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NCR/Teradata Launches MDM Product Family

| August 4, 2006 | Data Management | Competitive Intelligence Report
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Analyst: James Kobielus


Current Perspective:
Positive
Vendor Importance: High
Market Impact: High


Event Summary

On August 3rd, the Teradata division of NCR Corporation announced the introduction of a new master data management (MDM) software product family that helps customers ensure the consistency, completeness, and accuracy of master reference data maintained in Teradata-based data warehouses. The vendor announced the immediate availability of two new MDM applications: Teradata MDM and Teradata Product Information Management (PIM). It also announced that other MDM applications, including offerings for customer data integration (CDI) and risk management, are in development and will be available at a later date.

Analytical Summary

• Current Perspective: Positive on NCR/Teradata’s launch of its master data management (MDM) product family. NCR/Teradata has significantly strengthened its DW platform by adding an MDM software product family.

• Vendor Importance: High to NCR/Teradata, as its new MDM product family allows the vendor to position itself as a one-stop source of hardware, software, support, and consulting for enterprise MDM and DW requirements.

• Market Impact: High on the MDM market, because NCR/Teradata is an acknowledged leader in the DW segment, and the vendor’s launch of MDM-focused software products, optimized to work with its DW platform, provides it with a critical product offering necessary to defend and grow its market share.

Recommended Competitor Actions

• Rival MDM vendors, including i2, IBM, Oracle, SAP, TIBCO, Business Objects, Hyperion, and Cognos, should hail NCR/Teradata’s move as a positive for the MDM space, inasmuch as it validates that DW deployments are incomplete without strong MDM features such as bidirectional synchronization of master data across multiple instances of enterprise applications, data model and hierarchy management, and role-based data governance.

• Rival DW/DBMS software vendors, such as IBM and Oracle, should position NCR/Teradata’s MDM solutions as being optimized for that vendor’s DBMS, which is essentially a second-tier offering in the enterprise database market.

• EII vendors, such as Ipedo, MetaMatrix, and Composite Software, should point out that NCR/Teradata only addresses single-master MDM environments that revolve around consolidated DWs, and it does not support multi-master federated query and other EII functions necessary for “virtual MDM.”

• Data quality vendors should note that NCR/Teradata still lacks standalone data cleansing tools: in other words, data cleansing tools that are not tied to Teradata’s DBMS platform. Data quality vendors should call attention to the lack of marketing visibility for Teradata’s data quality tools to insinuate that the vendor is not seriously committed to the data quality market.

• DW appliance vendors should call attention to the likely multimillion-dollar price tag of the typical Teradata-based MDM/DW deployment, and note that less expensive MDM/DW solutions can be assembled from low-end DW appliances and various combinations of open-source and commercial software.

Recommended End User / Customer Actions

• Enterprises with MDM requirements should evaluate NCR/Teradata’s new products against MDM software offerings from other vendors, including i2, IBM, Oracle, SAP, TIBCO, Business Objects, Hyperion, and Cognos. Evaluation criteria should include price-performance, functionality, deployment flexibility, and integration with their complex, heterogeneous, multi-vendor data management and application infrastructures.

• Current users of NCR/Teradata’s DW, DBMS, CPM, data mining, data quality, and data modeling products should evaluate the new MDM products’ degree of integration with their existing Teradata-based DW and MDM infrastructures.

• Current users of competing MDM software should evaluate whether NCR/Teradata’s new offerings better meet their needs than their current provider, and hence whether they should consider migrating to Teradata’s MDM software in whole (for all enterprise MDM needs) or in part (for CDI, PIM, and/or other MDM subject domains). If they are contemplating migrating to Teradata for MDM, they should investigate whether the vendor has the requisite migration tools and professional services.

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