CloudFormation can be very flexible, especially with tools like sceptre, it can work very well. A huge issue is that WITHOUT tools like sceptre, you can't really use stacks except as dumb silos. You already need additional tooling (sceptre, CDK, SAM, ...) to make CF workable. I think that most people who despise CF haven't got good tooling.
The issue with CloudFormation is that it lags behind all other AWS services quite often. It seems to be maintained by another team. I realize that getting state management for complex inderdependent resources right requires time and diligence, BUT it's a factor in driving adoption.
- New EKS feature? Sorry, no knob in CF for MONTHS.
- New EBS gp3 volume type available? Sorry, our AWS::Another::Service resource does not accept gp3 values for months after feature release.
- A AWS API exposes information that you would like to use as an input to another resource or stack. SURPRISE, CloudFormation does not return that attribute to you, despite it being available. SORRY NOT FIXABLE.
- Try refactoring and moving resources in/out of stacks while preserving state? Welcome to a fresh hell.
- Quality of CloudFormation "modules" varies. AWS::ElasticSearch::Domain used to suck a whole lot, AWS::S3::Bucket as a core service was always very friendly.
- CloudFormation custom resources are a painful way of "extending" CF to suite your needs. So painful that I refuse to pay the cost of AWS not keeping their stuff up to date and well integrated.
These kinds of lag, this kind of incompleteness when it comes to making information from AWS APIs available have driven me to Terraform for things that are best done in Terraform and require flexibility and CloudFormation for things that work well with it.
At the end of the day CF is a closed-source flavour of Terraform + AWS provider. I would like have gone all in, but just doesn't work and costs hacks, time and flexibility.
That being said, if you have no idea how to work with TF, tell the devs to use CF.
The experience of AWS support is probably also very different when it comes to feature requests. An org that spends half a billion with AWS will get their requests implemented ASAP whereas small fish have to swim with the flow and hope it works for them.