All articles tagged with #teradata
Teradata told its about 5,100 employees that 2026 salary increases would be paused to reallocate funds to AI investments, with performance bonuses and equity still possible; the move mirrors a broader trend of funding AI by cutting compensation, as seen with TTEC's paused 401(k) matches, while analysts note AI spending is rising but remains a relatively small share of revenue, raising concerns about morale as workforces adapt.
Teradata's stock plummeted by 23.4% following the release of its fourth-quarter results and forward guidance, despite the company's strong Q4 performance. The company's pivot to the cloud showed promise, but a significant decline in on-premise solutions and underwhelming 2024 forecasts led to a ratings downgrade from Bank of America. While management remains confident in hitting its targets, analysts are concerned about the company's path to reaching its public cloud ARR goal by 2025 and weak free-cash-flow growth.