Remote Backends#

Every team beyond a single developer needs remote state. The three major backends:

S3 + DynamoDB (AWS):

terraform {
  backend "s3" {
    bucket         = "myorg-tfstate"
    key            = "prod/network/terraform.tfstate"
    region         = "us-east-1"
    dynamodb_table = "terraform-locks"
    encrypt        = true
  }
}

Azure Blob Storage:

terraform {
  backend "azurerm" {
    resource_group_name  = "tfstate-rg"
    storage_account_name = "myorgtfstate"
    container_name       = "tfstate"
    key                  = "prod/network/terraform.tfstate"
  }
}

Google Cloud Storage:

terraform {
  backend "gcs" {
    bucket = "myorg-tfstate"
    prefix = "prod/network"
  }
}

All three support locking natively (DynamoDB for S3, blob leases for Azure, object locking for GCS). Always enable encryption at rest and restrict access with IAM.

Agent-Oriented Terraform#

Most Terraform code is written by humans for humans. It favors abstraction, DRY principles, and deep module nesting — patterns that make sense when a human maintains a mental model of the codebase. Agents do not maintain mental models. They read code fresh each time, trace references to resolve dependencies, and reason about the full resource graph in a single context window.

The patterns that make Terraform elegant for humans make it expensive for agents. Deep module nesting multiplies the files an agent must read. Variable threading through three layers of modules hides dependencies behind indirection. Complex for_each over maps of objects creates resources that are invisible until runtime. The agent spends most of its context on navigation, not comprehension.

Refactoring Terraform#

Terraform configurations grow organically. A project starts with 10 resources in one directory. Six months later it has 80 resources, 3 levels of modules, and a state file that takes 2 minutes to plan. Changes feel risky because everything is interconnected. New team members (or agents) cannot understand the structure without reading every file.

Refactoring addresses this — but Terraform refactoring is harder than code refactoring because the state file maps resource addresses to real infrastructure. Rename a resource and Terraform thinks you want to destroy the old one and create a new one. Move a resource into a module and Terraform plans to recreate it. Every structural change requires corresponding state manipulation.