---
title: "Terraform Cloud (HCP) Projects vs Spacelift Spaces"
url: https://daily.dev/posts/terraform-cloud-hcp-projects-vs-spacelift-spaces-onyzrehve
source_url: https://spacelift.io/blog/terraform-cloud-hcp-projects-vs-spacelift-spaces
type: article
source: "Spacelift"
published: 2026-05-29T10:40:38.167Z
updated: 2026-05-29T10:41:03.114Z
tags: ["terraform", "iac", "multi-tenancy", "spacelift"]
reading_time: 9
upvotes: 0
comments: 0
language: en
---

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# Terraform Cloud (HCP) Projects vs Spacelift Spaces

**[Spacelift](https://daily.dev/sources/spacelift)** · 9 min read · 0 upvotes · 0 comments

## Summary

HCP Terraform (formerly Terraform Cloud) and Spacelift both offer organizational grouping features for infrastructure teams, but with fundamentally different designs. HCP Terraform Projects use a flat structure to group workspaces, manage team permissions, and scope variable and policy sets. Spacelift Spaces use a hierarchical tree model that organizes stacks, policies, contexts, cloud integrations, worker pools, and modules, with built-in resource inheritance from parent to child spaces. Key differences include: HCP Terraform has no nesting or cross-project inheritance, while Spacelift supports unlimited depth and inherited resources; Spacelift offers full multi-tenancy support and fine-grained custom RBAC roles; and Spacelift supports multiple IaC tools (Terraform, OpenTofu, Terragrunt, Pulumi, CloudFormation, Ansible, Kubernetes) versus Terraform-only for HCP. HCP Terraform Projects suit smaller teams with simple needs already in the HashiCorp ecosystem, while Spacelift Spaces are better for complex multi-team, multi-environment, or multi-tool setups.

## Full article

daily.dev links to this article rather than hosting it. Read it at the original source: <https://spacelift.io/blog/terraform-cloud-hcp-projects-vs-spacelift-spaces>

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---

Tags: [#terraform](https://daily.dev/tags/terraform), [#iac](https://daily.dev/tags/iac), [#multi-tenancy](https://daily.dev/tags/multi-tenancy), [#spacelift](https://daily.dev/tags/spacelift)

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