Teradata Makes Real-World GenAI Easier, Speeds Business Value

Rhea-AI Summary

Teradata (NYSE: TDC) has announced new capabilities for VantageCloud Lake and ClearScape Analytics to simplify generative AI (GenAI) implementation for enterprises. The company introduced a bring-your-own LLM (BYO-LLM) feature, allowing customers to use small or mid-sized open-source language models for specific business needs. This approach aims to provide cost-effective and immediate ROI from GenAI initiatives.

Teradata has also integrated with NVIDIA's full-stack AI accelerated computing platform, offering customers the flexibility to use either GPUs or CPUs based on LLM complexity. The new capabilities support LLM inferencing and fine-tuning, enhancing model accuracy and efficiency. These features are designed to maximize security, privacy, and trust while minimizing data movement costs.

Positive

• Introduction of bring-your-own LLM (BYO-LLM) capability for cost-effective GenAI implementation
• Integration with NVIDIA AI full-stack accelerated computing platform for enhanced performance
• Support for both GPU and CPU usage, offering flexibility based on LLM complexity
• Addition of LLM inferencing and fine-tuning capabilities to improve model accuracy and efficiency
• Availability of new features on major cloud platforms (AWS, Azure, Google Cloud) in phased rollout

Negative

• Phased rollout of features may delay full functionality for some customers until 1H 2025

Insights

Technology Analyst

Teradata's announcement of new GenAI capabilities for VantageCloud Lake and ClearScape Analytics is a significant move in the AI market. The bring-your-own LLM (BYO-LLM) feature allows customers to use smaller, domain-specific models, which can be more cost-effective and easier to deploy than large LLMs. This addresses a important market need, as 84% of executives expect ROI from AI within a year. The integration with NVIDIA's full-stack AI platform enhances Teradata's offering, providing flexibility in GPU or CPU usage for different AI tasks. This strategic partnership could position Teradata competitively in the rapidly evolving AI landscape. The focus on practical, ROI-driven use cases like regulatory compliance and healthcare note analysis demonstrates Teradata's understanding of enterprise needs. However, the staggered availability across cloud platforms (AWS first, then Azure and Google Cloud) might impact adoption rates in the short term.

AI Implementation Specialist

Teradata's new capabilities address key challenges in enterprise AI adoption: cost, complexity and immediate business value. The BYO-LLM feature is particularly noteworthy as it aligns with the trend of using smaller, specialized models for specific tasks - a more pragmatic approach than relying solely on large, general-purpose LLMs. This could significantly reduce implementation costs and time-to-value for businesses. The ability to bring models to the data, rather than vice versa, is important for data security and privacy, addressing major concerns in AI deployment. The flexibility to use either GPUs or CPUs based on model complexity is a smart move, allowing for cost optimization. The integration with NVIDIA's AI platform for tasks like inferencing and fine-tuning adds substantial value, potentially accelerating AI workflow efficiency. However, the phased rollout across cloud platforms may create a temporary competitive disadvantage in non-AWS environments.

New bring-your-own LLM capability enables Teradata customers to simply and cost-effectively deploy everyday GenAI use cases with NVIDIA AI to deliver flexibility, security, trust and ROI

New integration with the full-stack NVIDIA AI platform delivers accelerated computing

LOS ANGELES--(BUSINESS WIRE)-- TERADATA POSSIBLE – Teradata (NYSE: TDC) today announced new capabilities for VantageCloud Lake and ClearScape Analytics that make it possible for enterprises to easily implement and see immediate ROI from generative AI (GenAI) use cases.

As GenAI moves from idea to reality, enterprises are increasingly interested in a more comprehensive AI strategy that prioritizes practical use cases known for delivering more immediate business value – a critical benefit when 84 percent of executives expect ROI from AI initiatives within a year. With the advances in the innovation of large language models (LLMs), and the emergence of small and medium models, AI providers can offer fit-for-purpose open-source models to provide significant versatility across a broad spectrum of use cases, but without the high cost and complexity of large models.

By adding bring-your-own LLM (BYO-LLM), Teradata customers can take advantage of small or mid-sized open LLMs, including domain-specific models. In addition to these models being easier to deploy and more cost-effective overall, Teradata’s new features bring the LLMs to the data (versus the other way around) so that organizations can also minimize expensive data movement and maximize security, privacy and trust.

Teradata also now provides customers with the flexibility to strategically leverage either GPUs or CPUs, depending on the complexity and size of the LLM. If required, GPUs can be used to offer speed and performance at scale for tasks like inferencing and model fine-tuning, both of which will be available on VantageCloud Lake. Teradata’s collaboration with NVIDIA, also announced today, includes the integration of the NVIDIA AI full-stack accelerated computing platform, which includes NVIDIA NIM, part of the NVIDIA AI Enterprise for the development and deployment of GenAI applications, into the Vantage platform to accelerate trusted AI workloads large and small.

“Teradata customers want to swiftly move from exploration to meaningful application of generative AI,” said Hillary Ashton, Chief Product Officer at Teradata. “ClearScape Analytics’ new BYO-LLM capability, combined with VantageCloud Lake’s integration with the full-stack NVIDIA AI accelerated computing platform, means enterprises can harness the full potential of GenAI more effectively, affordably and in a trusted way. With Teradata, organizations can make the most of their AI investments and drive real, immediate business value.”

Real-World GenAI with Open-Source LLMs

Organizations have come to recognize that larger LLMs aren’t suited for every use case and can be cost-prohibitive. BYO-LLM allows users to choose the best model for their specific business needs, and according to Forrester, 46 percent of AI leaders plan to leverage existing open-source LLMs in their generative AI strategy. With Teradata’s implementation of BYO-LLM, VantageCloud Lake and ClearScape customers can easily leverage small or mid-sized LLMs from open-source AI providers like Hugging Face, which has over 350,000 LLMs.

Smaller LLMs are typically domain-specific and tailored for valuable, real-world use cases, such as:

• Regulatory compliance: Banks use specialized open LLMs to identify emails with potential regulatory implications, reducing the need for expensive GPU infrastructure.
• Healthcare note analysis: Open LLMs can analyze doctor’s notes to automate information extraction, enhancing patient care without moving sensitive data.
• Product recommendations: Utilizing LLM embeddings combined with in-database analytics from Teradata ClearScape Analytics, businesses can optimize their recommendation systems.
• Customer complaint analysis: Open LLMs help analyze complaint topics, sentiments, and summaries, integrating insights into a 360° view of the customer for improved resolution strategies.

Teradata’s commitment to an open and connected ecosystem means that as more open LLMs come to market, Teradata’s customers will be able to keep pace with innovation and use BYO-LLM to switch to models with less vendor lock-in.

GPU Analytic Clusters for Inferencing and Fine-Tuning

By adding full-stack NVIDIA accelerated computing support to VantageCloud Lake, Teradata will provide customers with LLM inferencing that is expected to offer better value and be more cost-effective for large or highly complex models. NVIDIA accelerated computing is designed to handle massive amounts of data and perform calculations quickly, which is critical for inference - where a trained machine learning, deep learning or language model is used to make predictions or decisions based on new data. An example of this in healthcare is the reviewing and summarizing of doctor’s notes. By automating the extraction and interpretation of information, they allow healthcare providers to focus more on direct patient care.

VantageCloud Lake will also support model fine-tuning via GPUs, giving customers the ability to customize pre-trained language models to their own organization’s dataset. This tailoring improves model accuracy and efficiency, without needing to start the training process from scratch. For example, a mortgage advisor chatbot must be trained to respond in financial language, augmenting the natural language that most foundational models are trained on. Fine-tuning the model with banking terminology tailors its responses, making it more applicable to the situation. In this way, Teradata customers could see increased adaptability of their models and an improved ability to reuse models by leveraging accelerated computing.

Availability

ClearScape Analytics BYO-LLM for Teradata VantageCloud Lake will be generally available on AWS in October, and on Azure and Google Cloud in 1H 2025.

Teradata VantageCloud Lake with NVIDIA AI accelerated compute will be generally available first on AWS in November, with inference capabilities being added in Q4 and fine-tuning availability in 1H 2025.

About Teradata

At Teradata, we believe that people thrive when empowered with trusted information. We offer the most complete cloud analytics and data platform for AI. By delivering harmonized data and trusted AI, we enable more confident decision-making, unlock faster innovation, and drive the impactful business results organizations need most.

See how at Teradata.com.

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MEDIA CONTACT

Jennifer Donahue

jennifer.donahue@teradata.com

Source: Teradata

FAQ

What new GenAI capabilities has Teradata (TDC) announced for VantageCloud Lake and ClearScape Analytics?

Teradata has announced bring-your-own LLM (BYO-LLM) capability and integration with NVIDIA's full-stack AI accelerated computing platform, allowing customers to implement cost-effective GenAI solutions using small or mid-sized open-source language models.

When will Teradata's (TDC) new GenAI features be available on different cloud platforms?

ClearScape Analytics BYO-LLM for VantageCloud Lake will be available on AWS in October 2024, and on Azure and Google Cloud in 1H 2025. VantageCloud Lake with NVIDIA AI accelerated compute will be available on AWS in November 2024, with additional capabilities rolling out through 1H 2025.

How does Teradata's (TDC) new BYO-LLM capability benefit enterprises?

The BYO-LLM capability allows enterprises to use smaller, domain-specific LLMs that are more cost-effective and tailored for specific business needs. This approach can deliver immediate ROI, enhance security and privacy, and minimize data movement costs.

What types of real-world GenAI use cases does Teradata (TDC) enable with its new features?

Teradata's new features enable use cases such as regulatory compliance in banking, healthcare note analysis, product recommendations, and customer complaint analysis, utilizing domain-specific open-source LLMs for efficient and targeted AI applications.