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Why Developers are Moving Away from Terraform

If you’re still using Terraform, chances are you’re already planning an exit.
Image by Nalini Nirad
Terraform is no longer the default choice for Infrastructure as Code. What was once the go-to tool for managing cloud infrastructure, its dominance is now being questioned. In 2025, developers, SREs, DevOps teams and enterprises alike are making it clear that Terraform’s reign at the top may be coming to an end. The breaking point for many began in 2023, when HashiCorp moved Terraform from the Mozilla Public License to the more restrictive Business Source License. But the fallout wasn’t immediate. Over the next two years, teams began to face the real consequences.  This was expected to be reversed when IBM acquired Hashicorp last year in a deal valued at $6.4 billion. The aim was to expand its cloud-based software products to capitalise on the growing demand for AI-powered s
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Picture of Mohit Pandey
Mohit Pandey
Mohit writes about AI in simple, explainable, and often funny words. He's especially passionate about chatting with those building AI for Bharat, with the occasional detour into AGI.
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