VM Implementation on VMware using Terraform


Client Overview:

ABC Corp is a rapidly growing technology company with a diverse range of products and services. As part of their expansion plans, they need to scale their IT infrastructure to meet the increasing demands of their customers. To achieve this, they have decided to adopt virtualization technology with VMware as their preferred virtualization platform. Additionally, they are leveraging Infrastructure as Code (IaC) principles and have chosen Terraform as their tool of choice to manage their infrastructure.

Business Goals:

  1. Implement a scalable and flexible virtualized infrastructure on VMware to accommodate future growth.
  2. Automate the provisioning of virtual machines (VMs) to reduce manual effort and errors.
  3. Improve resource utilization and optimize costs by dynamically adjusting VM capacity based on demand.
  4. Ensure security and compliance standards are met throughout the infrastructure setup.

Technical Requirements:

  1. Set up a VMware vSphere environment with the required networking and storage configurations.
  2. Use Terraform to automate the creation of virtual machines with specified resources (CPU, memory, storage, etc.).
  3. Define and apply security groups and firewall rules for VMs to ensure proper isolation and access control.
  4. Integrate with the existing CI/CD pipeline to enable developers to request VMs for testing and development purposes.
  5. Implement auto-scaling based on performance metrics and resource usage.


Step 1: VMware vSphere Setup The first step was to set up the VMware vSphere environment with the necessary host servers, networking configurations, and storage. This included creating datastores, port groups, and virtual switches. The VMware vCenter was installed and configured as the centralized management platform for the vSphere cluster.

Step 2: Terraform Configuration The infrastructure team wrote Terraform configuration files to define the virtual machines, networking, and other resources needed for the VM implementation. They used the Terraform VMware provider to interact with the vSphere environment.

Step 3: Virtual Machine Provisioning The Terraform configuration files defined the specifications for each VM, such as the number of CPUs, memory, disk size, operating system, and network interfaces. The team also set up variables and data sources to make the configuration files reusable and maintainable.

Step 4: Security and Firewall Rules To ensure security and compliance, the team implemented security groups and firewall rules using Terraform’s capabilities. They defined rules for incoming and outgoing traffic, ensuring that only authorized communication was allowed between VMs.

Step 5: CI/CD Integration The team integrated Terraform with the existing CI/CD pipeline. Developers could now request VMs by submitting a simple request form through the pipeline. The request triggered Terraform to create the VMs with the specified configurations automatically.

Step 6: Auto-scaling To optimize resource utilization, the team set up auto-scaling based on custom metrics like CPU usage and memory utilization. Terraform monitored these metrics, and when certain thresholds were reached, it automatically provisioned additional VMs or scaled down the VM capacity as needed.


By implementing virtualization with VMware and Infrastructure as Code with Terraform, ABC Corp achieved significant improvements:

  1. Faster VM provisioning: The manual effort required for VM provisioning reduced drastically, leading to faster development cycles.
  2. Improved resource utilization: Auto-scaling enabled ABC Corp to dynamically allocate resources based on demand, reducing wastage and optimizing costs.
  3. Enhanced security: Terraform’s security group and firewall rules ensured proper isolation and access control, improving the overall security posture of the infrastructure.
  4. Scalable and flexible infrastructure: The virtualized environment with Terraform allowed ABC Corp to scale their infrastructure efficiently, meeting the demands of their growing business.

In conclusion, the successful implementation of VMs on VMware using Terraform empowered ABC Corp with an agile and automated infrastructure, enabling them to focus more on delivering value to their customers and enhancing their overall business capabilities.

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