You're reading the deprecated documentation on The documentation has moved to

Running netlab in a Public Cloud

You can run netlab on a Ubuntu instance in any public cloud that supports nested virtualization. Create a Ubuntu instance, verify that it has virtualization capabilities (kvm-ok is usually a good way to find that out), and follow Ubuntu Server Installation instructions.

Nested virtualization seems to be supported on AWS bare-metal instances (they tend to be expensive), some Azure instances, in Google Cloud, by Packet (bare-metal provider) and by Digital Ocean.

Google Cloud

The following procedure worked for Oswaldo Lamothe who found the trick in EVE-NG documentation (EVE-NG also needs nested virtualization).

GCP does not provide nested virtualization by default. You must begin with setting up a custom image for that purpose from the genuine Ubuntu 20.04 image.

I have used the following command for doing so (from the Google Cloud CLI):

gcloud compute images create nested-ubuntu-focal \
  --source-image-family=ubuntu-2004-lts \
  --source-image-project=ubuntu-os-cloud \

Then, create a new VM with the image you’ve just created (name nested-ubuntu-focal).