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Cloud · head to head

Packer vs Terragrunt

Packer logo

Packer

Cloud

Build automated machine images

From
Free
Rated
-
Full reviewWebsite
Terragrunt logo

Terragrunt

Cloud

The Open Source IaC Orchestrator Platform Teams Trust

From
Free
Rated
-
Full reviewWebsite

The short version

  • Each has a real cost: Packer packer 1.10.0 and later is licensed under the Business Source License 1.1 with IBM Corporation as licensor, not an OSI open source licence; Terragrunt additional complexity layer on top of Terraform
  • They diverge on capability: Packer covers Image building, Terragrunt covers Infrastructure orchestration.
  • Prices and features above were last checked on 30 August 2026.

Where they differ

Only the attributes on which Packer and Terragrunt actually diverge.

Attributes where Packer and Terragrunt differ
AttributePackerTerragrunt
Pricing modelopen-sourceUnknown
PlatformsLinux, Windows, MacAWS, Azure, GCP
Founded2013Unknown

Identical on both: starting price (Free), free tier (Yes), user rating (Not yet rated), category (Cloud).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in Packer

  • Image building
  • Multi-platform support
  • Provisioners
  • Builders
  • Post-processors
  • Variables
  • Data sources
  • Validation

Only in Terragrunt

  • Infrastructure orchestration
  • Run Queue
  • DRY configuration
  • Automated hooks
  • Infrastructure catalog
  • Least-privilege access

What people use each for

The jobs each tool is most often brought in to do.

Packer

  • Building identical machine images for multiple clouds from one templatenot Terragrunt
  • Baking golden AMIs and VM images into a CI pipelinenot Terragrunt
  • Creating immutable infrastructure artifacts consumed by Terraformnot Terragrunt

Terragrunt

  • Organizing Terraform code across multiple environmentsnot Packer
  • Automating infrastructure deployment workflowsnot Packer
  • Implementing infrastructure as code templates for developer self-servicenot Packer

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Packer

  • Packer 1.10.0 and later is licensed under the Business Source License 1.1 with IBM Corporation as licensor, not an OSI open source licence
  • The Additional Use Grant forbids offering Packer to third parties on a hosted or embedded basis in a paid product that competes with IBM's paid versions of Packer
  • Each version converts to the MPL 2.0 Change License only four years after that version is first published, and the Change Date is set separately per version
  • Alternative licensing for uses outside the grant must be arranged with the licensor rather than taken under the public licence

Terragrunt

  • Additional complexity layer on top of Terraform
  • Requires understanding of Terraform concepts
  • Paid tier pricing not clearly published

Pricing, plan by plan

Packer

Free
  • Open SourceFree
    • Multi-platform image building
    • Template-driven
    • Provisioner support

Terragrunt

Free
  • Open SourceFree
    • Terragrunt CLI - completely free
    • Community support
  • Terragrunt Scale FreeFree
    • Free CI/CD pipeline
    • Unlimited runs and resources
    • For up to 25 infrastructure units
  • Terragrunt Scale Paid$undefined/custom
    • Volume pricing for more than 25 infrastructure units
    • Enterprise support

Which should you pick?

Choose Packer if

  • You need image building.
  • You want to start without paying.
  • You work on Linux, Windows, Mac.
  • You also want multi-platform support.
Packer review

Choose Terragrunt if

  • You need infrastructure orchestration.
  • You want to start without paying.
  • You work on AWS, Azure, GCP.
  • You also want run queue.
Terragrunt review

Questions people ask

Is Packer or Terragrunt better?
Neither clearly leads. Packer starts at Free and Terragrunt at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Packer or Terragrunt?
Packer starts at Free and Terragrunt at Free.
Does Packer or Terragrunt run on more platforms?
Packer runs on Linux, Windows, Mac. Terragrunt runs on AWS, Azure, GCP.
Can I use Packer for free?
Both have a free tier, so you can try either at no cost before committing.
What is Packer best used for?
Packer is most often used for building identical machine images for multiple clouds from one template, baking golden amis and vm images into a ci pipeline, creating immutable infrastructure artifacts consumed by terraform. Of those, building identical machine images for multiple clouds from one template and baking golden amis and vm images into a ci pipeline are not what Terragrunt is typically brought in for.
What can Packer do that Terragrunt cannot?
Packer covers Image building, Multi-platform support, Provisioners, Builders. Terragrunt covers Infrastructure orchestration, Run Queue, DRY configuration, Automated hooks.

Answered from the vendors’ own pages

Packer: How much does HashiCorp Packer cost?

Packer does not publish specific pricing on its website. The open-source Packer tool is free, while HCP Packer (HashiCorp's cloud-hosted version) offers a free trial, but detailed pricing requires contacting HashiCorp.

Source
Terragrunt: Is Terragrunt free?

Yes, the Terragrunt CLI is completely free and open source. Terragrunt Scale offers a free tier for up to 25 infrastructure units.

Source
Terragrunt: What is the difference between Terragrunt and Terraform?

Terragrunt is an orchestration layer on top of Terraform that handles state management, DRY principles, and deployment automation without replacing Terraform itself.

Source
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