Terraform MCP server makes a huge difference to TF code accuracy
I have wasted too many tokens getting AI editors to work well with Terraform code. The authoritative JavaScript-heavy provider documentation website makes it impossible to provide as a suitable reference to AI editors. Even adding those links to Cursor doc index doesn’t work. So you get hallucinations and completely wrong code from even the best of the models.

Terraform MCP server config in cursor
Today I discovered that there is a MCP server for Terraform which can provide all the provider metadata to AI editors, and the resultant code is just completely correct in one-shot. The best part is that AI editors can easily find the versions of providers you are really using, and can request documentation for those specific versions.
I made a note about how to add the MCP server to Cursor. Just a heads-up, you need to have Docker running on your machine to run the MCP server.