Teradata makes Firm Moves
At the Teradata Third-Party Influencers Meeting in San Diego May 8-10, Teradata shared a go-to market strategy for 2017 and beyond that had some very clear messages.
Teradata has always had an outsized presence in larger companies. Recent years have found Teradata pushing into the midmarket with some of their appliance offerings and otherwise. However, the message was clear this year – Teradata has room to grow in the top end and will focus there. One point to make about this is that the top end for Teradata is the top end for data volume and importance, which may mean some start-ups. Teradata’s advantages are going to be more pronounced in this renewed target market.
Consolidated Professional Services
Teradata has consolidated all of their professional services under one corporate umbrella, Teradata Global Services. 2/3 of Teradata revenue is in services and now it continues as TGS incorporating the former entities of Think Big Analytics, Enterprise Data Consulting and Customer Services.
Richard Hackathorn and I documented some of TGS strong analytic offerings in this paper.
Teradata also has IP for certain verticals and applications such as Customer Journey, but no longer has its marketing division or the acquired Aprimo product.
Simplified Pricing Strategy
Teradata’s pricing used to be hard to articulate: Core-based, node-based, etc., and across so many offerings (more on that below). The new pricing strategy is based on “T Cores”. T Cores are simply the compute cores being utilized.
The pricing will be the same for on premises and cloud.
Simplified Product Strategy
Gone are the Teradata appliances and we’re down to a couple of product families. Intelliflex is the primary Teradata product. It is the Teradata database with separation of compute and storage, and flexible storage options.
Intellibase is a somewhat reduced-function version of the database, with commodity-based component options.
Teradata continues to extend the market-leading features and functions of this database, most recently into NoSQL data types and data science language queries.
All-in on Cloud
Last but definitely not least is the firm move to the cloud. IntelliCloud is the new version of the Teradata Managed Cloud and incorporates the T-Core based pricing and products mentioned above. Data centers are in Las Vegas and Frankfurt.
Teradata can also go as far as complete managed services for AWS, with the same for Azure coming.
Data Lakes, low-cost and specialized options to a relational database data warehouse are becoming prominent fixtures in organizations today and, as data leaders, Teradata is adopting to that future. This consolidation of their product set, pricing, market focus and professional services is Teradata’s claim to your future data dollars, and it is a compelling option.
Like IBM, Teradata is transitioning to a true services company. With the cloud focus, they are less inclined to put a machine in your data center and could therefore be seen as a software company now, prepared to extend its data leadership into a future where data leadership is a defining strategy for its customers.