Pulumi vs. Terraform

Ian SantillanIan Santillan
5 min read

As organizations adopt cloud infrastructure at scale, Infrastructure as Code (IaC) tools play a central role in enabling automation, repeatability, and governance. Two of the most prominent IaC solutions are Pulumi and Terraform. While they share many similarities, they differ significantly in their core architecture, language support, extensibility, and operational model. This post explores those differences to help you determine which tool best suits your organization’s needs.

🧩 Common Ground: What Pulumi and Terraform Share

Before diving into differences, it’s worth acknowledging that Pulumi and Terraform are aligned on several foundational principles:

  • Open source and multi-cloud: Both tools support AWS, Azure, GCP, Kubernetes, and more.

  • Declarative infrastructure management: They use a declarative model to define desired infrastructure state.

  • Community ecosystems: Both projects are widely adopted and supported by active communities.

  • Stateful deployments: Each tracks infrastructure state over time to ensure accurate updates and deletions.

🆚 Language Model: HCL vs General-Purpose Programming Languages

One of the most significant differences lies in how infrastructure is defined:

  • Terraform uses HCL (HashiCorp Configuration Language), a domain-specific declarative language designed for infrastructure.

  • Pulumi allows infrastructure to be expressed in real programming languages—TypeScript, JavaScript, Python, Go, C#, Java, and YAML (optional).

This means that with Pulumi, developers can use loops, functions, classes, and packages—bringing infrastructure code closer to traditional software development workflows.

✅ Pulumi supports higher levels of abstraction and reuse
✅ Strong integration with IDEs, testing tools, CI/CD systems, and language ecosystems
✅ Easier adoption for teams already proficient in general-purpose languages

🔧 Architecture: CLI vs SDK-based Execution

Terraform runs as a CLI-based tool that interprets HCL files and applies changes using a graph-based execution engine. It relies on a plugin system, where each provider implements Terraform’s provider interface via an RPC mechanism.

Pulumi, by contrast, uses an SDK model where Pulumi programs directly use provider SDKs in native languages. This architecture brings tighter integration and flexibility:

  • Terraform providers are standalone binaries

  • Pulumi uses a shared gRPC interface across all language SDKs and providers

  • Pulumi can wrap Terraform providers, allowing compatibility with the Terraform ecosystem

⚙️ Tooling & State Management

Both tools support stateful deployments, but handle state differently:

FeatureTerraformPulumi
State BackendsLocal, S3, Azure Blob, GCS, Terraform CloudLocal, S3, Azure Blob, GCS, Pulumi Service
Secrets ManagementExternal tools, state encryptionBuilt-in, with support for cloud-native KMS integrations
Drift DetectionYesYes
Automation APIPartial (via CLI wrappers)Full support via Automation API

Pulumi includes a native automation API that allows you to embed Pulumi operations (preview, up, destroy, etc.) directly in applications, making it easier to build custom provisioning workflows.

📦 Extensibility & Ecosystem

Terraform’s extensibility model is centered around providers and modules hosted in the Terraform Registry. You can also build custom providers in Go.

Pulumi offers:

  • Access to Terraform providers via the Pulumi Terraform Bridge

  • Custom dynamic providers using any supported language

  • Native providers for AWS, Azure, GCP, Kubernetes, and more

  • Higher-level Crosswalk libraries that abstract best practices for cloud services

Pulumi’s use of general-purpose languages also means you can bring in existing language-specific packages, tools, and frameworks—without reinventing infrastructure-specific abstractions.

🧪 Testing and CI/CD Integration

Testing is more mature in Pulumi due to language-native capabilities:

AreaTerraformPulumi
Unit testingLimited; relies on third-party toolsFull support via language test frameworks
Policy as codeSentinel (paid in Terraform Cloud)Built-in support via Pulumi’s policy-as-code
CI/CDVia scripts or Terraform Cloud integrationsRich CLI and Automation API support

Pulumi’s use of full programming languages enables unit tests, mocks, and test-driven infrastructure development out of the box.

📈 Adoption and Use Cases

Terraform is often chosen for:

  • Simpler infrastructure deployments

  • Teams that prefer HCL or are invested in the Terraform ecosystem

  • Use with Terraform Cloud or Enterprise for governance and automation

Pulumi is well-suited for:

  • Developer-first environments

  • Complex infrastructure and platform engineering needs

  • Teams building custom abstractions, self-service portals, or SaaS platforms

🔎 Feature by Feature Comparison

The high level consideration of product design and real world use cases are illustrative for big picture context. A closer examination of individual features can also draw out key fundamental differences and similarities.

Here’s a direct feature comparison based on the Pulumi documentation:

FeaturePulumiTerraform
LanguageGeneral-purpose languages (JS, TS, Go, Python, C#, Java, YAML)HCL
ArchitectureSDK and language host modelPlugin-based CLI
State ManagementBuilt-in, flexible backendsRequires configuration
Secrets ManagementBuilt-in with optional KMS supportManual, backend-specific
Drift DetectionYesYes
Policy as CodeBuilt-in, open sourceSentinel (commercial)
Automation APIYes (programmatic provisioning)No (CLI automation only)
Provider EcosystemNative, Terraform-compatible via bridgeExtensive Terraform provider registry
Testing SupportFull unit testing via language toolsLimited
Cloud SupportMulti-cloudMulti-cloud
CI/CD IntegrationStrong, programmatic and CLIStrong, mostly CLI-based
Abstraction & ReuseFull language supportLimited to modules
IDE IntegrationNative via language supportSyntax highlighting
Learning CurveEasier for developers, steeper for opsEasier for ops, limited for devs

🎯 When to Use Each Tool

Choose Pulumi if:

  • Your team prefers working in familiar programming languages

  • You need rich testing, logic, and abstraction capabilities

  • You want to integrate infrastructure deeply into development workflows

Choose Terraform if:

  • You prefer declarative infrastructure-only syntax

  • Your organization has existing HCL/Terraform knowledge

  • You want to leverage Terraform Cloud or Sentinel for policy control

🧠 Final Thoughts

Both Pulumi and Terraform are powerful IaC tools with strong communities and support for modern cloud-native infrastructure. The decision between them comes down to:

  • Your team’s language proficiency

  • Need for abstraction and automation

  • Level of integration with CI/CD and software engineering workflows

Terraform excels in simplicity and maturity. Pulumi shines in flexibility, testability, and developer ergonomics.

If you're building a platform for engineers or need deeper programmability in infrastructure, Pulumi offers a more integrated experience.


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Written by

Ian Santillan
Ian Santillan

Data Architect ACE - Analytics | Leading Data Consultant for North America 2022 | Global Power Platform Bootcamp 2023 Speaker | Toronto CDAO Inner Circle 2023