Databricks and Snowflake are getting into the business of GenAI; what does this mean for operators?
"Offering LLMs that are native to data platforms will accelerate operators’ adoption of GenAI capabilities, but it is likely to create vendor lock-in and data fragmentation challenges."
Data is the fuel for AI and is becoming the foundation for AI-related application developments. This trend is a driver of recent activities by data platform providers, especially Databricks and Snowflake, two of the relatively new data platform players targeting the telecoms market. Both companies are integrating data and AI capabilities within their data platforms and have recently launched their own large language models (LLMs) with a view to democratising access to GenAI capabilities. Another objective is to provide secure and private data environments to facilitate customers’ GenAI application development.
Analysys Mason views these activities as being beneficial to the acceleration of GenAI development. However, there are risks of vendor lock-in and fragmented development practices that may affect the pace of innovation for operators that adopt GenAI.
This article is based on our research and data from the Communications service provider data and AI/analytics activity tracker, and provides an overview of Databricks's and Snowflake’s recent AI activities.
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