There are different constituencies wrt open source licenses and yours is an eminently reasonable approach.
You've got regular users - like you - who will react in various ways.
You have past project contributors, who will hold an opinion (you did them to sign a Contributor License Agreement, right?)
You have the people in charge of the fork. Who may get it right (likely). Or not (less likely).
You have people who hold strong views about open source licenses, just on ethical principles. Ah, those lovely GPL vs Affero vs MIT wars....
And you have big, big corporations that resell hosting of open source programs they never contributed to and barely support financially. Not that I have a huge beef with them otherwise, but Amazon comes to mind, they're famous for it in this field.
It could very well be Terraform runs into the weeds with this. But I am far from certain that it will happen, and IF they act in good faith to mostly limit exploitation by the last group, I am not sure why they should.