There is a new direct mode in Databricks Asset Bundles: the main difference is that there is no Terraform anymore, and a simple state in JSON. It offers a few significant benefits:

- No requirement to download Terraform and terraform-provider-databricks before deployment

- Avoids issues with firewalls, proxies, and custom provider registries

- Detailed diffs of changes available using bundle plan -o json

- Faster deployment

- Reduced time to release new bundle resources, because there is no need to align with the Terraform provider release.

read: https://databrickster.medium.com/databricks-news-week-52-22-december-2025-to-28-december-2025-bbb94a...

watch: https://www.youtube.com/watch?v=4ngQUkdmD3o