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Teradata Corporation
Company typePublic (NYSE: TDC)
IndustryData Warehousing
Founded1979
HeadquartersMiamisburg, Ohio, United States
Key people
Michael Koehler, President and CEO
James M. Ringler, Chairman
Bob Fair, Executive Vice President, Global Sales and Services
Stephen Brobst, Chief Technology Officer
Darryl D. McDonald, Executive Vice President and Chief Marketing Officer
Pete Wetzel, Americas Financial Controller
ProductsIntegrated Data Warehouse Hardware and Software, Professional Services, Customer Services
Revenue$1.936 billion USD (2010)
$301 million USD (2010)
Number of employees
6,600 (2010)[1]
Websitewww.teradata.com

Teradata Corporation (NYSE: TDC) is a vendor specializing in database software, data warehousing and analytic applications. Its products are commonly used by companies to consolidate data from different sources across an enterprise and make the data available for analysis. Teradata was incorporated in 1979 and was formerly a division of NCR Corporation, with the spinoff from NCR on October 1, 2007.[2] Teradata is led by Mike Koehler, the former senior vice president of NCR.[3] Teradata's headquarters are in Miamisburg, Ohio.

Introduction

Teradata is an enterprise software company that develops and sells a relational database management system (RDBMS) with the same name. In February, 2011, Gartner ranked Teradata as one of the leading companies in data warehousing and enterprise analytics.[4] Teradata was a division of the NCR Corporation, which acquired Teradata on February 28, 1991. Teradata's revenues in 2005 were almost $1.5 billion with an operating margin of 21%.[3] On January 8, 2007, NCR announced that it would spin-off Teradata as an independently traded company,[5] and this spin-off was completed October 1 of the same year, with Teradata trading under the NYSE stock symbol TDC.[6]

The Teradata product is referred to as a "data warehouse system" and stores and manages data. The data warehouses use a "shared nothing architecture," which means that each server node has its ow memory and processing power. Adding more servers and nodes increases the amount of data that can be stored. The database software sits on top of the servers and spreads the workload among them.[7] Teradata sells applications and software to process different types of data. In 2010, Teradata added text analytics to track unstructured data, such as word processor documents, and semi-structured data, such as spreadsheets.[8]

Teradata's product is often used for business analysis. Data warehouses can track company data, such as sales, customer preferences, product placement, etc.[9] According to the Teradata company website, their products are used in the following industries:

In 2010, the Ethisphere Institute named Teradata as one of the "World's Most Ethical Companies."[12] In 2011, Bersin and Associates named Teradata as a "2011 Learning Leader" for it training and development program for new sales hires.[13]

History

Timeline information taken from Teradata company history unless otherwise cited.[14]

  • 1976-1979: concept of Teradata grows from research at California Institute of Technology (Caltech) and from the discussions of Citibank’s advanced technology group.[15]
  • Incorporated in 1979 in Brentwood, CA by Dr. Jack E. Shemer, Dr. Philip M. Neches, Walter E. Muir, Jerold R. Modes, William P. Worth, and Carroll Reed.
  • 1980: Enough funding for a Research and Development team.
  • 1983: First beta system shipped to Wells Fargo Bank.
  • 1984: Teradata releases the world's first parallel data warehouses and data marts.[16]
  • 1986: Fortune Magazine names Teradata "Product of the Year."
  • 1987: Teradata IPO in August
  • 1989: Teradata partners with NCR to build new database computers.
  • Sept. 1991: AT&T acquires NCR.[17]
  • Dec. 1991: NCR announces acquisition of Teradata.[18]
  • 1992: Teradata creates the first system over 1 terabyte, which goes live at Wal-Mart.[19]
  • 1994: Gartner names Teradata the "Leader in Commercial Parallel Processing."
  • 1995: IDC consulting group names Teradata number one in massively parallel processing in Computerworld Magazine.
  • 1996: A Teradata database becomes the world's largest database at 11 terabytes.
  • 1997: NCR becomes independent from AT&T.[20]
  • 1997: Teradata customer creates world's largest production database at 24 terabytes.
  • 1998: Teradata ported to Microsoft Windows NT.
  • 1999: Teradata customer has world's largest database with 130 terabytes.
  • 2000: NCR acquires Ceres Integrated Solutions and reconfigures their customer relationship management software into Teradata CRM.[21]
  • 2000: NCR acquires Stirling Douglas Group and adds its Demand Chain Management software to list of Teradata applications.[22]
  • 2002: Teradata Warehouse 7.0 launches.
  • 2003: More than 120 companies migrate from Oracle Corporation to Teradata after Oracle-to-Teradata migration program.[23]
  • 2003: Teradata University is created. Nearly 170 universities in 27 countries included in network.
  • 2004: Teradata creates partnerships with SAP[24] and Siebel Sytems, Inc.[25]
  • 2005: Teradata launches Teradata Warehouse 8.1.
  • 2005: Teradata acquires DecisionPoint software[26] and rebrands it as Teradata Decision Experts.
  • 2005: Teradata adds Linux as an operating system choice for enterprise-class data warehouses.
  • 2006: Teradata launches Enterprise Master Data Management Solution.
  • 2006: Microsoft and Teradata collaborate on business intelligence application.[27]
  • 2007: NCR announces that NCR and Teradata will separate into two independent businesses.[28]
  • 2007: Intelligent Enterprise magazine names Teradata the best global data warehouse-business intelligence appliance vendor.
  • 2007: Teradata partners with DFA Capital Management, Inc.[29]
  • 2007: Agilent Technologies and Teradata established the first partnership between a data warehouse company and an instrument measurement company in order to integrate network and customer data for telecommunications industry.[30]
  • 2007: Teradata University network consists of 850 universities in 70 countries.
  • 2007: On Oct. 1, Teradata completes spin-off from NCR and is traded as its own stock. Mike Koehler becomes the CEO of Teradata.[31]
  • 2007: Teradata launches Teradata 12
  • 2007: Teradata announces partnership with SAS involving further technical integration of their respective products and coordinated marketing, sales, and services activities.[32]
  • 2008: Teradata acquires Claraview.[33]
  • 2008: Teradata Purpose Built Platform Family launches.
  • 2008: Teradata Petabyte Power Players announced: a group of five Teradata customers with data warehouse environments exceeding one petabyte.[34]
  • 2008: Teradata Labs becomes the first to unveil a working prototype demonstrating the innovative use of solid state disk (SSD) drives in a data warehouse environment at the 2008 Teradata PARTNERS User Group Conference & Expo.[35]
  • 2008: Teradata Accelerate launches
  • 2009: Forrester Research ranks Teradata as number 1 amongst enterprise data warehousing for their current offering.
  • 2009: Teradata announces that database administrators can now rewind Teradata Viewpoint monitoring applications and portlets to check database activity or performance at a specific point in time.
  • 2009: Teradata ranked among BusinessWeek’s “InfoTech 100,"[36] the world’s best-performing tech companies” and Fortune’s 1000.[37]
  • 2009: Teradata Database 13 releases
  • 2010: Teradata introduces Teradata Extreme Data Appliance 1600.
  • 2010: Teradata is named “one of the world’s most ethical companies” by The Ethisphere Institute.[38]
  • 2011: Teradata acquires Aprimo[39] and Aster Data Sytems.[40]
  • 2011: Gartner names Teradata as the global leader in data warehousing databases.[41]

The name Teradata was chosen to symbolize the ability to manage terabytes (trillions of bytes) of data.[15]

Fortune magazine named Teradata “Product of the Year” in 1986. Over the next four years channel connections to IBM MVS and Univac OS1100 mainframes were introduced, and a Teradata system over one terabyte (a trillion bytes) went live.[15]

Kickfire, once a competitor, was acquired by Teradata in August 2010.[42]

Teradata acquired an 11 percent ownership interest in Aster Data Systems in September 2010. On March 3, 2011, Teradata agreed to pay an additional $263 million for the remaining ownership interest, net of debt and other expenses.[43][44]

Technology and Products

Teradata is a massively parallel processing system running a shared nothing architecture. Teradata's Active Enterprise Intelligence technology is a bundling of hardware, software, database, and consulting. Teradata's technology moves data to a data warehouse where it can be recalled and analyzed.[45] This type of technology aids in "alignment of strategic and operational systems, people, and technology" for business decision making.[46] The Teradata DBMS is linearly and predictably scalable in all dimensions of a database system workload (data volume, breadth, number of users, complexity of queries).[47]

Teradata has an "Active-Active" solution, which means that Teradata systems can be used as back-up for one another during downtime. The systems balance the work load across themselves.[48]

Teradata Active Enterprise Data Warehouse

Teradata Active Enterprise Data Warehouse is the platform that runs the Teradata Database 12.10, with added data management tools and data mining software.

The data warehouse differentiates between “hot and cold” data  meaning that the warehouse puts data that will be used often in a special storage area for faster access and the “cold” data will be moved to a slower storage unit.[49] As of October, 2010, Teradata uses Xeon 5600 processors for the server nodes.[50] The data warehouse can turn over a terabyte of data in 5 seconds.[51]

Teradata Database 13.10

Teradata Database 13.10 is the company’s flagship software for managing a large amount of data. The database is built to store and process geospatial data, analyze changes in business data, allow data combining and modeling, and follow data over time.[52]

The 13.10 release added the ability to track temporal (point in time) and spatial data. It automatically tracks data history, and uses compression technology to store data better than previous Teradata Database versions.[53]

The Teradata open parallel framework allows for analytic applications and virtual appliances to be installed directly on top of the Teradata database. This approach speeds up the analysis of data.[54]

Teradata Database 14

Teradata Database 14 is the upgrade to 13.10 that has the ability to run multiple data warehouse workloads at the same time.[55] It includes column-store analyses, which makes it faster to recall data that might be stored in columns, such as zip codes or transaction dates, without searching through data stored in rows. Teradata Database 14 also automates more tasks than 13.10, and includes Aster MapReduce.[56]

Teradata Integrated Analytics

Teradata Integrated Analytics is a set of tools for data analysis that resides inside the data warehouse. “Integrated” refers to the analytics taking place within the open parallel framework of the data warehouse, instead of moving the data to an analytical server. Analyzing within the data warehouse is considered to be a faster process.[57] The analytics tools include automated data exploration, the Aster analytic database, and the agile analytics cloud.

Backup, Archive, and Restore(BAR)

BAR is Teradata’s backup and recovery system that includes management software, tape libraries, disk back-up systems, and data encryption. It also includes services for implementing the backup and recovery systems.[58]

The Teradata Disaster Recovery Solution is managed by Teradata’s customer service department and provides automation and tools for data recovery and archiving. Customer data can be stored in an offsite recovery center.[59]

Teradata Platform Family

Teradata Platform Family is a set of products that include the Teradata Data Warehouse, Database, and a set of analytic tools and professional services. Each platform is a package designed for different business types and workloads.[60] The platform family is marketed as smaller and less expensive than the other Teradata solutions.[61]

The platform family includes the:

  • Data Mart Appliance
  • Extreme Data Appliance
  • Extreme Performance Appliance
  • Data Warehouse Appliance
  • Accelerate Packages
  • Aster MapReduce Appliance
  • Active Enterprise Data Warehouse

The Extreme Performance appliance can scale from 7TB to 200TB and like other Teradata products, uses Intel's multi-core processors and 64-bit Linux SLES 10 operating system. Because they have no moving parts, SSDs eliminate the risk of mechanical failure that HDDs present and are 50 percent more energy efficient than hard disks. The appliance will take up about seven percent of the data center floor space that a similar data warehouse would require with traditional drives.[62]

Data Models and Roadmaps

Data Models and Roadmaps are strategies for implementing Teradata’s products. Logical Data Models are organized by industry, such as Financial, Healthcare, etc.[63]

Services

  • Business Analysis Services attempt to recommend data solutions to Teradata customers.[64]
  • Data Warehousing Services include consulting on design of the data warehouse, strategic planning, project management, and migration from other data warehouse companies.[65]
  • Industry Consulting Services aid in implementation of Teradata Data Warehouses.[66]
  • Customer Service: Teradata’s customer service is called Teradata @ Your Service and includes technical support, drivers and patches, and system performance reports.[67]

Events

Acquisitions

Acquisition date Company Valuation in millions USD Purpose References
Mar. 3, 2011 Aster Data 263 MapReduce, Big Data [68] [69]
Dec. 22, 2010 Aprimo 550 Marketing tools [70] [71]
Aug. 10, 2010 Kickfire [72]
Mar. 20, 2008 Claraview [73]
Nov. 30, 2005 under NCR DecisionPoint Sourcing and integration of data [74]
July 14, 2000 under NCR Stirling Douglas Group Demand chain management [75]

"Migrate from Oracle"

Teradata began the Oracle-to-Teradata Migration Program in 2000 to encourage customers to switch from Oracle’s databases to Teradata. The program includes an assessment of the current data warehouse, migration tools, and education in using Teradata’s data warehouse. As of October, 2011, over 250 Oracle customers completed migration to Teradata.[76][77]

Customers

Some of Teradata's largest and most prominent customers are in the retail domain like Wal-Mart, The Home Depot, Tesco and Supervalu Inc., which run their central inventory, enterprise reporting, category planning and other financial systems on Teradata. Other Teradata customers include companies such as

Teradata also shares over 200 joint customers with MicroStrategy, including Hudson's Bay Company, Metro Group, and the USPS.[79][80]

Partners

Below is a list of Teradata partners, as of 2011. A complete list can be found on the company website.

Teradata Partners Conference

Teradata holds an annual user group conference and expo known as Teradata PARTNERS with keynote industry speakers, educational sessions led by customers and other vendors.[86] The Teradata Partners Conference has been an annual event since 1985. In 2010, there were 3,000 company representatives from 45 countries in attendance.[87] The conference involves lectures and speeches on technical and business topics and announcements about new products.[88]

Teradata Universe

Teradata Universe is a business and technical conference about data warehousing for professionals connected with Teradata. It is held annually in Europe and South Asia.[89]

Teradata User Groups

Teradata user groups are defined by region and meet two to three times per year. The conferences are a regionalized version of the Teradata Partners Conference.[90]

Teradata and Big Data

Teradata began to associate itself with the term, “Big Data” in 2010. CTO, Stephen Brobst, attributes the rise of big data to “new media sources, such as social media.”[91] The increase in semi-structured and unstructured data gathered from online interactions prompted Teradata to form the “Petabyte club” in 2011 for its heaviest big data users.[92]

The rise of big data resulted in many traditional data warehousing companies updating their products and technology.[93] For Teradata, big data prompted the acquisition of Aster Data in 2011 for the company’s MapReduce capabilities and ability to store and analyze semi-structured data.[94]

Interest in big data resulted in a 13% increase in Teradata’s global sales.[95]

Teradata University Network

The Teradata University Network (TUN) was developed in 2001 as a web portal and educational resource for students and faculty studying database, data warehousing, business intelligence and decision support systems. It is provided to lecturers, students, and other faculty free of charge. The goal of the TUN is to build a collaborative IT education community at the undergraduate and graduate levels. TUN materials consist of syllabi, articles and book chapters, research papers, case studies, software tools, and web seminars.[96]

MicroStrategy, the founding business intelligence partner in the Teradata University Network, allows students and instructors to use its business intelligence software through the TUN. Additionally, MicroStrategy hosts a Teradata server in its in-house laboratory to test software compatibility with Teradata's new releases, creating an integrated technology partnership.[97] Other partners in the Teradata University Network are SAS, KXEN, Planners Lab, Tableau, and the Sam M. Walton College of Business at the University of Arkansas.[98] As of 2011, TUN consisted of over 2,300 faculty members from 1,200 universities in 80 countries.[99]

Teradata Certified Professional Program

The Teradata Certified Professional Program is a testing program meant to measure the abilities of professionals using Teradata products. Teradata offers several exams for technical users and one exam for business professionals in non-technical roles, such as marketing and sales.[100]

Competition

Teradata's main competitors are other high-end solutions from vendors such as Oracle, IBM, and Sybase IQ which is based on a massively parallel/shared nothing architecture. Recent competition has arisen from data warehouse appliance vendors such as Netezza[101] (IBM is set to acquire Netezza[102]), DATAllegro (acquired in August 2008 by Microsoft), ParAccel, Greenplum (acquired in July 2010 by EMC), and Vertica Systems (acquired in February 2011 by HP), and from packaged data warehouse applications such as SAP and Kalido. These slowed Teradata's penetration into the mid-market and some verticals, particularly energy.

Recognition

Teradata database software is well regarded by industry analysts based on their independent verification of performance against a broad range of competitors. Independent analyst firm Forrester Research in 2009 issued a report, "The Forrester Wave: Enterprise Data Warehouse Platform," by James Kobielus,[103] rating Teradata the industry's number one enterprise data warehouse platform in the "Current Offering" category. Forrester awarded the company perfect scores in 11 categories, including "Professional Services," "Corporate Direction" and "Product Direction."

Marketing research company Gartner Group placed Teradata in the "leaders quadrant" in its 2009 and 2010 report "Magic Quadrant for Data Warehouse Database Management Systems".[104]

In 2010, Teradata was listed in Fortune’s annual list of Most Admired Companies.[105]

Philanthropy

The Teradata Cares program is Teradata’s main philanthropic effort and community relations program. Teradata establishes volunteer efforts in communities with Teradata offices and encourages employees to participate at these programs by giving them four days a year to volunteer during working hours.[106] As of 2010, Teradata Cares was active in 45 cities in 14 countries.[107]

Teradata Cares programs include youth education programs to promote science and technology, bike and blanket donations,[108] and participation in already established programs such as Junior Achievement and United Way.[109]

Teradata has a supplier diversity program that designates a minimum of 3 to 5% of spending on minority, women, veteran, or small business vendors.[110]

Office Locations

Teradata has offices in four locations within the United States:

Teradata also has offices in 38 countries[111] :

  • Argentina
  • Canada
  • Colombia
  • Brazil
  • Chile
  • Mexico
  • Pakistan
  • Russia
  • Belgium
  • Czech Republic
  • Germany
  • Finland
  • Portugal
  • Italy
  • Netherlands
  • Sweden
  • Poland
  • Austria
  • Turkey
  • Egypt
  • France
  • Ireland
  • Hungary
  • Norway
  • Switzerland
  • United Kingdom
  • Australia
  • New Zealand
  • Singapore
  • Indonesia
  • Malaysia
  • The Philippines
  • Thailand
  • India
  • Korea
  • China
  • Japan
  • Taiwan

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