[curt15]

What about Docker's design is incompatible with running systemd? Because that seems to be mainly what LXD containers offer over typical docker containers.

[happymellon]

Docker has whatever you run be pid1, which systemd doesn't like.

It's easily fixable but requires customisation as docker doesn't want to support it by default.

So nothing about OCI images is incompatible, but docker specifically yes.