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IBM completes acquisition of HashiCorp

IBM completes acquisition of HashiCorp

406 comments

·February 27, 2025

schmichael

I joined HashiCorp in 2016 to work on Nomad and have been on the product ever since. Definitely a lot of feelings today. When I joined HashiCorp was maybe 50 people. Armon Dadgar personally onboarded us one at a time, and showed me how to use the coffee maker (remember to wash your own dishes!). There have been a lot of ups (IPO) and downs (BUSL), but the Nomad team and users have been the best I've ever gotten to work with.

I've only ever worked at startups before, but HashiCorp itself left that category when it IPO'd. Each phase is definitely different, but then again I don't want go back to roadmapping on a ridiculously small whiteboard in a terrible sub-leased office and building release binaries on my laptop. That was fun once, but I'm ready for a new phase in my own life. I've heard the horror stories of being acquired by IBM, but I've also heard from people who have reveled in the resources and opportunities. I'm hoping for the best for Nomad, our users, and our team. I'd like to think there's room in the world for multiple schedulers, and if not, it won't be for lack of trying.

thisisnotauser

I've had the incredible displeasure of having to maintain multiple massive legacy COTS systems that were once designed by promising startups and ultimately got bought by IBM. IBM turned every last one into the shittiest enterprise software trash you can imagine.

Every IBM product I've ever used is universally reviled by every person I've met who also had to use it, without exaggeration in the slightest. If anything, I'm understating it: I make a significant premium on my salary because I'm one of the few people willing to put up with it.

My only expectation here is that I'll finally start weaning myself off terraform, I guess.

nayuki

> Every IBM product I've ever used is universally reviled by every person I've met who also had to use it

During my time at IBM and at other companies a decade ago, I can name examples of this:

* Lotus Notes instead of Microsoft Office.

* Lotus Sametime Connect instead of... well Microsoft's instant messengers suck (MSN, Lync, Skype, Teams)... maybe Slack is one of the few tolerable ones?

* Rational Team Concert instead of Git or even Subversion.

* Rational ClearCase instead of Git ( https://stackoverflow.com/questions/1074580/clearcase-advant... ).

* Using a green-screen terminal emulator on a Windows PC to connect to a mainframe to fill out weekly timesheets for payroll, instead of a web app or something.

I'll concede that I like the Eclipse IDE a lot for Java, which was originally developed at IBM. I don't think the IDE is good for other programming languages or non-programming things like team communication and task management.

zifpanachr23

The green screens tend to be much quicker and more responsive than the web frontends that are developed to replace them.

I've seen a lot of failed projects for data entry apps because the experienced workers tend to prefer the terminals over the web apps. Usually the requirement for the new frontend is driven by management rather than the workers.

Which is understandable to me as a programmer. If it's a task that I'm familiar with, I can often work much more quickly in a terminal than I can with a GUI. The assumption that this is different for non-programmers or that they are all scared of TUIs is often a mistaken assumption. The green screens also tend to have fantastic tab navigation and other keyboard navigation functionality that I almost never see in web apps (I'm not sure why as I'm not a front end developer, but maybe somebody else could explain that).

I'll defend green screens all day long. Lots of people like them and I like them.

Everything else you listed I would agree with you about being terrible and mostly hated though.

jerlam

IBM eventually figured out that these products were terrible too, even if they saved money on paper; sold the Rational/Lotus/Sametime teams to an Indian competitor, and discontinued usage internally (I think, it's a big company).

OnlyMortal

Heh. I worked on the Mac version of ViaVoice. I joined as I was already an expert in AppKit and Obj-C.

We were given old Macs running Classic to run Notes so we had two computers. One being MacOSX. Notes was the biggest pile of crap I’ve ever had to use. With one exception…

On the OSX box we were happily running svn until we were forced to use some IBM command-line system for source control. To add insult to injury, the server was in Texas and we were in Boca Raton (old PC factory as it happens). The network was slow.

It had so many command-line options a guy wrote a TCL for it.

Adding to that was the local IBM lan was token ring and we were Ethernet. That was fun.

swarnie

Can we add DOORS to this list please?

I have no idea how/why IBM of all places developed or sold this software but it badly needs to die in a fire.

Database technology which would seem outdated in 1994 with a UI and admin management tools to match.

bayindirh

> I don't think the IDE is good for other programming languages or non-programming things like team communication and task management.

It works great for Python and C++, honestly. If you're a solo dev, Mylyn does a great job of syncing with your in-code todo list and issue tracker, but it's not as smooth as the IDE side.

However, its Git implementation is something else. It makes Git understandable and allows this knowledge to bleed back to git CLI. This is why I'm using it for 20+ years now.

latentsea

I remember using Rational Clear case at my first job. Yeah, in that case count me in on the list of people that revile the IBM products they've had to use.

zelphirkalt

Could this be an employee retention strategy? Making people use bad tooling, so that they can be proud of knowing the bad tooling no one else in the industry uses and when those people feel like looking for something new, "no one values their knowledge" in those obscure tools, so they stay at IBM?

dcminter

Eclipse was nice but WebSphere Application Developer was pretty horrible - I'm not sure how they achieved that! (WSAD was/was built on Eclipse)

exac

I think this is an interesting graph comparing web searches for "terraform alternative" and "opentofu". Notice the spike when the IBM rumors began, and the current spike now that the acquisition is complete?

https://trends.google.com/trends/explore?date=all&q=terrafor...

justinclift

Both of those are still a rounding error compared to searches for Terraform though:

https://trends.google.com/trends/explore?date=all&q=terrafor...

That being said, it'll be interesting to see if it's still a rounding error 2 years from now.

throwaway2037

How is Red Hat going after the acquisition by IBM? From my view, it is going well. The enterprise product (RHEL) is still excellent.

adastra22

Dropping CentOS was a terrible decision. I’m not sure if that happened before or after the acquisition though.

dralley

It's going basically fine. If you're in engineering you would never notice the difference.

iwontberude

RHEL has had no significant investment to keep it from becoming irrelevant in the next five years. The datacenter and deployments of linux have changed so rapidly (mostly due to the new centralization and homogeneity of infrastructure investment) that RHELs niche is rapidly shrinking.

tensor

Why leave terraform? You don’t feel OpenTofu will carry the torch well enough?

osigurdson

Podman is pretty good.

worik

> Every IBM product I've ever used is universally reviled by every person I've met who also had to use it

Not a product, but a service: is Red Hat Linux a counter example?

tiberious726

Everyone I know who works with IBM i (used to be system i, as/400 before that) absolutely adores it. Gods do they every nickel and dime you tho.

pea

Isn’t MQ pretty good?

cyberpunk

It’s heavy and old. We have to consume some but Kafka is nicer to work with typically (provided someone else is running it)

spicyusername

Unfortunately IBM is going to ruin everything that was good about working for Hashicorp and eventually everything that was good about Hashicorp products.

I worked for a company acquired by IBM, and we held hope like you are doing, but it was only a matter of time before the benefit cuts, layoffs, and death of the pre-existing culture.

Your best bet is to quit right after the acquisition and hope they give you a big retention package to stay. These things are pretty common to ease acquisition transitions and the packages can be massive, easily six figures. Then when the package pays out you can leave for good.

zzzeek

Red Hatter here.

none of that has happened for us at Red Hat. Other than the one round of layoffs which occurred at the time that basically every tech company everywhere was doing much larger layoffs, that was pretty much it and there's no reason to think our layoffs wouldn't have been much greater at that time if we were not under the IBM umbrella.

Besides that, I dont even remember when we were acquired, absolutely nothing has changed for us in engineering; we have the same co-workers, still using all Red Hat email / intranets / IT, etc., there's still a healthy promotions pipeline, all of that. I dont even know anyone from the IBM side. We had heard all the horror stories of other companies IBM acquired but for whatever reason, it's not been that way at all for us at least in the engineering group.

mroche

Former Hatter here (Solution Architect Q2 '21 -> Q4 '22). Other than the discussions that took place around moving the storage/business products and teams under IBM (and the recently announcement transfer of middleware), I wouldn't have expected engineering to do that much interfacing with IBM. At most, division leadership maybe (this is just personal speculation). Finance and Sales on the other hand... quite a bit more.

We had a really fun time where the classic s-word was thrown around... "s y n e r g y". Some of the folks I got to meet across the aisle had a pretty strong pre-2010 mindset. Even around opinions of the acquisition, thinking it was just another case of SOP for the business and we'd be fully integrated Soon™.

They key thing people need to remember about the Red Hat acquisition is that it was purely for expertise and personnel. Red Hat has no (or very little) IP. It's not like IBM was snatching them up to take advantage of patents or whatnot. It's in their best interest to do as little as possible to poke the bear that is RH engineering because if there was ever a large scale exodus, IBM would be holding the worlds largest $34B sack of excrement we've seen. All of the value in the acquisition is the engineering talent and customer relationships Red Hat has, not the products themselves. The power of open source development!

It's heartening to hear that your experience in engineering has been positive (or neutral?) so far. Sales saw some massive churn because that's an area IBM did have a heavier impact in. There were some fairly ridiculous expectations set for year-over-year, completely dismissing previous results and obvious upcoming trends. Lost a lot of good reps over that...

crabbone

If you asked people working for XIV before IBM discontinued the project, they'd tell you the same thing more or less.

null

[deleted]

jonathanoliver

We use Nomad where I work and we LOVE it. Previous to Nomad we used K8s for several years which, at that point, allowed us to become cloud agnostic. With the move to Nomad about 3+ years ago, we were able to transition away from cloud and back to leased, bare metal machines. During our time with K8s, it didn't have a good bare-metal strategy with their ingress mechanism. In contrast, as we investigated Nomad, it was easy to deploy on pure metal without a hypervisor. The result of our migration to Nomad was having so many capable and far-less-expensive hosting options. Lastly, as part of our Nomad control plane, we also adopted Vault and Consul with great success.

I know there are horror stories around this acquisition and lots of predictions about what will happen, but only time will tell. On a minimum, it has been a delight to use the Hashicorp software stack along with the approach they brought to our engineering workflow (remember Vagrant?). These innovations and approaches aren't going away.

nunez

Lol at "remember Vagrant".

I used it literally this year to create a test double of the NUC that runs my home automation stack. I also used Packer to configure Flatcar and create the qcow2 that Vagrant consumes.

Vagrant is still the best tool for creating a general purpose VM on your machine. It got kind-of forgotten in the containers and Kubernetes hype, but it still gets the job done. Packer is also the best tool for creating VM images that got buried for the same reasons.

The datacenter is coming back, though. IBM would be smart to invest in these tools as loss leaders to TFE and Vault and monetize the providers, IMO.

schmichael

Glad to hear Nomad is working well for you! It always means a lot. We as the dev team spend all day staring at bugs and missing features, so it's nice to be reminded of what's working well! No one files an issue for a happy cluster. :)

dramm

I would GTFO, IBM ain't your friend and ain't your savior and are unlikely to invest and the worse may come with increasing IBM management sticking their fingers in the pie. The folks who did well out of this already know, they have the checks to cash if that was your take away congratulations. Otherwise find another opportunity. If nothing else look around and find out what you are worth on the market and then have that hard discussion soon with HashiCorp/IBM.

chippiewill

I worked with a bunch of people who had worked at a startup that got bought by IBM. As the other commenters attested, they too experienced that IBM is not the kind of company that's going to turn on the investment taps.

There are worse companies to get bought by, but if you've only ever worked at startups then you're not likely to enjoy what this becomes.

mistrial9

I spoke with a guy (too long ago) that was a "genius architect" and worked for a company that was small enough, that he got to implement his castles in the air. Knowing him, they might have been quite good, but it was one person that knew the details and made changes at the architect scale. He had a quirky way of thinking.

When IBM acquired that company, after a few weeks, this guy had a meeting with new engineering people. The very first meeting, they changed things for him. Instead of a single winding road of development, they wrote out a large spreadsheet. The rows were the distinguishable parts of his large'ish and clever architecture; the columns were assignments. They essentially dismantled his world into parts, for a team to implement. He was distraught. He didn't think like that. They did not discuss it, it was the marching orders. He quit shortly afterwards, which might have been optimal for IBM.

kaushikt

If you are a good at your job and want to deliver fast then you need to adapt to changing circumstances and continue on. Nothing wrong if you can’t but I have learnt that’s how you play along to deliver your best continuously.

ddreier

Fairly large Nomad Enterprise user here, and I just want to say thanks for all of the work you and the team put in. I'm a big fan of Nomad and really appreciate the opportunities it has afforded me.

Regardless of the general sentiment, hoping for the best outcome for all of you.

schmichael

Thanks for supporting us!

m1keil

Hey on a personal note, dealing with you and your team on Nomad's GitHub issue tracker was always a good experience. I hope nomad still has a future under IBM's roof.

schmichael

Thanks! We have kept an explicit community rotation and issue triage policy for Nomad's entire life. Definitely one of my hard lines.

I know we aren't perfect. In fact it's my turn this week, and I've utterly failed at keeping up with triage!!

We get tremendous joy and value from engaging with our community. Thanks for your patience (with me in particular!)

heipei

I just wanted to say thank you for your work on Nomad. It's one of the most pleasant and useful pieces of software I have ever worked with. Nomad allowed us to build out a large fleet of servers with a small team while still enjoying the process.

schmichael

> Nomad allowed us to build out a large fleet of servers with a small team

I really love these stories. Our customers constantly shock me with how large of clusters they're able to manage with just a few people. >10k nodes by <10 people isn't uncommon although we are not good at rigorously collecting data on this.

Nomad is far from perfect, but we really strive to ease the pains of managing your compute substrate.

ants_everywhere

Hashicorp's stuff always struck me as pretty hacky with awkward design decisions. For Terraform (at least a few years ago) a badly reviewed PR could cause catastrophic data loss because resources are deleted without requiring an explicit tombstone.

Then they did the license change, which didn't reflect well on them.

Now it's being sold to IBM, which is essentially a consulting company trying to pivot to mostly undifferentiated software offerings. So I guess Hashicorp is basically over.

I suspect the various forks will be used for a while.

JohnMakin

> For Terraform (at least a few years ago) a badly reviewed PR could cause catastrophic data loss because resources are deleted without requiring an explicit tombstone.

There have been lifecycle rules in place for as long as I can remember to prevent stuff like this. I'm not sure this is a "problem" unique to terraform.

goodoldneon

IIRC, the lifecycle hook only prevents destruction of the resource if it needs to be replaced (e.g. change an immutable field). If you outright delete the resource declaration in code then it’s destroyed. I may be misremembering though

linuxftw

I find this statement to be technically correct, but practically untrue. Having worked in large terraform deployments using TFE, it's very easy for a resource to get deleted by mistake.

Terraform's provider model is fundamentally broken. You cannot spin up a k8s server and then subsequently use the k8s modules to configure the server in the same workspace. You need a different workspace to import the outputs. The net result was we had like 5 workspaces which really should have been one or two.

A seemingly inconsequential change in one of the predecessor workspaces could absolutely wreck the later resources in the latter workspaces.

It's very easy in such a scenario to trigger a delete and replace, and for larger changes, you have to inspect the plan very, very carefully. The other pain point was I found most of my colleagues going "IDK, this is what worked in non-prod" whilst plans were actively destroying and recreating things, as long as the plan looked like it would execute and create whatever little thing they were working on, the downstream consequences didn't matter (I realize this is not a shortcoming of the tool itself).

jorams

The Google Cloud Terraform provider includes, on Cloud SQL instances, an argument "deletion_protection" that defaults to true. It will make the provider fail to apply any change that would destroy that instance without first applying a change to set that argument to false.

That's what I expected lifecycle.prevent_destroy to do when I first saw it, but indeed it does not.

jmholla

I'm pretty sure you are. I've had it protect me from `terraform destroy`.

csomar

This is not a terraform problem. This is your problem. Theoretically, you should be able to recreate the resource back with only a downtime or some services affected. You should centralize/separate state and have stronger protections for it.

ants_everywhere

What happens if you forget the lifecycle annotations or put them in the wrong place or you accidentally delete them? Last time I checked it was data loss, but that was a few years ago.

JohnMakin

The same as in any other language when what you wrote was not what you intended? Sorry, I’m really confused what your complaint here is or how you’d prefer it to work. If you make a sensitive resource managed by any kind of IAC, of course the IAC can destroy it in a manner that would result in irretrievable data loss. The language has for forever put semantics in place to prevent that, and I’m not sure as a power user I’d want it any other way, I’m explicit with what I want it to do and dont want it making crazy assumptions that I didnt write.

like, what happens if you forget to free a pointer in c? sorry for snark but there are an unbelievably numerous amount of things to complain about in tf, never heard this one.

acedTrex

I mean its also data loss if you run DROP DATABASE when you shouldn't. thats not sqls fault

anonfordays

"What happens if I turn a table saw on and start breakdancing on it?"

Of course you're going to hurt yourself. If you didn't put lifecycle blocks on your production resources, you weren't organizationally mature enough to be using Terraform in production. Take an associate Terraform course, this specific topic is covered in it.

gue5t

I concur. I looked pretty hard into adapting Serf as part of a custom service mesh and it had some bonkers designs such as a big "everything" interface used just to break a cyclic module dependency (perhaps between the CLI and the library? I don't recall exactly), as well as lots of stuff that only made sense if you wanted "something to run Consul on top of" rather than a carefully-designed tool of its own with limited but cohesive scope. It seemed like a lot of brittle "just-so" code, which to some extent is probably due to how Go discourages abstraction, but really rubbed me the wrong way.

SOLAR_FIELDS

An easy way to get someone to admit that terraform is a hacky child’s language is to ask how to simply print out the values of variables and resources you are using in terraform easily. This basic programming language 101 functionality is not present in the language

OJFord

  $terraform console
  >var.whatever
  "its value"
  >whatever_resource.foo.whatever_attr
  "its value"
If you mean somehow printing things when the configuration is being applied... I think you just need to understand that it's neither a procedural language (it's declarative) nor general-purpose (it's infrastructure configuration).

SOLAR_FIELDS

Declarative language can absolutely print out what it does know at the time. Which of course won’t be everything. But if I’m taking an input and morphing it at runtime like looping or just moving the information around in a data structure which terraform absolutely allows you to do, the runtime of terraform has all that information. I just can’t get it out.

Plus, there are many times I don’t want to have to use the REPL. Maybe I’m in CI or something. The fact that I cannot iterate over values of locals and variables easy to see what they are in say, some nested list or object, easily and just print out the values as I’m going along for the things terraform does know is just crappy design

nightpool

This works great for toy examples and fails the moment you have 1 (one) module

slillibri

HCL isn’t a programming language. This seems to be the main misconception about it and Terraform.

vrosas

Any sufficiently large configuration language eventually becomes Turing complete (or close to it). See HCL, GitHub actions, kubernetes.

cyberpunk

It’s so infuriatingly close though which is what makes it so fucking annoying to work with. It has loops, conditionals, variables…

Xelynega

I agree that terraform is hacky, but is "terraform output {variable name}" not how you would do that?

SOLAR_FIELDS

You have to be able to actually specify the output. And that does not handle all use cases. And it has requirements on how it can be run. And it takes the full lifecycle of the plan. And it won’t work in many circumstances without an apply.

So no. Terraform has the information internally in many cases. There’s just no easy way to print it out.

infraking

Your team should be reviewing Terraform plans before merging any infra changes.

I find this to be a very strange criticism and is probably indicative of a poor workflow or CI/CD system if anything.

ants_everywhere

It's a design flaw. It should be nearly impossible to delete data accidentally. And it should be possible to roll back state in IIAC.

No serious organization with any scale is going to have the only thing standing between them and a production database deletion being two over tired engineers rubber stamping each other's code changes.

Bad config pushes to prod do happen and they can cause outages like the 2024 Cloudstrike outage. You don't want a tool that takes a minor (but significant) error and turns it into a catastrophic one because of poorly thought out semantics. It's better to just start with a tool that requires at least two engineers to explicitly sign off on deletion.

infraking2

> It's a design flaw. It should be nearly impossible to delete data accidentally. And it should be possible to roll back state in IIAC.

Still not envisioning what your expected solution would look like.

You check the plan, you asses the actions it will take and you either abandon the plan or apply it. You can't roll back destructive changes in cloud environments that's not possible today for obvious reasons.

What IaC does provide is a mechanism to quickly rebuild if you do accidentally wipe out resources.

I've worked in environments were our entire fleet was wiped out by AWS (thousands of VMs) and we were able to rebuild in hours because of IaC.

> No serious organization with any scale is going to have the only thing standing between them and a production database deletion being two over tired engineers rubber stamping each other's code changes.

Most "serious organizations" either have policy as code (Sentinel) or are running Terraform with credentials/roles that have reduced capabilities.

> Bad config pushes to prod do happen and they can cause outages like the 2024 Cloudstrike outage. You don't want a tool that takes a minor (but significant) error and turns it into a catastrophic one because of poorly thought out semantics. It's better to just start with a tool that requires at least two engineers to explicitly sign off on deletion.

This is a criticism of all software/infrastructure deployments with no guardrails. There's nothing stopping you from having two engineers sign off on a TF plan. You can absolutely build that system on top of whatever pipeline you are running.

* Funny you mention databases because that's one of the few AWS resources that can be guarded in TF directly - https://registry.terraform.io/providers/hashicorp/aws/latest...

XorNot

My hot take is just that Vault isn't a good solution, and the permissions model is wholly inadequate.

Except for not "feeling" secure, the only thing everyone wants is a Windows AD file share with ACLs.

Just no one realises this: all the Vault on disk encryption and unsealing stuff is irrelevant - it's solving a problem handled at an entirely different level.

jmclnx

Sorry HashiCorp, been there and got the Tee-shirt (pink) :)

Actually for me, the company I was at that IBM purchased was on the verge of folding, so in that case, IBM saved our jobs and I was there for many years.

hashicorporal

We experienced arbitrary layoffs in 2023, followed by an ominous feeling that more layoffs were imminent. However, the announcement of a deal changed the situation.

Now, we are actively hiring for numerous positions.

Personally, I am not planning to stay much longer. I had hoped that our corp structure would be similar to RedHat, but it seems that they intend to fully integrate us into the IBM mothership.

NetOpWibby

I really wanted to work at HashiCorp in 2017/2018 and did five interviews in one day only to get ghosted[1]. That experience soured me on HC and its tools but I still admired them from afar.

End of an era.

---

[1]: https://blog.webb.page/2018-01-11-why-the-job-search-sucks.t...

glenngillen

I used to work at HashiCorp, and was a hiring manager. I know there's reasons why candidates might get given vague answers on why we're not proceeding, but I'd have been horrified to learn someone we interviewed got ghosted. Someone who was so far into the process that they did five interviews?! Inexcusable.

I'm so sorry that happened to you :( I hope you found somewhere else that filled you with excitement.

scrapcode

What do you expect is the reason this happens? I would suspect your skill assessment after a handful of interviews is sound and most people liked you. Do you think you just run into a person eventually that doesn't vibe?

hashicorporal

That sucks and I apologize this happened to you.

atkailash

[dead]

ghaff

Red Hat has been a very atypical approach. There has been some swapping of teams back and forth but, as far as I can tell (been out of it for a while), Red Hat is still quasi-independent. Still lots of changes (probably most notably because of a lot of growth) but strategic Red Hat areas still seem to be pretty independent.

subpixel

Broadly independent but filled to the gills with folks who spent a decade or more at IBM before landing at Red Hat. While this has been true of rank and file for years, recently it’s true on the c-suite.

dralley

> Red Hat is still quasi-independent. Still lots of changes (probably most notably because of a lot of growth) but strategic Red Hat areas still seem to be pretty independent.

Still broadly correct.

throwaway2037

Was HashiCorp ever profitable since its IPO? From here, it says no: https://stockanalysis.com/stocks/hcp/financials/

If never profitable (or terrible return on equity), why would you call the layoffs "arbitrary"? It seems pretty reasonable to me.

bobloblaw22

Why hire people in the first place if you aren't profitable? Seems pretty irresponsible to me. Or have the rules changed?

DonHopkins

Years before '93-'96 when I worked at Kaleida [1], a joint venture of Apple and IBM, alongside Taligent [2] their AIM Alliance [3] sister company, I laughed at the old joke:

Q: What do you get when you cross Apple and IBM?

A: IBM.

But then the joke was on me when I finally worked for a company owned by Apple and IBM at the same time, and experienced it first hand!

I gave Lou Gerstner a DreamScape [4] demo involving an animated disembodied spinning bouncing eyeball, who commented "That's a bit too right-brained for me." I replied "Oh no, I should have used the other eyeball!"

Later when Sun was shopping itself around, there were rumors that IBM might buy it, so the joke would still apply to them, but it would have been a more dignified death than Oracle ending up lawnmowering [5] Sun, sigh.

Now that Apple's 15 times bigger than IBM, I bet the joke still applies, giving Apple a great reason NOT to merge with IBM.

[1] https://en.wikipedia.org/wiki/Kaleida_Labs

[2] https://en.wikipedia.org/wiki/Taligent

[3] https://en.wikipedia.org/wiki/AIM_alliance

[4] https://www.youtube.com/watch?v=5NytloOy7WM&t=323s

[5] https://news.ycombinator.com/item?id=5170246

zkmon

As it happened with the other startups that were acquired by IBM, this too shall pass through the digestion system of the dinosaur and ejected out as a dump. Hashicorp products are showing the signs of a legacy thing already. IBM is the nursing home for these sort of aging stuff.

I'm a heavy user of Terraform and Vault products. Both do not belong to this era. Also worked for a startup acquired and dumped by IBM.

BrandoElFollito

> I'm a heavy user of Terraform and Vault products. Both do not belong to this era.

So do you find Terraform and Vault good or bad? (sorry, not a native English speaker and I had problems to transcript the sentence)

alexjplant

What are the modern equivalents? For Terraform I'd imagine it's Pulumi or OpenTofu but what is it for Vault? Last I checked OpenBao didn't seem to have much juice but it's been a minute since I did so. Or are there unrelated projects in this space that are on the same trajectory as Hashicorp was a decade ago?

cyberpunk

Crossplane for TF.

Secrets whatever your cloud provider has (Google secrets manager etc).

nunez

Lol, respectfully no.

Crossplane is excellent but you need to understand CRDs and kubectl at what I'd consider n intermediate level to really grok it whereas Terraform's CLI is almost fool-proof.

Relying on cloud key vaults is expensive and locks you in. Vault and Consul can run anywhere, even in your toaster. They also support those same KMS. Also, dead easy TUI and GUI with Vault Enterprise

nunez

What, in this era, replaces secrets handling in Kubernetes in a way thats easy for most devs to pick up?

What, in this era, replaces provisioning cloudy stuff that doesn't require heaps of YAML or a bootstrap Kubernetes cluster for operators to run within?

alsoforgotmypwd

Them, CA, and Broadcom.

bigfatkitten

One of those places (like HP, Oracle and Broadcom, and also CA back in the day) where once good companies go to die.

glzone1

Redhat has really delivered for IBM and IBM seems not to have messed it up too bad.

Some of this is obvious (linux and mainframes aren't a bad combo). Some of it I'm a bit surprised by (openshift revenue seems strong).

Probably already basically returned purchase price in revenue and much more than purchase price in market cap.

A noticeable thing is

https://www.redhat.com/en

Most of the these type plays the home page has stacked toolbars / marketing / popups / announcements from the parent company and their branding everywhere (IBM XXX powered by Redhat)... I see very little IBM logo or corporate pop-up policy jank on redhat.com.

throwaway2037

Nice. When I opened their homepage, I could not find anything obvious that shows they are owned by IBM. Literally, I had to search the HTML source code to find the sequential characters "IBM"!

dralley

As a current Red Hat employee, I can say that they've treated us far better than the likes of Oracle or Broadcom would have.

gryfft

Give it time.

dralley

It's been almost 6 years

febyewary

Finally, a company to match the quality of Terraform.

tzury

People who stayed at IBM because they could not afford going anywhere else.

People who worked at companies acquired by IBM and could not afford going anywhere else.

A mixture of both will be involved from now on in decision making regarding your platform formation core products.

martinsnow

What about those who like working at IBM?

bravetraveler

Condolences, Hashicorp folks. Been there.

commandersaki

Enjoy switching to Lotus Notes.

threeseed

It's called HCL Notes now: https://en.wikipedia.org/wiki/HCL_Notes

And Hashicorp are experts in HCL so I am sure they will love it.

bolognafairy

This is hilarious.

alsoforgotmypwd

Now, with 500% more Java and a configuration language that isn't XML. ;)

inahga

IBM switched off Notes to Microsoft 365, maybe two years ago or so.

I only correct you because it's an even bigger indictment of Notes that IBM switched off of it.

xocnad

Been gone for a couple of years now. Outlook replaced it. Legacy Domino apps still around in various places though.

tinyhouse

Investors at IPO lost quite a bit of money...

danw1979

Yeap we did. I wrote it off around the time of the licence change, just after they decided to ditch the TF Team plan in favour of the utterly ridiculous “Resources Under Management” billing model.

I knew the company had lost the plot at that point.

jeeyoungk

Who's the target audience for this pricing that can afford this? The RUM pricing is indeed quite ridiculous.

It feels quite ridiculous, especially if you are managing "soft" resources like IAM roles via Terraform / Pulumi. At least with real resources (say, RDS instances), one can argue that Terraform / Pulumi pricing is a small percentage of the cloud bill. But IAM roles are not charged for in cloud, and there are so many of them (especially if you use IaaC to create very elaborate scheme).

brudgers

Who's the target audience for this pricing that can afford this?

The kind of customers it is good to have.

Because filtering out price sensitive customers is a sound business strategy.

As a rule of thumb, solve any problem your customer might have. Except not having money.

progbits

It also creates horrible incentives. Oh I won't run this in isolated project or under a separate service account since that costs more, let's just pile everything together.

Schnitz

Pulumi’s RUM pricing is why I was very hesitant to even evaluate it as an alternative to just using terraform.

thedougd

That must explain why they broke up the S3 resources into a bunch of tiny resources.

eikenberry

It was made apparent right after the IPO. Our team got a new VP in charge who changed the mantra from practitioner-first to enterprise-first. Soon after they then laid-off anyone not working on enterprise features. It was a sad death of a great company culture. Mitchell left around the same time which, IMO, speaks volumes.

ethbr1

The older I get, the more I'm convinced that practitioner-first is the only reasonable way to drive a product's features, while enterprise-first is the only reasonable way to drive a company's revenue.

Which is to say strong sustainable products need both.

... but ffs don't let the entire company use enterprise as a reason to ignore practitioner feature requests.

sepositus

This is probably inaccurate, but it seemed like they wrote it off as a safe move, with their main competitor, Pulumi, getting away with it.

However, to play devil's advocate, the number of Terraform resources is a (slightly weak) predictor for resource consumption. Every resource necessitates API calls that consume compute resources. So, if you're offering a "cloud" service that executes Terraform, it's probably a decent way to scale costs appropriately.

I hate it, though. It's user-hostile and forces people to adopt anti-patterns to limit costs.

sofixa

> forces people to adopt anti-patterns to limit costs

The previous pricing model, per workspace, did the same. Pricing models are often based on "value received", and therefore often can be worked around with anti-patterns (e.g. you pay for Microsoft 365 per user, so you can have users share the same account to lower costs).

sausagefeet

> Every resource necessitates API calls that consume compute resources

In that world, I think it'd make more sense to charge per run-time second of performing an operation. I understand the argument you are making but the issue is you get charged even if you never touch that resource again via an operation.

It might make sense if TFC did something, anything, with those resources between operations to like...manage them. But...

hiatus

> However, to play devil's advocate, the number of Terraform resources is a (slightly weak) predictor for resource consumption. Every resource necessitates API calls that consume compute resources. So, if you're offering a "cloud" service that executes Terraform, it's probably a decent way to scale costs appropriately.

That would make sense if you paid per API call to any of the cloud providers.

mnahkies

I actually prefer the RUM model.

The previous "per apply" based model penalized early stage companies when your infrastructure is rapidly evolving, and discouraged splitting state into smaller workspaces/making smaller iterative changes.

Charging by RUM more closely aligns the pricing to the scale/complexity of the infrastructure being managed which makes more sense to me.

That said it has tempted me to move management of more resources into kubernetes (via cross plane/config connector)

danw1979

The previous model I was referring to was a flat-rate TF Cloud team plan at (in the UK) <$30/month.

There were runtime limits IIRC but there was nothing stopping Hashicorp offering a “per user” fixed rate plan at several hundred dollars per month to enterprises for the same service.

The various clients I’ve worked for who used TF would have lapped this up. RUM (or the equally opaque “call us” - we won’t answer! - enterprise pricing that proceeded it) not so much.

JojoFatsani

Pricing, and, generally speaking, customer engagement were not their strength

yellow_lead

Had to check the numbers. IPO at $80 and sold to IBM for $35.

Not great for investors, but insiders benefitted a lot!

redeux

Depends how you define insider. Employees were subject to a 6 month lockup and during that time the price dropped dramatically, but they still had to pay taxes on the $80 IPO price. Execs and institutional investors that were able to sell at IPO made out quite well though.

guelo

Execs are employees, were they really exempt from the lockout? Seems unethical.

AcerbicZero

Too bad you can't sell the option to buy your shares the day you get them at whatever price you want :/

paulddraper

> they still had to pay taxes on the $80 IPO price

They will get capital losses.

That's not perfect.

tvaughan

IPOs became exits in 2008. They’re no longer about raising capital

globular-toast

Google was profitable when it went public in 2004. But yeah, no longer about raising capital.

neom

Worst investment I ever made. I like Mitchell and Armon so I emotionally just bought the IPO and closed my eyes presuming a TWLO or NET. Oh well!! :)

kccqzy

Yup that's me. Happy user of terraform at that time so bought their stock on the day of IPO.

Gee101

Where you paying Terraform for anything at the time?

My doubt in the value of the company was that I've been using Terraform for years in Enterprise settings and never needed to pay the company for anything.

pizzafeelsright

Totally worthless.

Running a few products. Quoted $1MM or so over 3 years for support. I was able to say no and saved six figures each month.

asadm

Yup. My worst investment. Never invest at IPO I guess.

rufus_foreman

If that's your worst investment, you're doing great. I bought stock in HashiCorp. I also bought stock in EBET, for a return of -100.00%.

daveguy

I'm surprised the deal was worth more than the market cap when they did the license rug pull.

toomuchtodo

Broadcom VMware play. If you’re invested as an enterprise in the ecosystem, is going to be a while before you can extricate yourself. In the meantime, you must pay up.

burnte

I'm pretty good at engineering fast moves. I took a company off of Salesforce in 45 days. VMware servers are even easier to changeout. Never done Terraform though.

nailer

That's true, but it's easier to switch from Terraform to Pulumi than it is to move from VMware to some other virtualization platform.

xyst

*retail investors

Retail will always be holding the bag. This is known.

ghaff

Eh. Lots of retail investors do well with the right stock. Lot's of Apple investors have done well over the years. Microsoft even with the right timing.

They didn't with HashiCorp certainly. Bought some but not too much and were part of a housecleaning a few years back (which I'm glad I did).

hiatus

How far away from IPO are Apple and Microsoft now? I think parent is lamenting the state of IPOs as cashing out, if anything.

intelVISA

It's been a zombie for a while...

jcgrillo

> By 2028, it is projected that generative AI will lead to the creation of 1 billion new cloud-native applications.

lmfao what the fuck? The source they reference: https://www.idc.com/getdoc.jsp?containerId=US51953724

These clowns want $2500 goddamned american dollars for the privilege of reading their bloviations on this topic, which i absolutely will not pay.

You know it's bad when the only people making money on this crap are management consultants.

Thinking back to 2014 using vagrant to develop services locally on my laptop I never would have imagined them getting swallowed up by big blue as some bizarre "AI" play. Shit is getting real weird around here.

skissane

> These clowns want $2500 goddamned american dollars for the privilege of reading their bloviations on this topic, which i absolutely will not pay.

You aren’t the target market for their “bloviations” - they are targeted at executives, and it isn’t like the executive pays this out of their own pocket, there is a budget and it comes out of the budget. Plus these reports generally aren’t aimed at technical people with significant pre-existing understanding of the field, their audience is more “I’m expected to make decisions about this topic but they didn’t cover it in my MBA”, or even “I need some convincing-sounding talking points to put in my slides for the board meeting, and if I cite an outside analyst they can’t argue with that”

Commonly with these reports a company buys a copy and then it can be freely shared within the company. Also $2,500 is likely just the list price and if you are a regular customer you’ll get a discount, or even find you’ve already paid for this report as part of some kind of subscription

jcgrillo

Anyone prioritizing this nerfed, mindless dogshit over what their team is telling them and what's going on in the world around them is both an incompetent leader and a total idiot

skissane

A lot of the people paying for these analyst firm reports are sales people-so they can pass them on to their customers/prospects (to legally do that you often have to pay extra for “redistribution rights”)… and then the customer/prospect gets to read it for free

Who might not have much of an engineering team, or not one with relevant expertise… and why should they trust the vendor’s engineering team? If they are about to sign a contract for $$$, being able to find support for it in an independent analyst report can psychologically help a lot in the sales cycle

While the most useful reports for sales are those which directly compare products, like Gartner Magic Quadrant or Forrester Wave - a powerful tool if you come out on top - these kind of more background reports can help if the sales challenge is less “whose product should I buy?” and more “do I even need one of these products? should we be investing money in this?”

airplaneears

[flagged]

skissane

It has never paid my bills, in that I've never worked for an analyst firm.

My bills have been paid by working for vendors, where I have seen how sales and marketing use their reports in action. I have seen the amount of effort engineering and product management put in to try to present the best possible vision of their product and its future potential to these analysts. (I've never been personally directly involved in any of those activities though, I've just observed them from the margins.)

But, it isn't like the vendors have a huge amount of choice – if you refuse to engage with the analysts and utilise their reports in your sales cycle, what happens when your competitors do?

lotharcable2

This sort of thing is why nobody gives a shit about IBM anymore and they have to keep just buying relevant companies to stay relevant.

Hopefully they do the right thing and hand hashicorp over to Redhat so they can open source the shit out of it. So they can do things like make OpenTofu the proper upstream for it, etc.

yellow_lead

Every time ChatGPT outputs a Dockerfile, it counts as a cloud native application, right? :)

darkandbrooding

Did you intend to reference "It's a wonderful life?" When I read your comment I imagine a tiny child in Jimmy Stewart's arms, exclaiming the joys of capitalism ;-)

yellow_lead

No but that's a funny coincidence :)

jaennaet

Who the heck is IDC's customer base, exactly? $2,500 for that, or $7,500 for this one about – drumroll, please – feature flags!

"Modern digital businesses need to be able to adapt to changing end-user demand, and since feature flags decouple release from deployment, it provides a good solution for improving software development velocity and business agility," said Jim Mercer, program vice president of IDC Software Development DevOps and DevSecOps. "Further, feature flags can help derisk releases, enable product experimentation, and allow for targeting and personalizing end-user experiences."

https://www.idc.com/getdoc.jsp?containerId=US52763824

homebrewer

Something I always respected in Americans is their talent for making money from absolutely nothing, providing zero or negative value in the process of doing so. Obviously doesn't apply to everyone, but you have more than a fair share of these people.

delulu

[flagged]

ghaff

Relatively few IDC clients are paying retail for single reports other than reprint rights. They're clients with broad employee access to events and reports in various areas. Had access for many years and, yes, having (supposedly validated) data is more or less essential for lots of presentations and other types of documents because, otherwise, your claims are viewed as pulling stuff out of you rear end.

tecleandor

So if you just point to something an IDC - analyst? has pulled of their rear end... is alright? ;-)

jcgrillo

> more or less essential for lots of presentations and other types of documents

Wait. What? This reminds me of the trope of the "wikipedia citation" in high school and college.. that move was worth at most a C+. Are you seriously saying these fucks actually seriously cite this bullshit? In this day and age where even crowdsourced wiki articles seem "credible"? What the actual fuck? I hate this shit.

jcgrillo

I'm clearly in the wrong field.

ghaff

The analyst biz doesn't actually pay especially well--at least compared to big SV-based companies.

airplaneears

[flagged]

ripcentos

All these redhatters talking like centos isnt dead. Like wtf, the Kool aid must taste good.

carlwgeorge

You created an alt account with "centos" in the name just to complain about CentOS. Yeah, it's the hatters that are the weird ones here.