Article

Teradata enables AI Factories with NVIDIA for On-Premises AI/ML

Teradata enables AI factories to bring secure, scalable on-premises AI tools for innovation with compliance, NVIDIA integration, and data sovereignty.

September 8, 2025 6 min read

Introduction

AI adoption is accelerating across industries, transforming how organizations make decisions, automate processes, and unlock insights—but for industries with sensitive, regulated data, innovation must happen within strict boundaries. Financial institutions, healthcare providers, and government agencies need AI solutions that ensure security, compliance, and control.

Whether it’s handling financial records, safeguarding patient privacy, or securing classified information, the data sources for these workloads are often required to remain within organizational boundaries due to policy or regulatory mandates.

Consider a machine learning engineer at a global financial institution, tasked to deploy a fraud detection model that must stay entirely on-prem due to regulatory policies. Or a data scientist exploring generative AI applications within a protected environment. A data engineer building pipelines across structured and unstructured sources. Or an AI architect evaluating infrastructure for inference-heavy workloads with strict control over performance and governance.


These scenarios create a complex challenge: how to drive innovation with AI while maintaining control over data, infrastructure, and compliance. Teradata meets this challenge head-on. It delivers a secure, scalable, on-premises platform that empowers teams to build and deploy AI where the data lives—without compromising governance, performance, or cost predictability.

Teradata and NVIDIA Enables AI Factories

AI factories, running on Teradata and NVIDIA, are purpose-built AI platforms that bring advanced AI capabilities directly to your on-premises infrastructure, giving you the freedom to innovate without sacrificing control. They are ideal for organizations that need to harness the power of AI without compromising data sovereignty, security, privacy, or compliance requirements. Teradata’s AI factories offer a perfect balance. They ensure that sensitive data never leaves your trusted environment, while still giving you access to advanced AI capabilities.

Diagram illustrating Teradata AI Factory components, AI Workbench, Database Engine 20, and NVIDIA-powered AI microservices running on IntelliFlex with customer GPU support for accelerated compute.
Teradata with NVIDIA Integration

At its core, Teradata provides an easy-to-use AI software stack which includes a high-performance enterprise vector store and seamless integration with NVIDIA infrastructure. It delivers a scalable, secure, and high-performance environment for running AI workloads. Whether building machine learning models, fine-tuning large language models, or running complex deep learning tasks, Teradata, leveraging NVIDIA technologies, delivers a complete, out-of-the-box AI platform that makes it possible.

Key Features

To enable AI factories, Teradata delivers everything you need to build, deploy and scale AI. It brings together ​​Teradata​​ AI Workbench, Enterprise Vector Store, ClearScape Analytics®, and AI Microservices with NVIDIA to deliver a unified, enterprise-grade AI experience.

User-friendly, integrated Teradata AI Workbench 

AI factories go​​ beyond infrastructure or data storage; they simplify how development teams build, manage, and operationalize AI. They support data scientists building complex models, data engineers orchestrating workflows, and administrators focused on governance and compliance, delivering a seamless, secure experience across roles. AI Factories provide a secure, scalable environment with everything you need in one place, including:

  • Collaborative and controlled development 
    Multi-user JupyterHub with built-in resource management and Teradata-specific plugins enable secure, governed collaboration across teams—ideal for regulated industries and sensitive data environments. 
  • Flexible, multi-language support 
    Supports Python, R, and Teradata SQL to accommodate diverse data science workflows, empowering teams to innovate using familiar tools while maintaining compliance and control. 
  • Rapid innovation 
    Pre-built notebook accelerators enable rapid, repeatable AI/ML workflow deployment—empowering teams to innovate confidently and securely.
  • No-code exploration and visualization 
    Empower business and technical users to uncover insights quickly with integrated, code-optional tools for data exploration, visualization, and time-series analysis. 
  • Accelerated, governed automated machine learning (AutoML) 
    Build and deploy models faster using guided workflows that simplify development while ensuring operational integrity. 
  • Secure Generative AI experimentation 
    Seamlessly test Generative AI and RAG pipelines with built-in connectivity to the Enterprise Vector Store and LLMs—keeping sensitive data secure and AI innovation on premises.


Enterprise Vector Store

As AI applications scale, fast and efficient vector management becomes critical. Teradata's Enterprise Vector Store is built to store and retrieve billions of vector embeddings for generative AI use cases like retrieval-augmented generation ​(RAG)​, leveraging structured and unstructured data.​

  • Efficient embedding management: Generate, store, and retrieve embeddings across multiple data types with speed and precision. 
  • Advanced vector indexing and search: Power semantic search, recommendations, and GenAI use cases with intelligent vector search. 
  • Seamless integration with AI Frameworks: Seamlessly leverages NVIDIA infrastructure and supports native RAG workflows. 
  • Context-rich data management: Preserves embedding context for more accurate, meaningful insights. 

Diagram showing use cases of Teradata Enterprise Vector Store
Teradata Enterprise Vector Store enabled use-cases


Powerful ClearScape Analytics® for AI/ML 

ClearScape Analytics® provides in-engine analytics with over 150 AI/ML functions, enabling end-to-end real-time insights without data movement. It simplifies AI operations by enabling enterprises to process both structured and unstructured data efficiently, drive faster results, and support end-to-end model development entirely within their own infrastructure.

Teradata AI Microservices 

Teradata seamlessly integrates with NVIDIA NIM ​microservices ​and your GPUs to enable native RAG pipelines and model deployments within your on-premises environment. This integration allows enterprises to accelerate AI workloads while maintaining predictable, on-premises cost structures.

Key capabilities of the NVIDIA NIM integration:

  • Pre-built model access: Choose from over 80 optimized NVIDIA curated foundation models for tasks such as summarization, classification, and question answering. 
  • One-click deployment: Deploy models directly from the Teradata AI Workbench with a single click and instantly generate endpoints for application integration.
  • Embedded model cards: Review key metadata like benchmark performance, licensing terms, and resource requirements before deployment. 

Benefits of Teradata

Teradata’s AI factories offer a range of advantages that make them an ideal solution for developers looking to harness the power of AI while maintaining control over their data and costs.

Here’s why they stand out:

  • Secure and faster results: Maintain sensitive data and critical applications on-premises, meeting regulatory requirements and ensuring data sovereignty without sacrificing speed. Ideal for AI architects and data engineers working in regulated industries who must ensure security and compliance while delivering timely results.
  • Enhanced performance: Leverage customer-provided GPU capabilities for accelerated AI compute, transforming unstructured documents into valuable insights quickly and efficiently. ML engineers and data scientists benefit from faster model training and inference, allowing them to iterate quickly and drive deeper insights. 
  • Operational efficiency: Streamline AI operations with an integrated platform, reducing complexity while enhancing scalability. Manage the entire AI lifecycle, from development to deployment, without the hassle of juggling multiple tools. DevOps teams and ML engineers can automate workflows and manage models seamlessly, while data scientists stay focused on experimentation, not infrastructure. 
  • Cost management: Avoid unpredictable cloud expenses with a predictable on-premises cost model. Efficiently manage resources while keeping your budget under control. Engineering leaders and architects gain better visibility and control over budget, enabling sustainable scale without compromising capability. 
  • Innovation and experimentation: Empower data scientists and engineers to explore new AI techniques independently without risking business-critical SLAs. This flexibility encourages innovation while maintaining operational stability. Data scientists and AI developers can safely test and refine models, knowing the core environment is stable and secure for production workloads.

By providing a secure, scalable, and cost-efficient AI platform, Teradata helps developers accelerate AI adoption while keeping their data protected.

Conclusion

AI is reshaping industries and Teradata delivers the power of enterprise AI with the control, security, and scalability that today’s organizations demand. With intuitive development in Teradata AI Workbench, advanced AI functions of ClearScape Analytics®, scalable and performant storage of vector embeddings and GPU-accelerated performance with NVIDIA, Teradata brings together everything required for enterprise-grade AI - enabling organizations to confidently adopt and scale AI within their own environment, on their own terms.

AI is reshaping industries, and Teradata delivers the power of enterprise AI with the control, security, and scalability that today’s organizations demand. With intuitive development in ​Teradata ​AI Workbench, advanced AI functions of ClearScape Analytics, scalable and performant storage of vector embeddings and GPU-accelerated performance with NVIDIA, Teradata brings together everything required for enterprise-grade AI - enabling organizations to confidently adopt and scale AI within their own environment, on their own terms. 

To learn more about Teradata and NVIDIA, explore here.

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About Barry Silvester

Barry Silvester is the Senior Manager of Technical Product Marketing and a subject matter expert for VantageCloud Lake and AI Unlimited. With a rich background in Product Management, Barry previously led both software and hardware programs focused on business continuity, security, and Linux operating systems.

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About Vidhan Bhonsle

Vidhan is a Developer Advocate at Teradata and has over a decade of experience in developer relations, including developer education.

Vidhan strives to innovate and share his experience and knowledge with the future generation of developers.

Outside of his role at Teradata, Vidhan enjoys watching football games to unwind and chatting with people, sharing tech passions, and creating meaningful connections.

Connect with Vidhan on LinkedIn!

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