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How would it provision new nodes in that scenario?

actually we are working on a project called ksctl (oss), currently need to add autoscaler , we are providing managed k3s ha , using vm from all major cloud providers (azure,aws,gcp).

It would be "fun" to have something like Karpenter to use Teraform to horizontally scale a cluster in Harvester (like Karpenter scales a node-set in AWS EKS). I haven't heard of any actual real system that can could do that though.