Teradata Corporation, together with its subsidiaries (Teradata), provides a connected hybrid cloud analytics and data platform in the United States and internationally. Teradata innovates and delivers solutions for data and analytics challenges.
The company focuses on helping organizations improve business performance, enrich customer experiences, and integrate data across the enterprise. The company built its open and connected hybrid cloud analytics and data platform for AI. With its hybrid c...
Teradata Corporation, together with its subsidiaries (Teradata), provides a connected hybrid cloud analytics and data platform in the United States and internationally. Teradata innovates and delivers solutions for data and analytics challenges.
The company focuses on helping organizations improve business performance, enrich customer experiences, and integrate data across the enterprise. The company built its open and connected hybrid cloud analytics and data platform for AI. With its hybrid cloud platform, named Teradata Vantage, underpinned by its extensive patented workload management optimization technology, the company is well-positioned to help enterprises deliver business breakthroughs and solve business problems with its capabilities to provide harmonized data, trusted AI, and faster innovation.
Hybrid Cloud Analytics and Data Platform
Teradata Vantage is the company's open and connected platform that is designed to allow organizations to leverage all their data across an enterprise, in a hybrid environment. Whether in public or private clouds, in multi-cloud, or on-premises, and at scale, Teradata Vantage comprises deployment options that are designed to address the full span of data analytics and AI needs while providing optimized total cost of ownership and financial governance:
Teradata VantageCloud: The company's flexible, connected, and modern cloud platform includes Teradata VantageCloud Lake, which is built on its cloud-native lake architecture, and Teradata VantageCloud Enterprise for managed enterprise workloads.
Teradata VantageCore: The company's on-premises platform offering seamlessly integrates with its cloud offerings to enable hybrid environments for which it sees increasing demand.
Key capabilities of Teradata Vantage across all deployments are:
ClearScape Analytics: ClearScape Analytics encompasses the end-to-end analytics capabilities integrated into the company's platform and is designed to be a secure, highly concurrent, and resilient analytics offering. ClearScape Analytics provides robust in-database engine analytics functionality, open and connected integrations, and operationalization at scale for more effective data preparation, advanced analytics, and AI/ML performance.
Query Grid: Query Grid is the company's ‘data fabric,’ a data integration and management layer included with its hybrid platform. Query Grid serves as the connective tissue in multi-cloud, as well as between cloud and on-premises environments. This technology innovation is designed to bring data together and enable consistent data access across the ecosystem. With its data fabric, the company enables data analytics integration across public clouds for a multi-cloud experience. The data fabric is designed to provide the company's customers with the analytic capabilities to deliver trusted data—data that is secure and well governed.
Business Transformation
Across Teradata, the company is executing to advance in its transformation as a hybrid cloud analytics and data platform. Teradata is recognized by industry analysts as offering a hybrid cloud analytics and data platform with next-generation, cloud-native deployment, and expansive analytics capabilities. Whether their first move into the cloud or moving from other vendors, the company helps companies smoothly migrate to the deployment that is right for their business, offering a fast path to cloud modernization with its extensive cloud migration capabilities. Additionally, the company sees that companies are increasingly operating in a hybrid environment with an architecture blending cloud and on-premises systems.
2024 Innovations
Throughout 2024, the company delivered a broad set of innovations that are intended to advance its differentiated position in enabling trusted AI, including:
Open Table Formats (‘OTF’): The company announced its open and connected approach to supporting OTFs Apache Iceberg and Linux Foundation Delta Lake. The open and connected approach is designed to allow enterprises to employ a modern data strategy with agility and flexibility to execute AI at scale, while taking advantage of its differentiated analytics.
Teradata VantageCloud Lake: The company's cloud-native platform became available on Google Cloud. This integration with Google Cloud, including Google Vertex and Gemini, is designed to offer customers a modern data platform that excels in multiple types of AI, from scaling predictive AI initiatives to powering new generative AI use cases. With this advancement, the company added Google Cloud availability in addition to Amazon Web Services (‘AWS’) and Microsoft Azure.
Bring-Your-Own Large Language Model (‘BYO-LLM’): The company included BYO-LLM capabilities in its platform and ClearScape Analytics. With BYO-LLM, the company's customers can take advantage of small and mid-size open LLMs by bringing the model to the data and minimizing expensive data movement, which helps to maximize the security, privacy, and trust of the data.
ClearScape Analytics: The company extended its analytics capabilities through API integration with Google Cloud’s AI development platform, providing the capability to train and predict models against data. Together, the solutions provide the ability for customers to execute complex analytics and AI/ML on massive data sets and incorporate preferred data science tools. In addition, the company further enhanced the capabilities of ClearScape Analytics by adding new features and functionality designed to boost data science productivity and streamline complex processes through various self-service and automated features. These new features and functionality include:
Spark to ClearScape Analytics, which enables data scientists to easily convert pyspark code to Teradata ML, eliminating the need for re-engineering or data movement.
AutoML, designed to enable data scientists to automatically train models specific to their company’s business needs.
KNIME integration with Teradata VantageCloud, designed to accelerate AI initiatives and expand usage of ClearScape Analytics to non-technical individuals.
Teradata AI Unlimited: The company announced that AI Unlimited, its on-demand compute engine, is natively integrated with Microsoft Fabric. AI Unlimited in Microsoft Fabric leverages OTF in OneLake to create shortcuts to data across cloud object stores, enabling customers to take advantage of more than 150 ClearScape Analytics functions without the time or expense of moving data for each workload experience. It is available on AWS and Azure.
Continued strengthening partnerships: The company continued its commitment to developing and building strong partnerships. Notable announcements with partners include:
With Nvidia, the company is integrating Nvidia NeMo and Nvidia NIM microservices into its platform to accelerate AI workloads and support the development of foundation and customized LLMs, agentic workflows, and Retrieval-Augmented Generation (‘RAG’) applications.
With AWS, the company announced the delivery of ‘rapid-start’ generative AI use cases when leveraging its platform on AWS, integrated with Amazon Bedrock.
With Anaconda, the company announced the integration of Anaconda’s secure repository of Python and R packages with ClearScape Analytics, designed to accelerate the use of data science and generative AI use cases and enable users to swiftly apply secure open-source packages, scale efficiently, and access harmonized data and trusted AI.
With dbt, the company announced that the Teradata platform is now integrated with dbt Cloud. The company brings its ability to manage complex large-scale datasets with enterprise-grade reliability, robust security, and governance, and combines that with dbt’s transformation tools that are designed to turn raw data into actionable insights with less manual effort.
With DataRobot, the company announced a new integration between ClearScape Analytics and the DataRobot AI Platform aimed at helping enterprises maximize their AI potential by providing greater optionality and flexibility for building and scaling safe and effective AI models. This new functionality is available through ClearScape Analytics’ Bring Your Own Model (‘BYOM’) capability.
With third-party productivity tools, Airbyte Cloud, Apache Airflow, and dbt, the company introduced integrations that support the modern data stack, so that developers can innovate faster by speeding the deployment and operationalization of AI/ML at enterprise scale.
These announcements highlight the company’s commitment to a fully open and connected approach that allows enterprises to employ modern data strategies to enable and execute trusted AI at scale.
Market Dynamics with AI Focus
The company’s target market focuses on organizations that are large-scale users of data. As data volumes grow exponentially along with increasing sources of data, the company is seeing organizations increasingly adopt hybrid, multi-cloud, and on-premises data analytics and AI/ML technologies. Teradata addresses the full spectrum of analytics needs and varying cloud adoption strategies—from cloud-only to multi-cloud to hybrid and on-premises.
As companies around the world are exploring and implementing AI applications, including agentic and generative AI, including by:
Managing uncontrolled data growth: AI requires extensive volumes of high-quality data. The company delivers AI capabilities for its customers by providing a platform that is designed to integrate and harmonize data across the organization and analytics capabilities that excel at scale.
Building a flexible, open, and connected ecosystem: The company designs its architecture to provide a flexible, open, and connected ecosystem to allow companies the freedom to use their preferred tools and technologies with public or custom LLMs to produce AI.
Providing a secure, trusted, and cost-effective environment: The company’s hybrid analytics and data platform is designed to deliver a secure environment while controlling costs.
The company’s customers use Teradata technologies and innovations to solve their business challenges and drive business outcomes. The company provides guidance to customers on uses of Teradata analytics tailored to their needs and offers differentiated packaged use case solutions. Business use cases leverage the latest in Teradata AI/ML capabilities: augmented customer complaint analysis, customer acquisition, experience and retention, personalized product and action recommendations, automated speech analysis, financial visibility, resilient supply chains, fraud prevention, and regulatory compliance and risk management.
Consulting Services and Third-Party Relationships
The company’s experienced consultants offer a broad range of services, including helping organizations establish a data analytics and AI/ML vision, enabling a modern, hybrid ecosystem architecture, and identifying and operationalizing opportunities. The company’s support and maintenance services are designed to provide an optimal experience with Teradata, and its managed services offerings are designed to provide an enhanced experience to its customers by helping their analytic environments operate efficiently. The company also works closely with top global and regional systems integrators to accelerate innovation, enable digital transformation, and maximize customer value from their Teradata technologies.
Subscription Options
Teradata offers subscription offerings that are flexibly priced, ranging from capacity-based to consumption-based pricing. These flexible pricing options are designed to enable the company’s customers to reduce complexity, risk, and cost, and expand their data analytics and AI/ML capabilities to fit their data and budget needs.
Segments
On August 5, 2024, the company announced the realignment of its sales function to optimize operations. Due to this organizational change, the company now manages its business under two segments, which are also its new operating segments: Product Sales and Consulting Services.
Strategy
The company has a sharp strategic focus on being the hybrid cloud analytics and data platform for trusted AI at scale. The company delivers on this strategy through leveraging its talented teams who are committed to its culture and executing the following strategic imperatives: enabling faster innovation, better customer experiences, and improved productivity via the Teradata platform and ClearScape Analytics capabilities to enable AI/ML; enhancing its ClearScape Analytics roadmap with incremental AI capabilities; enabling AI on-premises by bringing additional data and AI/ML capabilities to its on-premises offerings; broadening its platform to support OTF; providing well-defined use cases that demonstrate the value of its products to solve real-world business challenges; expanding customer footprints by increasing consumption and onboarding new workloads in existing and new business buying centers; deepening relationships with strategic public cloud service providers, systems integrators, independent software vendors, distributors, and resellers; and expanding its go-to-market reach by onboarding new customers, making vertical investments, enhancing customer success programs, and extending its partner relationships.
AI requires significant data to create value; as such, integrating and harmonizing data across the organization is crucial. The company’s hybrid cloud platform is designed to be scalable, secure, highly concurrent, and resilient to help companies solve complex data challenges at scale. The company provides a data management solution that enables enterprises to support their data analytics and AI/ML ecosystems, enable consistent data across business units, and grow at scale. Furthermore, the company provides enterprise customers with the flexibility to address their data analytics and AI/ML needs, empowering operational, ad-hoc analytics, and mixed workloads, whether in the cloud, on-premises, or in a hybrid combination.
The company’s differentiated approach spans deployments in the top public cloud service provider platforms of AWS, Microsoft Azure, and Google Cloud, as well as private cloud platform instances, on-premises, and hybrid environments.
As customers increasingly grow their data analytics ecosystems, the company supports customers with a data fabric in QueryGrid that connects all environments, as well as data and workload migration tools and services.
The company’s strategy is further supported by its commitment to being a responsible corporate citizen.
Customers
Teradata concentrates the company’s marketing and go-to-market efforts on companies that are seeking to improve business performance and view data analytics and AI/ML as strategic to achieving that objective. The company focuses on the key buying centers of business leaders, analytics buyers and users, as well as technology buyers and users. The company’s platform differentiates Teradata in industries with high data requirements, including Financial Services, Government, Healthcare and Life Sciences, Public Sector, Manufacturing, Retail, Telecommunications, and Travel/Transportation.
Seasonality
Historically, the company’s new contract bookings and renewals are seasonal, in line with customer spending patterns, with lower volume typically in the first quarter and higher volume generally in the fourth quarter of each calendar year (year ended December 31, 2024). Such seasonality causes the company’s working capital cash flow requirements to vary from quarter to quarter depending on the variability in the volume, timing of invoices and subsequent collection, and mix of platform sales.
In addition, contract bookings in the third month of each quarter have historically been significantly higher than in the first and second months, with the majority occurring in the last quarter of the company’s fiscal year.
Sales, Marketing, Customer Services and Partners
Sales and Marketing
The company primarily sells and markets its solutions and services through a direct sales force. The company has more than 80% of its employees in customer-facing and/or revenue-driving roles (including sales, marketing, consulting, customer services, and product engineering).
The company supports its sales efforts with marketing designed to: grow awareness of Teradata as a leading hybrid cloud analytics and data platform for trusted AI, highlighting its technology leadership and innovation, hybrid cloud differentiation, analytics and AI expertise; lead customers on their migration to the cloud with the benefits of an open and connected ecosystem with hybrid and multi-cloud capabilities, and then help them easily expand their environment when needed; and create demand for, and adoption and expanded use of, its technologies, including Teradata VantageCloud, ClearScape Analytics, and Teradata AI Unlimited, as well as related services.
The company additionally provides extensive training to educate and enable its sales force with the skills and knowledge to compete and win with its value proposition.
The company’s brand messaging is intended to highlight Teradata’s role as a company in data analytics, AI, and hybrid cloud technology, as well as its strength as an open and connected hybrid cloud analytics and data platform for trusted AI. To support its growth objectives, the company employs a broad range of modern marketing strategies, including programs designed to inform, educate, and generate demand with customers and prospects. These strategies include its global website, digital marketing, paid media, demos and trials of its software, webinars, events, public relations, social media, a customer advocacy program, and targeted demand generation.
Customer Services
The company’s global customer services organization is dedicated to creating and sustaining an optimal customer experience and working with its customers to help them achieve the best outcomes from the data that is managed in its platform so they are empowered with the full potential of Teradata’s data analytics solutions. The global customer services organization consists of cloud operations, customer support, customer experience, consulting and managed services, and customer education. The customer services organization supports the company’s cloud strategy by facilitating a customer’s migration to the VantageCloud platform and managing the day-to-day operations of a customer’s VantageCloud environment. This organization focuses on delivering business value throughout the customer journey, enabling innovative use of the Vantage platform, extracting additional efficiencies, and maximizing customer impact and satisfaction—which are designed to retain customers and drive greater consumption of its technology.
Strategic Partnerships
The company seeks to extend its sales and marketing reach by partnering with cloud service providers, alliance partners (including independent software vendors, open-source software distributors, and resellers), systems integrators, and consultants. Strategic partnerships are a key element in the company’s ability to leverage the value and expand the scope of its data and analytics platform offering in the marketplace.
Cloud Service Providers: The company has established partnerships with the top three global public cloud service providers: AWS, Microsoft Azure, and Google Cloud. The company works to continuously strengthen these strategic partnerships.
Alliance Partners: The company focuses on working collaboratively with independent software vendors in several areas, including AI/ML and LLMs, tools, data and application integration solutions, data mining, analytics, business intelligence, and specific analytic and industry solutions. The company’s goal is to provide choices to its customers with partner offerings that are optimized and certified to work with the Teradata Vantage platform to deliver end-to-end analytic and data solutions and to provide comprehensive capabilities that support the customer’s business goals and work within their analytic ecosystem.
Systems Integrators and Consultants: The company works with a range of systems integrators and consultants who engage in the design, implementation, and integration of analytic solutions for its joint customers. The company’s strategic partnerships with select global and regional consulting and systems integration firms provide broad industry and technology expertise in the design of business solutions that leverage Teradata technologies to enable enterprise analytics.
Research and Development (‘R&D’)
In 2024, the company recorded $4 million on research and development expenses.
Intellectual Property and Technology
The company owns 565 patents in the United States. The company is also the exclusive licensee of four additional patents in the United States and counterpart patents in foreign countries.
The company owns the Teradata word and logo trademarks, which are registered in the United States and in many foreign countries, as well as other trade names, service marks, and trademarks.
Sources of Materials
The company’s hardware components are assembled and configured by Flex Ltd. (‘Flex’). Flex also procures a wide variety of components used in the assembly process on the company’s behalf.
Competition
The company’s competitors include established companies within its industry, including Amazon, Google, IBM, Oracle, Microsoft, and SAP, which are well-capitalized companies with widespread distribution, brand recognition, and penetration of its product platforms and service offerings.
History
Teradata Corporation was founded in 1979. The company was incorporated in 1979 as a Delaware corporation.
