feat: Add Karpenter v1beta1 compatibility (#2800)

* feat: Add Karpenter v1beta1 compatibility

* fix: Update to make changes opt-in

* fix: Update resource schemas to align with latest Karpenter version - validated and working as intended

---------

Co-authored-by: Bryant Biggs <bryantbiggs@gmail.com>

.pre-commit-config.yaml

@@ -1,6 +1,6 @@
 repos:
   - repo: https://github.com/antonbabenko/pre-commit-terraform
-    rev: v1.83.4
+    rev: v1.83.5
     hooks:
       - id: terraform_fmt
       - id: terraform_validate

examples/karpenter/README.md

@@ -73,7 +73,7 @@ Note that this example may create resources which cost money. Run `terraform des
 |------|--------|---------|
 | <a name="module_eks"></a> [eks](#module\_eks) | ../.. | n/a |
 | <a name="module_karpenter"></a> [karpenter](#module\_karpenter) | ../../modules/karpenter | n/a |
-| <a name="module_vpc"></a> [vpc](#module\_vpc) | terraform-aws-modules/vpc/aws | ~> 4.0 |
+| <a name="module_vpc"></a> [vpc](#module\_vpc) | terraform-aws-modules/vpc/aws | ~> 5.0 |
 
 ## Resources
 
@@ -81,8 +81,8 @@ Note that this example may create resources which cost money. Run `terraform des
 |------|------|
 | [helm_release.karpenter](https://registry.terraform.io/providers/hashicorp/helm/latest/docs/resources/release) | resource |
 | [kubectl_manifest.karpenter_example_deployment](https://registry.terraform.io/providers/gavinbunney/kubectl/latest/docs/resources/manifest) | resource |
-| [kubectl_manifest.karpenter_node_template](https://registry.terraform.io/providers/gavinbunney/kubectl/latest/docs/resources/manifest) | resource |
-| [kubectl_manifest.karpenter_provisioner](https://registry.terraform.io/providers/gavinbunney/kubectl/latest/docs/resources/manifest) | resource |
+| [kubectl_manifest.karpenter_node_class](https://registry.terraform.io/providers/gavinbunney/kubectl/latest/docs/resources/manifest) | resource |
+| [kubectl_manifest.karpenter_node_pool](https://registry.terraform.io/providers/gavinbunney/kubectl/latest/docs/resources/manifest) | resource |
 | [aws_availability_zones.available](https://registry.terraform.io/providers/hashicorp/aws/latest/docs/data-sources/availability_zones) | data source |
 | [aws_ecrpublic_authorization_token.token](https://registry.terraform.io/providers/hashicorp/aws/latest/docs/data-sources/ecrpublic_authorization_token) | data source |
 

examples/karpenter/main.tf

@@ -160,10 +160,9 @@ module "karpenter" {
   cluster_name           = module.eks.cluster_name
   irsa_oidc_provider_arn = module.eks.oidc_provider_arn
 
-  # Used to attach additional IAM policies to the Karpenter controller IRSA role
-  # policies = {
-  #   "xxx" = "yyy"
-  # }
+  # In v0.32.0/v1beta1, Karpenter now creates the IAM instance profile
+  # so we disable the Terraform creation and add the necessary permissions for Karpenter IRSA
+  enable_karpenter_instance_profile_creation = true
 
   # Used to attach additional IAM policies to the Karpenter node IAM role
   iam_role_additional_policies = {
@@ -182,51 +181,38 @@ resource "helm_release" "karpenter" {
   repository_username = data.aws_ecrpublic_authorization_token.token.user_name
   repository_password = data.aws_ecrpublic_authorization_token.token.password
   chart               = "karpenter"
-  version             = "v0.29.0"
+  version             = "v0.32.1"
 
-  set {
-    name  = "settings.aws.clusterName"
-    value = module.eks.cluster_name
-  }
-
-  set {
-    name  = "settings.aws.clusterEndpoint"
-    value = module.eks.cluster_endpoint
-  }
-
-  set {
-    name  = "serviceAccount.annotations.eks\\.amazonaws\\.com/role-arn"
-    value = module.karpenter.irsa_arn
-  }
-
-  set {
-    name  = "settings.aws.defaultInstanceProfile"
-    value = module.karpenter.instance_profile_name
-  }
-
-  set {
-    name  = "settings.aws.interruptionQueueName"
-    value = module.karpenter.queue_name
-  }
+  values = [
+    <<-EOT
+    settings:
+      clusterName: ${module.eks.cluster_name}
+      clusterEndpoint: ${module.eks.cluster_endpoint}
+      interruptionQueueName: ${module.karpenter.queue_name}
+    serviceAccount:
+      annotations:
+        eks.amazonaws.com/role-arn: ${module.karpenter.irsa_arn} 
+    EOT
+  ]
 }
 
-resource "kubectl_manifest" "karpenter_provisioner" {
+resource "kubectl_manifest" "karpenter_node_class" {
   yaml_body = <<-YAML
-    apiVersion: karpenter.sh/v1alpha5
-    kind: Provisioner
+    apiVersion: karpenter.k8s.aws/v1beta1
+    kind: EC2NodeClass
     metadata:
       name: default
     spec:
-      requirements:
-        - key: karpenter.sh/capacity-type
-          operator: In
-          values: ["spot"]
-      limits:
-        resources:
-          cpu: 1000
-      providerRef:
-        name: default
-      ttlSecondsAfterEmpty: 30
+      amiFamily: AL2
+      role: ${module.karpenter.role_name}
+      subnetSelectorTerms:
+        - tags:
+            karpenter.sh/discovery: ${module.eks.cluster_name}
+      securityGroupSelectorTerms:
+        - tags:
+            karpenter.sh/discovery: ${module.eks.cluster_name}
+      tags:
+        karpenter.sh/discovery: ${module.eks.cluster_name}
   YAML
 
   depends_on = [
@@ -234,23 +220,39 @@ resource "kubectl_manifest" "karpenter_provisioner" {
   ]
 }
 
-resource "kubectl_manifest" "karpenter_node_template" {
+resource "kubectl_manifest" "karpenter_node_pool" {
   yaml_body = <<-YAML
-    apiVersion: karpenter.k8s.aws/v1alpha1
-    kind: AWSNodeTemplate
+    apiVersion: karpenter.sh/v1beta1
+    kind: NodePool
     metadata:
       name: default
     spec:
-      subnetSelector:
-        karpenter.sh/discovery: ${module.eks.cluster_name}
-      securityGroupSelector:
-        karpenter.sh/discovery: ${module.eks.cluster_name}
-      tags:
-        karpenter.sh/discovery: ${module.eks.cluster_name}
+      template:
+        spec:
+          nodeClassRef:
+            name: default
+          requirements:
+            - key: "karpenter.k8s.aws/instance-category"
+              operator: In
+              values: ["c", "m", "r"]
+            - key: "karpenter.k8s.aws/instance-cpu"
+              operator: In
+              values: ["4", "8", "16", "32"]
+            - key: "karpenter.k8s.aws/instance-hypervisor"
+              operator: In
+              values: ["nitro"]
+            - key: "karpenter.k8s.aws/instance-generation"
+              operator: Gt
+              values: ["2"]
+      limits:
+        cpu: 1000
+      disruption:
+        consolidationPolicy: WhenEmpty
+        consolidateAfter: 30s
   YAML
 
   depends_on = [
-    helm_release.karpenter
+    kubectl_manifest.karpenter_node_class
   ]
 }
 
@@ -292,7 +294,7 @@ resource "kubectl_manifest" "karpenter_example_deployment" {
 
 module "vpc" {
   source  = "terraform-aws-modules/vpc/aws"
-  version = "~> 4.0"
+  version = "~> 5.0"
 
   name = local.name
   cidr = local.vpc_cidr

modules/karpenter/README.md

@@ -150,6 +150,7 @@ No modules.
 | <a name="input_create_iam_role"></a> [create\_iam\_role](#input\_create\_iam\_role) | Determines whether an IAM role is created or to use an existing IAM role | `bool` | `true` | no |
 | <a name="input_create_instance_profile"></a> [create\_instance\_profile](#input\_create\_instance\_profile) | Whether to create an IAM instance profile | `bool` | `true` | no |
 | <a name="input_create_irsa"></a> [create\_irsa](#input\_create\_irsa) | Determines whether an IAM role for service accounts is created | `bool` | `true` | no |
+| <a name="input_enable_karpenter_instance_profile_creation"></a> [enable\_karpenter\_instance\_profile\_creation](#input\_enable\_karpenter\_instance\_profile\_creation) | Determines whether Karpenter will be allowed to create the IAM instance profile (v1beta1) or if Terraform will (v1alpha1) | `bool` | `false` | no |
 | <a name="input_enable_spot_termination"></a> [enable\_spot\_termination](#input\_enable\_spot\_termination) | Determines whether to enable native spot termination handling | `bool` | `true` | no |
 | <a name="input_iam_role_additional_policies"></a> [iam\_role\_additional\_policies](#input\_iam\_role\_additional\_policies) | Additional policies to be added to the IAM role | `map(string)` | `{}` | no |
 | <a name="input_iam_role_arn"></a> [iam\_role\_arn](#input\_iam\_role\_arn) | Existing IAM role ARN for the IAM instance profile. Required if `create_iam_role` is set to `false` | `string` | `null` | no |

modules/karpenter/main.tf

@@ -160,6 +160,24 @@ data "aws_iam_policy_document" "irsa" {
       resources = [aws_sqs_queue.this[0].arn]
     }
   }
+
+  # TODO - this will be replaced in v20.0 with the scoped policy provided by Karpenter
+  # https://github.com/aws/karpenter/blob/main/website/content/en/docs/upgrading/v1beta1-controller-policy.json
+  dynamic "statement" {
+    for_each = var.enable_karpenter_instance_profile_creation ? [1] : []
+
+    content {
+      actions = [
+        "iam:AddRoleToInstanceProfile",
+        "iam:CreateInstanceProfile",
+        "iam:DeleteInstanceProfile",
+        "iam:GetInstanceProfile",
+        "iam:RemoveRoleFromInstanceProfile",
+        "iam:TagInstanceProfile",
+      ]
+      resources = ["*"]
+    }
+  }
 }
 
 resource "aws_iam_policy" "irsa" {
@@ -368,7 +386,7 @@ locals {
 }
 
 resource "aws_iam_instance_profile" "this" {
-  count = var.create && var.create_instance_profile ? 1 : 0
+  count = var.create && var.create_instance_profile && !var.enable_karpenter_instance_profile_creation ? 1 : 0
 
   name        = var.iam_role_use_name_prefix ? null : local.iam_role_name
   name_prefix = var.iam_role_use_name_prefix ? "${local.iam_role_name}-" : null

modules/karpenter/variables.tf

@@ -123,6 +123,12 @@ variable "irsa_assume_role_condition_test" {
   default     = "StringEquals"
 }
 
+variable "enable_karpenter_instance_profile_creation" {
+  description = "Determines whether Karpenter will be allowed to create the IAM instance profile (v1beta1) or if Terraform will (v1alpha1)"
+  type        = bool
+  default     = false
+}
+
 ################################################################################
 # Node Termination Queue
 ################################################################################