Terraform

Reviewed by Alexis Morain · Updated July 14, 2026

Terraform describes and provisions cloud infrastructure as code (IaC). Free tool, with a free then paid HCP Terraform offering for teams.

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SaaS Radar Review
8/10

The reference infrastructure as code tool, a pillar of modern DevOps, whose core remains open source and free.

  • Infrastructure-as-code standard
  • Works with hundreds of providers
  • Learning curve

Terraform, published by HashiCorp (an IBM company), is the reference infrastructure as code (IaC) tool. It lets you describe cloud infrastructure in configuration files, then create, change and destroy it reproducibly, across hundreds of providers (AWS, Azure, Google Cloud and more).

What is Terraform used for?

Terraform is used to manage infrastructure as code: versioned, reviewed and replayable. Rather than clicking through consoles, teams describe servers, networks and services in files, and Terraform applies changes while handling dependencies. It is a pillar of modern DevOps practices, often paired with Kubernetes and clouds like AWS.

Terraform alone or with HCP Terraform?

The command-line tool is free and enough for individual use. For teamwork (shared state, history, controls), the managed HCP Terraform offering adds collaboration and governance, with a free tier then paid based on the number of managed resources.

How much does Terraform cost?

Terraform's command line is open source and free. The managed HCP Terraform offering has a free tier (up to a certain number of resources), then paid Standard and Enterprise plans billed by resources and governance features.

Pros & Cons

What we love
  • Infrastructure-as-code standard
  • Works with hundreds of providers
  • Free open-source core
  • Versioned, reproducible infrastructure
What could be better
  • Learning curve
  • State management tricky in teams without the managed offering
  • 2023 core license change debated

Key features of Terraform

Infrastructure as code

Describe infra in files

Multi-provider

AWS, Azure, Google Cloud and more

Plan and apply

Preview then apply changes

State

Track managed infrastructure

Terraform pricing

Terraform's command line is open source and free, enough for complete individual use. For team collaboration, the managed HCP Terraform offering has a free tier up to a certain number of managed resources, then Standard and Enterprise plans billed by resources and governance, security and support features. The tool's core therefore stays free.

Free plan / trial

Free open-source CLI; HCP Terraform free up to a resource cap.

Terraform (CLI)

Infrastructure as code · Hundreds of providers · Complete individual use

Free open source

HCP Terraform Free

Shared state · History and collaboration · Resource limit

Free small teams

Standard / Enterprise

Governance and policies · Security controls · Support

Custom per resource

Pricing verified on July 14, 2026

Try Terraform

Who is Terraform for?

Best for

  • DevOps and SRE teams
  • Reproducible cloud infrastructure
  • Multi-cloud management

Not recommended for

  • Small projects without complex infrastructure
  • Teams without cloud skills

Want to try Terraform?

Head to the official site and the current offer.

Visit Terraform

Frequently asked questions about Terraform

Is Terraform free?
Yes, Terraform's command line is open source and free. The managed HCP Terraform offering has a free tier, then paid plans for teams.
What is infrastructure as code for?
To describe your infrastructure in versioned files rather than configuring it by hand, making it reproducible, reviewed and reliably replayable.

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Tech sheet

Platforms
CLIWebAPI
Support
Documentation, Communauté, Support entreprise
Data hosting
GDPR Compliance

Vendor

CompanyHashiCorp (IBM)
Founded2014
HeadquartersSan Francisco, Californie, États-Unis

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