IBM Procures HashiCorp’s Operations, Owner of Terraform, Completing Every Phase with Regulatory Approval Oversight.

IBM has announced the completion of the acquisition of HashiCorp, the software owner of cloud resource management tools Terraform, Vault, and others. With this acquisition, HashiCorp now operates as a subsidiary under IBM’s umbrella.

The deal for IBM to acquire HashiCorp was announced in April of last year, with a value of $6.4 billion. Following the approval from both the US Federal Trade Commission (FTC) and the UK Competition and Markets Authority (CMA) earlier this week, IBM finalized the process within two days.

Originally an open-source software, Terraform saw a change in licensing terms by HashiCorp to Business Source License, prohibiting code forking for commercial purposes starting in 2023. This led to the creation of open-source alternatives like OpenTofu for Terraform and OpenBao for Vault.

Source: TechCrunch

TLDR: IBM completes acquisition of HashiCorp, turning it into a subsidiary. Terraform and Vault face licensing changes, leading to the emergence of new open-source alternatives.