The Databricks Terraform Provider added v2 IAM resources across account and workspace levels.

The Databricks Terraform Provider released six updates in August 2026, highlighted by the introduction of v2 IAM resources and data sources at both account and workspace tiers [5]. This change revamped identity management for groups, users, service principals, and workspace assignments [5]. Earlier in the month, version 1.125.0 switched workspace host identification to rely on metadata instead of SCIM queries, preventing plan failures for service principals that lacked /Me permissions [9]. Git repository management also saw updates: version 1.125.0 added an explicit git_credential_id attribute to databricks_repo [9], and version 1.130.0 raised default inline Git HTTP timeouts to 600 seconds to prevent failures during large repository operations [1].

Access controls and export capabilities expanded throughout the month. Version 1.127.0 introduced grant support for model_service, mcp_service, and model_provider_service securables [6]. Delta Sharing stability improved as well, with releases fixing persistent plan diffs, null IDs, and external comment drifts on databricks_share resources [6, 8]. Meanwhile, the resource exporter gained support for Lakebase autoscaling [1] along with six additional types such as secrets and workspace environments, while resolving zero-value omissions and embedded reference errors [3].

In related tooling, Databricks Asset Bundles deprecated the Terraform deployment backend in favor of their direct deployment engine [10]. Clean bundle deployments began migrating away from Terraform state automatically, though teams retained an explicit opt-out setting to keep using Terraform [2].