CData Unveils Cloud Service to Accelerate Embedded Data Connectivity for AI-Driven Software

/ AI, Application Development
CData Unveils Cloud Service to Accelerate Embedded Data Connectivity for AI-Driven Software

The News

CData Software announced a major expansion in its embedded connectivity offerings with the launch of CData Embedded Cloud, a new service aimed at small to midsize software companies. Designed to support the rising demand for AI-ready data access, the platform enables rapid deployment of over 160 data connectors within customer applications. To read more, visit the original press release here.

Analysis

CData’s expansion is a direct response to one of the most pressing challenges in the AI era—data accessibility. According to industry data, 64% of enterprises cite “lack of real-time data access” as a barrier to successful AI deployment. McKinsey research shows that reducing integration friction can increase developer velocity by up to 30%. By delivering a cloud-native, embedded solution with over 160 connectors ready out of the box, CData empowers developers to eliminate bottlenecks and accelerate AI delivery cycles. As AI use cases multiply, the ability to rapidly connect to enterprise systems and cloud data sources will become foundational to product success—and CData is setting the new benchmark.

Rising Demand for Embedded Connectivity in the Age of AI

The application development ecosystem is rapidly evolving as AI adoption moves from prototyping to large-scale deployment. According to industry analysts, by 2026, over 75% of application development will involve AI services or components, fueling demand for real-time, seamless access to diversified data sources. Data connectivity is no longer an infrastructure afterthought—developers now view it as a competitive differentiator. CData’s push into cloud-based embedded connectivity reflects the broader trend of **”connectivity as a service”—a critical enabler for software teams building AI-integrated solutions at scale.

How CData Embedded Cloud Impacts Developers

With the launch of CData Embedded Cloud, the company has shifted its strategic offering to simplify and streamline how developers embed data connectors into SaaS and enterprise platforms. Instead of dedicating engineering resources to build and maintain connectors, development teams can now integrate 160+ pre-built connectors in less than two weeks with minimal overhead. This shift allows product teams to focus on AI feature delivery, improving time-to-market and boosting developer productivity. CData’s handling of credential management, performance tuning, and security updates eliminates significant complexity from the development cycle.

Traditional Approaches to Data Integration Fall Short

Historically, developers have relied on monolithic ETL pipelines, custom APIs, and brittle connector SDKs to enable application data integration. These solutions were often slow to deploy, hard to scale, and costly to maintain—especially for fast-growing software firms. Furthermore, data silos and API fragility have made it difficult to deliver real-time AI insights across applications. As AI needs grow, these limitations have become unacceptable for businesses that require reliable, low-latency access to operational data across systems.

Transforming How Developers Enable AI-Ready Data

CData’s new service presents a turnkey alternative to traditional data integration practices. Its embedded-first design enables developers to deploy connectivity at the UI and API level without deep backend customization. With native access to cloud data sources like Salesforce, Okta, and PingOne, development teams can focus on higher-value functions—such as building real-time AI workflows and automating data prep for LLMs. This shift will likely influence architecture decisions as teams reevaluate build-vs-buy trade-offs for connectivity.

Looking Ahead

As the demand for AI-augmented applications continues to surge, the market for embedded connectivity will evolve from niche utility to strategic necessity. Industry experts forecast that by 2027, over 70% of enterprise applications will rely on external data sources accessed through API-first connectivity layers. CData’s introduction of an embedded cloud platform is a prescient move, positioning the company as a backbone provider for SaaS and enterprise development teams seeking to operationalize AI quickly and securely.

CData’s long-term trajectory appears increasingly robust. Backed by a $350 million investment from Warburg Pincus and fresh momentum from key industry players like Google Cloud and Salesforce, the company is well-positioned to lead the embedded connectivity category. With continued portfolio expansion, enhancements to connector performance, and strategic customer success hires, CData is cementing its role as a vital infrastructure layer for modern software innovation.

Author

  • Paul Nashawaty, Practice Leader and Lead Principal Analyst, specializes in application modernization across build, release and operations. With a wealth of expertise in digital transformation initiatives spanning front-end and back-end systems, he also possesses comprehensive knowledge of the underlying infrastructure ecosystem crucial for supporting modernization endeavors. With over 25 years of experience, Paul has a proven track record in implementing effective go-to-market strategies, including the identification of new market channels, the growth and cultivation of partner ecosystems, and the successful execution of strategic plans resulting in positive business outcomes for his clients.

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