ -n "$(getfattr -n trusted.overlay.opaque -h --only-values -- "$pass_dir/$p" 2>/dev/null)" ]; then
+				Echo_message "reduce_pass_size: '%s' would be removed from overlay but for trusted.overlay.opaque on '%s'" "$f" "$p"
+				continue 2
+			fi
+			p=$(dirname $p)
+		done
 		# Files are strictly identical between the 2 passes (only mod or access times differs). No need for unused delta.
-		Echo_message "reduce_pass_size: '$f' is strictly identical between $parent and $pass. Removing."
+		Echo_message "reduce_pass_size: '%s' is strictly identical between %s and %s. Removing." "$f" "$pass" "$parent"
 		rm "$pass_dir/$f"
 	done
 
@@ -143,7 +162,7 @@ create_chroot_pass () {
 	local pass=$1
 	shift 1 # restore ${*}
 
-	Echo_message "lb_chroot_layered: treating pass $pass"
+	Echo_message "lb_chroot_layered: treating pass %s" "$pass"
 
 	# We have already treated that pass just return.
 	local overlay_dir="overlay.${pass}"
@@ -154,7 +173,7 @@ create_chroot_pass () {
 	# Only get some function executed on root passes
 	# Copy bootstrap on root layers
 	if $(is_root_layer $pass); then
-		rm -f .build/chroot_linux-image .build/chroot_preseed .build/chroot_hacks
+		rm -f .build/chroot_linux-image .build/chroot_preseed
 		cp -a chroot.bootstrap/ "$overlay_dir/"
 	fi
 	# Others have to be executed on every pass
@@ -196,7 +215,6 @@ create_chroot_pass () {
 	# Only configure universe on root passes
 	if $(is_root_layer $pass); then
 		lb chroot_archives chroot install ${*}
-		configure_universe
 	fi
 
 	# Customizing chroot
@@ -247,13 +265,24 @@ create_chroot_pass () {
 
 	lb chroot_hooks ${*}
 
-	# Run chroot_hacks only on root layers.
-	# chroot_hacks changes the mode of boot/initrd*. The side effect in
-	# layered mode is to create an initrd on each layer with a significant
-	# impact on image size (+30MB per layer). This is an issue even with
-	# update-initramfs disabled.
+	# Run chroot_hacks only on live layers.  chroot_hacks is what repacks
+	# the initrd in a full casperized mode. We don't want to do that for
+	# each and every layer, just for the live layers (which
+	# lb_binary_layered will call lb binary_linux-image on).
 	if $(is_live_layer $pass); then
+		rm -f .build/chroot_hacks
 		lb chroot_hacks ${*}
+	else
+		# chroot_hacks also removes some cruft, which is appropriate for
+		# any layer so we copy and paste that bit here.
+		rm -f chroot/boot/initrd*bak*
+		rm -f chroot/etc/apt/trusted.gpg~
+		rm -f chroot/etc/group- chroot/etc/passwd-
+		rm -f chroot/etc/gshadow- chroot/etc/shadow-
+		rm -f chroot/var/cache/debconf/*-old
+		rm -f chroot/var/lib/dpkg/*-old
+		rm -f chroot/var/log/apt/term.log
+		rm -f chroot/etc/adjtime
 	fi
 
 	lb chroot_interactive ${*}
@@ -267,6 +296,7 @@ create_chroot_pass () {
 	# Deconfiguring chroot
 	if $(is_root_layer $pass); then
 		lb chroot_archives chroot remove ${*}
+		configure_universe
 	fi
 	lb chroot_apt remove ${*}
 	lb chroot_hostname remove ${*}
diff --git a/live-build/ubuntu-cpc/hooks.d/base/ovf/ubuntu-ova-v1-vmdk.tmpl b/live-build/ubuntu-cpc/hooks.d/base/ovf/ubuntu-ova-v1-vmdk.tmpl
index 7f0b85e0..77ecc93d 100644
--- a/live-build/ubuntu-cpc/hooks.d/base/ovf/ubuntu-ova-v1-vmdk.tmpl
+++ b/live-build/ubuntu-cpc/hooks.d/base/ovf/ubuntu-ova-v1-vmdk.tmpl
@@ -84,24 +84,32 @@
         <rasd:ResourceSubType>VirtualSCSI</rasd:ResourceSubType>
         <rasd:ResourceType>6</rasd:ResourceType>
       </Item>
+      <Item ovf:required="false">
+        <rasd:AutomaticAllocation>true</rasd:AutomaticAllocation>
+        <rasd:ElementName>serial0</rasd:ElementName>
+        <rasd:InstanceID>4</rasd:InstanceID>
+        <rasd:ResourceSubType>vmware.serialport.device</rasd:ResourceSubType>
+        <rasd:ResourceType>21</rasd:ResourceType>
+        <vmw:Config ovf:required="false" vmw:key="yieldOnPoll" vmw:value="false" />
+      </Item>
       <Item>
         <rasd:Address>1</rasd:Address>
         <rasd:Description>IDE Controller</rasd:Description>
         <rasd:ElementName>VirtualIDEController 1</rasd:ElementName>
-        <rasd:InstanceID>4</rasd:InstanceID>
+        <rasd:InstanceID>5</rasd:InstanceID>
         <rasd:ResourceType>5</rasd:ResourceType>
       </Item>
       <Item>
         <rasd:Address>0</rasd:Address>
         <rasd:Description>IDE Controller</rasd:Description>
         <rasd:ElementName>VirtualIDEController 0</rasd:ElementName>
-        <rasd:InstanceID>5</rasd:InstanceID>
+        <rasd:InstanceID>6</rasd:InstanceID>
         <rasd:ResourceType>5</rasd:ResourceType>
       </Item>
       <Item ovf:required="false">
         <rasd:AutomaticAllocation>false</rasd:AutomaticAllocation>
         <rasd:ElementName>VirtualVideoCard</rasd:ElementName>
-        <rasd:InstanceID>6</rasd:InstanceID>
+        <rasd:InstanceID>7</rasd:InstanceID>
         <rasd:ResourceType>24</rasd:ResourceType>
         <vmw:Config ovf:required="false" vmw:key="enable3DSupport" vmw:value="false"/>
         <vmw:Config ovf:required="false" vmw:key="enableMPTSupport" vmw:value="false"/>
@@ -112,7 +120,7 @@
       <Item ovf:required="false">
         <rasd:AutomaticAllocation>false</rasd:AutomaticAllocation>
         <rasd:ElementName>VirtualVMCIDevice</rasd:ElementName>
-        <rasd:InstanceID>7</rasd:InstanceID>
+        <rasd:InstanceID>8</rasd:InstanceID>
         <rasd:ResourceSubType>vmware.vmci</rasd:ResourceSubType>
         <rasd:ResourceType>1</rasd:ResourceType>
         <vmw:Config ovf:required="false" vmw:key="allowUnrestrictedCommunication" vmw:value="false"/>
@@ -121,8 +129,8 @@
         <rasd:AddressOnParent>0</rasd:AddressOnParent>
         <rasd:AutomaticAllocation>false</rasd:AutomaticAllocation>
         <rasd:ElementName>CD-ROM 1</rasd:ElementName>
-        <rasd:InstanceID>8</rasd:InstanceID>
-        <rasd:Parent>4</rasd:Parent>
+        <rasd:InstanceID>9</rasd:InstanceID>
+        <rasd:Parent>3</rasd:Parent>
         <rasd:ResourceSubType>vmware.cdrom.remotepassthrough</rasd:ResourceSubType>
         <rasd:ResourceType>15</rasd:ResourceType>
         <vmw:Config ovf:required="false" vmw:key="backing.exclusive" vmw:value="false"/>
@@ -131,7 +139,7 @@
         <rasd:AddressOnParent>0</rasd:AddressOnParent>
         <rasd:ElementName>Hard Disk 1</rasd:ElementName>
         <rasd:HostResource>ovf:/disk/vmdisk1</rasd:HostResource>
-        <rasd:InstanceID>9</rasd:InstanceID>
+        <rasd:InstanceID>10</rasd:InstanceID>
         <rasd:Parent>3</rasd:Parent>
         <rasd:ResourceType>17</rasd:ResourceType>
         <vmw:Config ovf:required="false" vmw:key="backing.writeThrough" vmw:value="false"/>
@@ -141,7 +149,7 @@
         <rasd:AutomaticAllocation>false</rasd:AutomaticAllocation>
         <rasd:Description>Floppy Drive</rasd:Description>
         <rasd:ElementName>Floppy 1</rasd:ElementName>
-        <rasd:InstanceID>10</rasd:InstanceID>
+        <rasd:InstanceID>11</rasd:InstanceID>
         <rasd:ResourceSubType>vmware.floppy.remotedevice</rasd:ResourceSubType>
         <rasd:ResourceType>14</rasd:ResourceType>
       </Item>
@@ -151,7 +159,7 @@
         <rasd:Connection>VM Network</rasd:Connection>
         <rasd:Description>VmxNet3 ethernet adapter on &quot;VM Network&quot;</rasd:Description>
         <rasd:ElementName>Ethernet 1</rasd:ElementName>
-        <rasd:InstanceID>11</rasd:InstanceID>
+        <rasd:InstanceID>12</rasd:InstanceID>
         <rasd:ResourceSubType>VmxNet3</rasd:ResourceSubType>
         <rasd:ResourceType>10</rasd:ResourceType>
         <vmw:Config ovf:required="false" vmw:key="wakeOnLanEnabled" vmw:value="true"/>
diff --git a/live-build/ubuntu-server/hooks/02-installer-bits.chroot b/live-build/ubuntu-server/hooks/02-installer-bits.chroot
new file mode 100755
index 00000000..d71157cc
--- /dev/null
+++ b/live-build/ubuntu-server/hooks/02-installer-bits.chroot
@@ -0,0 +1,17 @@
+#!/bin/bash -ex
+# vi: ts=4 noexpandtab
+
+if [ "${PASS}" != "ubuntu-server.installer" ]; then
+    exit 0
+fi
+
+# Make sure NoCloud is last
+values=$(echo get cloud-init/datasources | debconf-communicate | sed 's/^0 //;s/NoCloud, //;s/None/NoCloud, None/')
+printf "%s\t%s\t%s\t%s\n" \
+   cloud-init cloud-init/datasources multiselect  "$values" | debconf-set-selections
+dpkg-reconfigure --frontend=noninteractive cloud-init
+
+if [ `dpkg --print-architecture` = s390x ]; then
+    # because z/VM x3270 is just ttyS0
+    cp -r /usr/lib/systemd/system/serial-getty@sclp_line0.service.d /usr/lib/systemd/system/serial-getty@ttyS0.service.d
+fi
diff --git a/live-build/ubuntu-server/hooks/03-kernel-metapkg.chroot_early b/live-build/ubuntu-server/hooks/03-kernel-metapkg.chroot_early
new file mode 100755
index 00000000..7e99c6bf
--- /dev/null
+++ b/live-build/ubuntu-server/hooks/03-kernel-metapkg.chroot_early
@@ -0,0 +1,37 @@
+#!/bin/bash -ex
+# vi: ts=4 noexpandtab
+
+case $PASS in
+    ubuntu-server.installer.*)
+        flavor=${PASS##*.}
+        if [ "$flavor" = "generic" ]; then
+            kernel_metapkg=linux-generic
+        elif [ "$flavor" = "generic-hwe" ]; then
+            kernel_metapkg=linux-generic-hwe-$(lsb_release -sr)
+        else
+            echo "bogus flavor: $flavor"
+            exit 1
+        fi
+        ;;
+    *)
+        exit 0
+        ;;
+esac
+
+cat <<EOF > /etc/initramfs-tools/scripts/init-bottom/live-server
+#!/bin/sh
+case \$1 in
+prereqs) exit 0;;
+esac
+
+echo ${kernel_metapkg} > /run/kernel-meta-package
+EOF
+chmod +x /etc/initramfs-tools/scripts/init-bottom/live-server
+
+cat <<EOF > /etc/initramfs-tools/conf.d/casperize.conf
+export CASPER_GENERATE_UUID=1
+EOF
+
+cat <<EOF > /etc/initramfs-tools/conf.d/default-layer.conf
+LAYERFS_PATH=${PASS}.squashfs
+EOF
diff --git a/live-build/ubuntu-server/hooks/030-root-squashfs.binary b/live-build/ubuntu-server/hooks/030-root-squashfs.binary
deleted file mode 100755
index 148490e9..00000000
--- a/live-build/ubuntu-server/hooks/030-root-squashfs.binary
+++ /dev/null
@@ -1,33 +0,0 @@
-#!/bin/bash -ex
-# vi: ts=4 noexpandtab
-#
-# Generate a squashfs root and manifest
-
-set -x
-echo "030-root-squashfs.binary"
-
-case $IMAGE_TARGETS in
-	""|*squashfs*)
-		;;
-	*)
-		echo "Skipping squashfs build"
-		exit 0
-		;;
-esac
-
-if [ -n "$SUBARCH" ]; then
-	echo "Skipping rootfs build for subarch flavor build"
-	exit 0
-fi
-
-. config/functions
-
-mkdir binary/boot/squashfs.dir
-cp -a chroot/* binary/boot/squashfs.dir
-
-squashfs_f="${PWD}/livecd.${PROJECT}.squashfs"
-squashfs_f_manifest="${squashfs_f}.manifest"
-
-create_manifest "binary/boot/squashfs.dir" "${squashfs_f_manifest}"
-
-create_squashfs "binary/boot/squashfs.dir/" ${squashfs_f}
diff --git a/live-build/ubuntu-server/hooks/032-installer-squashfs.binary b/live-build/ubuntu-server/hooks/032-installer-squashfs.binary
deleted file mode 100755
index febee4c6..00000000
--- a/live-build/ubuntu-server/hooks/032-installer-squashfs.binary
+++ /dev/null
@@ -1,97 +0,0 @@
-#!/bin/bash -ex
-# vi: ts=4 noexpandtab
-#
-# Generate a squashfs root and manifest
-
-set -x
-
-echo "032-installer-squashfs.binary"
-
-case $IMAGE_TARGETS in
-	""|*squashfs*)
-		;;
-	*)
-		echo "Skipping squashfs build"
-		exit 0
-		;;
-esac
-
-if [ -n "$SUBARCH" ]; then
-	echo "Skipping rootfs build for subarch flavor build"
-	exit 0
-fi
-
-. config/binary
-. config/functions
-. config/common
-
-FILESYSTEM_ROOT=binary/boot/squashfs.dir
-INSTALLER_ROOT=binary/boot/installer.squashfs.dir
-OVERLAY_ROOT=binary/overlay
-
-mkdir -p "$INSTALLER_ROOT" "$OVERLAY_ROOT"
-
-# Create an installer squashfs layer
-mount_overlay "$FILESYSTEM_ROOT/" "$OVERLAY_ROOT/" "$INSTALLER_ROOT/"
-
-setup_mountpoint "$INSTALLER_ROOT"
-
-# Override JobRunningTimeoutSec to 0s on the .device unit that
-# subiquity_config.mount depends on to avoid a 5s delay on switching
-# to a new VT when there is no device there (LP: #1750117).
-# It would be better to have this in ../includes.binary/overlay but
-# you can't have backslashes in filenames in bzr branches!
-ANSWERS_DEVICE_UNIT='dev-disk-by\x2duuid-00c629d6\x2d06ab\x2d4dfd\x2db21e\x2dc3186f34105d.device'
-mkdir -p "$INSTALLER_ROOT/etc/systemd/system/$ANSWERS_DEVICE_UNIT.d"
-cat > "$INSTALLER_ROOT/etc/systemd/system/$ANSWERS_DEVICE_UNIT.d/override.conf" <<EOF
-[Unit]
-JobRunningTimeoutSec=0s
-Wants=subiquity_config.mount
-EOF
-
-# Prepare installer layer.
-
-# Install:
-#   1. linux-firmware for kernel to upload into hardware.
-#   2. casper for live session magic.
-#   3. openssh-server to enable the "ssh into live session" feature
-chroot $INSTALLER_ROOT apt-get -y install linux-firmware lupin-casper openssh-server
-
-# Make sure NoCloud is last
-values=$(echo get cloud-init/datasources | chroot $INSTALLER_ROOT debconf-communicate | sed 's/^0 //;s/NoCloud, //;s/None/NoCloud, None/')
-printf "%s\t%s\t%s\t%s\n" \
-   cloud-init cloud-init/datasources multiselect  "$values" |
-      chroot $INSTALLER_ROOT debconf-set-selections
-chroot $INSTALLER_ROOT dpkg-reconfigure --frontend=noninteractive cloud-init
-
-if [ `dpkg --print-architecture` = s390x ]; then
-    chroot $INSTALLER_ROOT apt-get -y install s390-tools-zkey
-    # because z/VM x3270 is just ttyS0
-    cp -r $INSTALLER_ROOT/usr/lib/systemd/system/serial-getty@sclp_line0.service.d $INSTALLER_ROOT/usr/lib/systemd/system/serial-getty@ttyS0.service.d
-fi
-chroot $INSTALLER_ROOT apt-get clean
-
-# For bug #1743643 "Install to dirty disk with swap fails" remove the
-# "helpful" casper script that mounts any swap partitions it finds.
-rm -f $INSTALLER_ROOT/usr/share/initramfs-tools/scripts/casper-bottom/*swap
-
-# Preseed subiquity into installer layer
-snap_prepare $INSTALLER_ROOT
-snap_preseed $INSTALLER_ROOT subiquity/classic
-# Drop lxd from the installer layer preseed
-sed -i -e'N;/name: lxd/,+2d' $INSTALLER_ROOT/var/lib/snapd/seed/seed.yaml
-
-teardown_mountpoint "$INSTALLER_ROOT"
-
-# Drop any snaps that got copied up from base layer, due to
-# snap-preseed tool doing --reset & speedup
-for snap in $(cd $OVERLAY_ROOT/; find var/lib/snapd/ -name '*.snap'); do
-    if [ -f $FILESYSTEM_ROOT/$snap ]; then
-        echo "removing $snap from overlay as already present in base layer"
-        rm $OVERLAY_ROOT/$snap
-    fi
-done
-
-squashfs_f="${PWD}/livecd.${PROJECT}.installer.squashfs"
-
-create_squashfs "$OVERLAY_ROOT/" ${squashfs_f}
diff --git a/live-build/ubuntu-server/hooks/033-kernel-bits.binary b/live-build/ubuntu-server/hooks/033-kernel-bits.binary
deleted file mode 100755
index 4f7f9b95..00000000
--- a/live-build/ubuntu-server/hooks/033-kernel-bits.binary
+++ /dev/null
@@ -1,94 +0,0 @@
-#!/bin/bash -eux
-# vi: ts=4 noexpandtab
-#
-# Generate a squashfs root and manifest
-
-echo "033-kernel-bits.binary"
-
-case ${IMAGE_TARGETS-} in
-	""|*squashfs*)
-		;;
-	*)
-		echo "Skipping squashfs build"
-		exit 0
-		;;
-esac
-
-if [ -n "${SUBARCH-}" ]; then
-	echo "Skipping rootfs build for subarch flavor build"
-	exit 0
-fi
-
-. config/functions
-. config/common
-
-INSTALLER_ROOT=binary/boot/installer.squashfs.dir
-
-KERNEL_BITS_ROOT=binary/boot/kernel-bits.dir
-KERNEL_BITS_OVERLAY=binary/boot/overlay-kernel-bits
-
-#variants='ga hwe'
-variants='ga'
-
-for variant in $variants; do
-	if [ "$variant" = "ga" ]; then
-		kernel_metapkg=linux-generic
-		flavor=generic
-	elif [ "$variant" = "hwe" ]; then
-		kernel_metapkg=linux-generic-hwe-$(lsb_release -sr)
-		flavor=generic-hwe
-	else
-		echo "bogus variant: $variant"
-		exit 1
-	fi
-
-	# Make preparations
-	mkdir -p $KERNEL_BITS_ROOT $KERNEL_BITS_OVERLAY
-	mount_overlay "$INSTALLER_ROOT/" "$KERNEL_BITS_OVERLAY/" "$KERNEL_BITS_ROOT/"
-	setup_mountpoint $KERNEL_BITS_ROOT
-
-	# Our initramfs hook implements a kind of extreme version of
-	# cloud-initramfs-copymods, so remove that and prevent duelling hooks
-	env DEBIAN_FRONTEND=noninteractive chroot $KERNEL_BITS_ROOT apt-get -y remove cloud-initramfs-copymods ubuntu-server || true
-
-	# Configure initramfs creation
-	mkdir -p "$KERNEL_BITS_ROOT"/etc/initramfs-tools/conf.d/
-	if [ -n "$LB_INITRAMFS_COMPRESSION" ]; then
-		echo "COMPRESS=$LB_INITRAMFS_COMPRESSION" > "$KERNEL_BITS_ROOT"/etc/initramfs-tools/conf.d/livecd-rootfs.conf
-	fi
-	echo "export CASPER_GENERATE_UUID=1" > "$KERNEL_BITS_ROOT"/etc/initramfs-tools/conf.d/casper.conf
-
-	# Add a hook to record which kernel was booted and mount the
-	# modules.squashfs created below.
-	cat <<EOF > "$KERNEL_BITS_ROOT"/etc/initramfs-tools/scripts/init-bottom/live-server
-#!/bin/sh
-case \$1 in
-prereqs) exit 0;;
-esac
-
-echo ${kernel_metapkg} > /run/kernel-meta-package
-mkdir -p \$rootmnt/usr/lib/modules
-mount \$rootmnt/cdrom/casper/extras/modules.squashfs-$flavor \$rootmnt/usr/lib/modules
-mkdir -p /run/systemd/system/usr-lib-modules.mount.d
-echo '[Mount]' >> /run/systemd/system/usr-lib-modules.mount.d/lazy.conf
-echo 'LazyUnmount=yes' >> /run/systemd/system/usr-lib-modules.mount.d/lazy.conf
-EOF
-	chmod +x "$KERNEL_BITS_ROOT"/etc/initramfs-tools/scripts/init-bottom/live-server
-
-	# Install the kernel!
-	env DEBIAN_FRONTEND=noninteractive chroot $KERNEL_BITS_ROOT apt-get -y install ${kernel_metapkg}
-
-	# Fish out generated kernel image and initrd
-	mv "$KERNEL_BITS_ROOT"/boot/initrd.img-* ${PWD}/livecd.${PROJECT}.initrd-$flavor
-	mv "$KERNEL_BITS_ROOT"/boot/vmlinu?-* ${PWD}/livecd.${PROJECT}.kernel-$flavor
-
-	# Create squashfs containing all the modules
-	modules_squashfs_path="${PWD}/livecd.${PROJECT}.modules.squashfs-$flavor"
-	(cd "$KERNEL_BITS_ROOT/lib/modules" &&
-		mksquashfs . $modules_squashfs_path -no-progress -xattrs -comp xz)
-
-	# And clean up
-	teardown_mountpoint $KERNEL_BITS_ROOT
-	umount $KERNEL_BITS_ROOT
-	rm -rf $KERNEL_BITS_ROOT $KERNEL_BITS_OVERLAY
-done
diff --git a/live-build/ubuntu-server/hooks/04-kernel-bits.binary b/live-build/ubuntu-server/hooks/04-kernel-bits.binary
new file mode 100755
index 00000000..3b5f0862
--- /dev/null
+++ b/live-build/ubuntu-server/hooks/04-kernel-bits.binary
@@ -0,0 +1,16 @@
+#!/bin/bash -eux
+# vi: ts=4 noexpandtab
+
+case $PASS in
+    ubuntu-server.installer.*)
+        flavor=${PASS##*.}
+        ;;
+    *)
+        exit 0
+        ;;
+esac
+
+# Fish out generated kernel image and initrd
+mv chroot/boot/initrd.img-* ${PWD}/livecd.${PROJECT}.initrd-$flavor
+mv chroot/boot/vmlinu?-* ${PWD}/livecd.${PROJECT}.kernel-$flavor
+chmod a+r ${PWD}/livecd.${PROJECT}.initrd-$flavor ${PWD}/livecd.${PROJECT}.kernel-$flavor
diff --git a/live-build/ubuntu-server/includes.binary/boot/.keep b/live-build/ubuntu-server/includes.binary/boot/.keep
deleted file mode 100644
index e69de29b..00000000
diff --git a/live-build/ubuntu-server/includes.binary/overlay/etc/cloud/cloud.cfg b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/cloud/cloud.cfg
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/etc/cloud/cloud.cfg
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/cloud/cloud.cfg
diff --git a/live-build/ubuntu-server/includes.binary/overlay/etc/cloud/cloud.cfg.d/06_quiet.cfg b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/cloud/cloud.cfg.d/06_quiet.cfg
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/etc/cloud/cloud.cfg.d/06_quiet.cfg
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/cloud/cloud.cfg.d/06_quiet.cfg
diff --git a/live-build/ubuntu-server/includes.binary/overlay/etc/systemd/journald.conf.d/no-rate-limit.conf b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/systemd/journald.conf.d/no-rate-limit.conf
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/etc/systemd/journald.conf.d/no-rate-limit.conf
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/systemd/journald.conf.d/no-rate-limit.conf
diff --git "a/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/systemd/system/dev-disk-by\\x2duuid-00c629d6\\x2d06ab\\x2d4dfd\\x2db21e\\x2dc3186f34105d.device.d/override.conf" "b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/systemd/system/dev-disk-by\\x2duuid-00c629d6\\x2d06ab\\x2d4dfd\\x2db21e\\x2dc3186f34105d.device.d/override.conf"
new file mode 100644
index 00000000..90ac2590
--- /dev/null
+++ "b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/etc/systemd/system/dev-disk-by\\x2duuid-00c629d6\\x2d06ab\\x2d4dfd\\x2db21e\\x2dc3186f34105d.device.d/override.conf"
@@ -0,0 +1,3 @@
+[Unit]
+JobRunningTimeoutSec=0s
+Wants=subiquity_config.mount
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/bin/subiquity-shell b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/bin/subiquity-shell
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/bin/subiquity-shell
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/bin/subiquity-shell
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/getty@.service.d/autologin.conf b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/getty@.service.d/autologin.conf
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/getty@.service.d/autologin.conf
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/getty@.service.d/autologin.conf
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/getty@tty1.service b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/getty@tty1.service
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/getty@tty1.service
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/getty@tty1.service
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/local-fs.target.wants/media-filesystem.mount b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/local-fs.target.wants/media-filesystem.mount
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/local-fs.target.wants/media-filesystem.mount
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/local-fs.target.wants/media-filesystem.mount
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/media-filesystem.mount b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/media-filesystem.mount
similarity index 57%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/media-filesystem.mount
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/media-filesystem.mount
index 13fe2e1f..60a07210 100644
--- a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/media-filesystem.mount
+++ b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/media-filesystem.mount
@@ -1,5 +1,5 @@
 [Mount]
-What=/cdrom/casper/filesystem.squashfs
+What=/cdrom/casper/ubuntu-server.squashfs
 Where=/media/filesystem
 Type=squashfs
 Options=ro
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/serial-getty@.service.d/subiquity-serial.conf b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/serial-getty@.service.d/subiquity-serial.conf
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/serial-getty@.service.d/subiquity-serial.conf
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/serial-getty@.service.d/subiquity-serial.conf
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/serial-getty@sclp_line0.service.d/subiquity-serial.conf b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/serial-getty@sclp_line0.service.d/subiquity-serial.conf
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/serial-getty@sclp_line0.service.d/subiquity-serial.conf
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/serial-getty@sclp_line0.service.d/subiquity-serial.conf
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/snap.subiquity.subiquity-service.service.d/subiquity.conf b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/snap.subiquity.subiquity-service.service.d/subiquity.conf
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/snap.subiquity.subiquity-service.service.d/subiquity.conf
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/snap.subiquity.subiquity-service.service.d/subiquity.conf
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/snapd.service.d/no-reexec.conf b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/snapd.service.d/no-reexec.conf
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/snapd.service.d/no-reexec.conf
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/snapd.service.d/no-reexec.conf
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/subiquity_config.mount b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/subiquity_config.mount
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/system/subiquity_config.mount
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/system/subiquity_config.mount
diff --git a/live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/systemd-networkd-wait-online b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/systemd-networkd-wait-online
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/usr/lib/systemd/systemd-networkd-wait-online
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/usr/lib/systemd/systemd-networkd-wait-online
diff --git a/live-build/ubuntu-server/includes.binary/overlay/var/lib/cloud/seed/nocloud/meta-data b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/var/lib/cloud/seed/nocloud/meta-data
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/var/lib/cloud/seed/nocloud/meta-data
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/var/lib/cloud/seed/nocloud/meta-data
diff --git a/live-build/ubuntu-server/includes.binary/overlay/var/lib/cloud/seed/nocloud/user-data b/live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/var/lib/cloud/seed/nocloud/user-data
similarity index 100%
rename from live-build/ubuntu-server/includes.binary/overlay/var/lib/cloud/seed/nocloud/user-data
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server.installer/var/lib/cloud/seed/nocloud/user-data
diff --git a/live-build/ubuntu-server/includes.chroot/etc/hosts b/live-build/ubuntu-server/includes.chroot.ubuntu-server/etc/hosts
similarity index 100%
rename from live-build/ubuntu-server/includes.chroot/etc/hosts
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server/etc/hosts
diff --git a/live-build/ubuntu-server/includes.chroot/etc/systemd/system/multi-user.target.wants/systemd-networkd.service b/live-build/ubuntu-server/includes.chroot.ubuntu-server/etc/systemd/system/multi-user.target.wants/systemd-networkd.service
similarity index 100%
rename from live-build/ubuntu-server/includes.chroot/etc/systemd/system/multi-user.target.wants/systemd-networkd.service
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server/etc/systemd/system/multi-user.target.wants/systemd-networkd.service
diff --git a/live-build/ubuntu-server/includes.chroot/etc/systemd/system/network-online.target.wants/systemd-networkd-wait-online.service b/live-build/ubuntu-server/includes.chroot.ubuntu-server/etc/systemd/system/network-online.target.wants/systemd-networkd-wait-online.service
similarity index 100%
rename from live-build/ubuntu-server/includes.chroot/etc/systemd/system/network-online.target.wants/systemd-networkd-wait-online.service
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server/etc/systemd/system/network-online.target.wants/systemd-networkd-wait-online.service
diff --git a/live-build/ubuntu-server/includes.chroot/etc/systemd/system/sockets.target.wants/systemd-networkd.socket b/live-build/ubuntu-server/includes.chroot.ubuntu-server/etc/systemd/system/sockets.target.wants/systemd-networkd.socket
similarity index 100%
rename from live-build/ubuntu-server/includes.chroot/etc/systemd/system/sockets.target.wants/systemd-networkd.socket
rename to live-build/ubuntu-server/includes.chroot.ubuntu-server/etc/systemd/system/sockets.target.wants/systemd-networkd.socket