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OpenTF Announces Fork of Terraform

The OpenTF Foundation has announced that it is moving forward with its eponymous fork of HashiCorp Terraform, which was recently changed to a non-FOSS license by the company. The organization has applied to become part of the Linux Foundation, "with the end goal of having OpenTF as part of Cloud Native Computing Foundation". There is a GitHub repository for its manifesto, but the code repository for OpenTF is private for now, with plans to open it up in the next week or two. Work has been going on for the last week and more developers are coming on board:
So far, four companies pledged the equivalent of 14 full-time engineers (FTEs) to the OpenTF initiative. We expect this number to at least double in the following few weeks. To give you some perspective, Terraform was effectively maintained by about 5 FTEs from HashiCorp in the last 2 years. If you don’t believe us, look at their repository.

Some of the people behind OpenTF are participating in a Hacker News thread, so more information can be found there as well.


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OpenTF Announces Fork of Terraform

Posted Aug 26, 2023 12:01 UTC (Sat) by atnot (guest, #124910) [Link] (6 responses)

The more this goes on, the more I realize that the Hashicorp move was absolutely terrible even just from a pure business point of view.

One of the most powerful business motives for funding open source software is "commoditizing your complement": The cheaper and better you make the tools your customers need to use your products, the more money they'll be able to spend on them. So for example, if you make a supreme free and open source compiler for your architecture, your customers will spend less on proprietary compilers, more on your chips, employ more developers and create more products.

So while the move to BSL for products like Vault or MariaDB that are actual hosted services that one might want to offer to customers might kind of make sense, for developer tools like Terraform it's absolute suicide. Here you have a tool that's evidently not that expensive to maintain, has a huge community of external plugins, makes it trivially easy to deploy more cloud resources such as your own and puts you right at the center of any earnest attempt to move away from depending on the big cloud vendors that are the biggest risk to your business.

Every smaller player will have realized now, if they haven't already, that tools like Terraform not being free and open is an existential threat to their business. They can not afford to make the hurdle to using their services any higher than it already is or have that keystone in the hands of Hashicorp. Throwing some FTEs at OpenTF is cheap in comparison.

I really don't think that this will go well for Hashicorp.

OpenTF Announces Fork of Terraform

Posted Aug 27, 2023 0:24 UTC (Sun) by wahern (subscriber, #37304) [Link] (5 responses)

> I really don't think that this will go well for Hashicorp.

This licensing change was forced because things already weren't going well for Hashicorp. Much like Docker, they couldn't figure out how to thread the needle to long-term viability in a way that would satisfy investors. The BSL is clearly an attempt to address their waning momentum.

Open source can be a double-edged sword. It helps adoption in the beginning. But if there's too much adoption, then what does anybody need you for? Software like Terraform and Vault are used by SRE and DevOps teams, which means companies already have teams doing and creating what a company like Hashicorp ostensibly would want to sell to you as value-add professional services or products. But if those teams and that self-sustaining ecosystem didn't exist then Hashicorp wouldn't have had any market to even try to sell into.

Hashicorp's business problems--these fundamental dilemmas--were there from day 1. But they've already IPO'd, so from the founders' perspective the commercial concept was hardly a failure--quite the opposite, as a long-term viable strategy would have required accepting a much smaller pay out. SQLite, for example, does well; but they're a deliberately tiny outfit compared to Hashicorp. Building a business around open source products isn't commercially unviable long-term, but Hashicorp is far too large to sustain itself.

OpenTF Announces Fork of Terraform

Posted Aug 27, 2023 18:56 UTC (Sun) by geofft (subscriber, #59789) [Link] (3 responses)

SQLite is also a particularly interesting comparison here in that they do not accept outside contributions at all. In fact, their integration tests are not public. So there aren't any experienced outside contributors who could maintain a fork of SQLite without significant personal and technical ramp-up time, if SQLite were to change their license for future versions, and there wouldn't be any room to complain about old versions of the CLA talking about the importance of open source. And on the other hand, Terraform requires an ecosystem of outside contributions (providers/integrations) in order to be a worthwhile product, whereas SQLite is self-contained.

I'm not sure what the conclusion is from this. I think we'd all find SQLite relicensing to be much more shocking than we found Terraform relicensing, despite what feels like a much bigger "moat" for SQLite.

Anyway, it's interesting to me that Vagrant, the original HashiCorp product, started as a "personal side-project' (as Wikipedia puts it) and was funded for a while by Engine Yard, which itself never really grew to be huge but still exists today. There's definitely a world in which Mitchell Hashimoto kept working on it without trying to make it into an IPO. On the other hand, that's likely a world in which Terraform doesn't exist the way it does today, if it even exists at all.

In reading about how exactly HashiCorp came to be, I stumbled on https://mitchellh.com/writing/the-new-normal which I think at least partially explains it - he happened to be in a culture (which I also lived through, being a college graduate who moved to SF at the same time) where the thing to do, if you wanted to work on a particular technical problem ore, was to make a startup. "Startup" is a very specific word: it's not just a newly-formed company, but one with ambitions of essentially unbounded growth, at least until it "exits" in the form of an IPO or acquisition. The SQLite folks, meanwhile, seem to use 6th-century monastic life as their "normal" (see https://sqlite.org/codeofethics.html), which has vastly different metrics of success.

Perhaps we need to get better at establishing cultural norms and stories and exemplars of growing just enough to get the stability to focus on the work you're passionate about, but not beyond that. It definitely happens - apart from SQLite, it's what Linus Torvalds and Guido van Rossum have done, for instance - but there isn't a "script" for it in the same way there's a script for making a company with superlinear growth, getting an outside CEO, and getting to an IPO.

(Another separate but interesting point is that Terraform is basically _only_ useful for large for-profit companies. It's open source, yes, but it's kind of hard to defend Terraform as the sort of product that's valuable to the crowd that runs Linux on our desktops and cares about our technological autonomy - the whole product is basically about being able to run stuff on cloud providers! We very much need some sort of cultural script for saying, I want to work on this interesting problem that's only valuable to big companies running at big scales, but is really better for those very companies if it's run as a commons instead of a for-profit product, please fund me modestly but reliably. See also RHEL/CentOS.)

OpenTF Announces Fork of Terraform

Posted Aug 28, 2023 2:37 UTC (Mon) by willy (subscriber, #9762) [Link] (1 responses)

Thank you for this interesting analysis.

I think the route to success here is an industry collaboration, such as those hosted by the Linux Foundation (and Apache, I think?)

I don't think this solves the Terraform problem, though. My understanding (and I'd never heard of Terraform before last week) is that the point of it was to undermine the lock-in from the cloud vendors, so getting funding from the cloud vendors would not be in their interest. Getting funding from the Fortune 500 companies who don't want to be locked into a particular cloud vendor might be possible, but is harder.

OpenTF Announces Fork of Terraform

Posted Aug 28, 2023 3:55 UTC (Mon) by Cyberax (✭ supporter ✭, #52523) [Link]

Kubernetes gets funding from multiple cloud vendors, so it might have worked out.

OpenTF Announces Fork of Terraform

Posted Aug 31, 2023 23:29 UTC (Thu) by roc (subscriber, #30627) [Link]

Interesting comment. One point: there IS a fork of SQLite, with a fair amount of momentum behind it: libsql.

OpenTF Announces Fork of Terraform

Posted Aug 30, 2023 18:06 UTC (Wed) by nilsmeyer (guest, #122604) [Link]

> But if there's too much adoption, then what does anybody need you for? Software like Terraform and Vault are used by SRE and DevOps teams, which means companies already have teams doing and creating what a company like Hashicorp ostensibly would want to sell to you as value-add professional services or products.

I think there is quite the big market for professional services, but that would be a rather labor intensive operation which most investors don't want - to really get the valuation up you need huge market adoption and then get into rent-seeking. I think this really only works with older software products with a lot of inertia and enterprise adoption.

OpenTF Announces Fork of Terraform

Posted Aug 26, 2023 13:12 UTC (Sat) by jhoblitt (subscriber, #77733) [Link] (2 responses)

The lesson here, which we as a community are learning yet again, is to beware of projects controlled by a single for profit entity.

CLAs which grant the ability for code to be arbitrarily relicensed should be considered harmful. I say this as someone who did sign the hashicorp CLA to contribute to a TF provider.

OpenTF Announces Fork of Terraform

Posted Aug 31, 2023 11:28 UTC (Thu) by Funcan (guest, #44209) [Link] (1 responses)

It's it 'beware' or is it 'the system works'?

This looks to be a successful fork, which is the whole point of free & open software. The company that was maintaining it isn't forced to do so forever, and if they choose to stop doing so, or choose to do so I'm a way that a substantial part of the consuming community dislikes, then a form can happen. I see this as a huge demonstration of why it is ok to use an opensource product from a single for-profit entity - they can't take that choice away from me

OpenTF Announces Fork of Terraform

Posted Sep 1, 2023 9:06 UTC (Fri) by mbunkus (subscriber, #87248) [Link]

> This looks to be a successful fork

The fun thing is that even though there had been that announcement over a week ago, and the deadline expiring one week ago, there actually isn't a fork yet that's publicly available. I'll call it successful once it's public & there's some evidence of a diverse set of contributors from various companies.

OpenTF Announces Fork of Terraform

Posted Aug 26, 2023 19:54 UTC (Sat) by willmo (subscriber, #82093) [Link] (2 responses)

This comment is especially illuminating (quoting a transcript of an interview with the HashiCorp CEO): https://news.ycombinator.com/item?id=37271430

OpenTF Announces Fork of Terraform

Posted Aug 30, 2023 5:22 UTC (Wed) by riking (subscriber, #95706) [Link]

Bryan Cantrill on the podcast this Monday: "if your business plan includes the word 'malicious' in it anywhere, [I don't think I want to interact with you] [...] and definitely don't say it on a recorded medium"

OpenTF Announces Fork of Terraform

Posted Aug 31, 2023 6:16 UTC (Thu) by nilsmeyer (guest, #122604) [Link]

It sounds to me like their original idea to make a profit was more about making money off the providers instead of the users? The sales pitch being that users who prefer Terraform would only use a cloud provider with good support in Terraform. I think most cloud providers probably prefer their customers not use Terraform and instead rely on their proprietary solutions (e.g. Cloudformation on AWS).


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