FAQ about TMs and TBs as Investments in Future AI

What are translation memories (TMs) and termbases (TBs)

A translation memory (TM) is a database that stores sentences or segments of text in one language alongside their translated equivalents in another language. In practice, whenever a translator works on new content, any sentence that has been translated before can be retrieved from the TM so it doesn’t have to be translated from scratch again. A termbase (TB), on the other hand, is an organized glossary of terminology – it contains important terms or phrases and their approved translations. Termbases help ensure that everyone uses the same consistent translations for key terms (like product names, legal phrases, or industry jargon).

Translation memories and termbases are fundamental tools for human translators. They improve consistency and efficiency by reusing past translations and enforcing standard terminology. Over time, a company builds up large TMs and TBs that reflect its preferred wording and style in multiple languages. These resources have long been valuable for speeding up translation projects and maintaining quality – and now they are becoming strategic assets for powering AI systems as well.

Are custom multilingual AI models now affordable for medium-sized companies?

Not long ago, training a large language model from scratch was prohibitively expensive. Early advanced models (like the original GPT-3 in 2020) were estimated to cost several million dollars in computing power to train, often taking months on specialized hardware. Only tech giants with deep pockets could undertake such projects, while other organizations had to rely on generic pre-trained models.

Today, however, we’re seeing a paradigm shift. Major cloud providers like Amazon Web Services (AWS), Microsoft Azure, OpenAI, and Anthropic now offer ways to fine-tune pre-trained language models at a fraction of the former cost. Instead of building an AI model from zero, companies can take an existing large model and train it further on their own data. For example, in December 2025, Amazon announced new features in its Bedrock and SageMaker AI platforms to simplify model customization – including reinforcement fine-tuning workflows that can significantly boost model accuracy. These tools, along with similar offerings from Azure and OpenAI, greatly reduce the cost and complexity of building custom AI applications. Microsoft’s Azure Machine Learning service, for instance, provides a platform that supports fine-tuning language models and deploying them without the need for huge infrastructure investments. In short, fine-tuning a large language model on your own data is no longer an exotic, multimillion-dollar endeavour – it’s becoming a standard business practice.

For translation agency clients, this shift means that even medium-sized companies can now consider training or refining AI models that understand their specific domain and languages. Instead of having to use a one-size-fits-all AI, a business could have an AI that “speaks” their language – literally and figuratively – by incorporating the company’s unique terminology, product information, and communication style. Fine-tuning a model with company-specific bilingual data (like your TMs and TBs) can significantly improve the AI’s performance on tasks such as answering customer emails or handling support chats in multiple languages. In essence, an AI model tailored to your business can communicate with your customers more naturally and accurately because it has learned from your organization’s own content.

Why is structured language data critical for AI training?

As AI model customization becomes more accessible, the fuel for these models is increasingly the organization’s own data. For language-focused AI, multilingual content like translation memories and termbases becomes critical training material. A translation memory is essentially a repository of paired sentences in different languages (source and target), and a termbase is a database of approved translations for important terms and phrases. Together, these resources represent a company’s accumulated linguistic knowledge – everything the company has already translated, along with how it prefers to phrase things.

This bilingual content is incredibly valuable for training AI. By fine-tuning a model on your existing TMs and TBs, you infuse the AI with your enterprise’s specific vocabulary and writing style across all supported languages. Studies have shown that fine-tuning large language models with in-house translation memory data makes the models significantly better at using the correct domain-specific terminology and mimicking the desired style, resulting in higher-quality translations and responses. In one example, leveraging a company’s own TM enabled a custom model to handle highly specialized texts with the correct jargon and nuanced phrasing far better than a generic out-of-the-box model could. Essentially, the AI learns from past human translations – it becomes more adept at recognizing the preferred terms and phrasing that your translators have established over time.

This trend also elevates the role of the translation provider. Translation agencies like TTN TSM are not just delivering translated documents anymore; they are becoming stewards of their clients’ multilingual knowledge assets. Rather than letting your translation archives sit idle, a provider such as TTN TSM can maintain and curate these linguistic databases in a way that makes them ready for AI use. Many language service providers are already exploring this opportunity, and TTN TSM is well positioned to do the same. By leveraging the trove of human-vetted translations you’ve accumulated, a translation agency can help develop custom AI models tailored to your domain, thereby enhancing quality and maximizing the long-term value of your translation data. In effect, your past translations are not just static files in storage – they are the foundation for future multilingual AI that can reflect your organization’s terminology, style, and subject-matter expertise with precision.

What is retrieval-augmented generation (RAG)?

One of the latest developments in AI is something called “retrieval-augmented generation” (RAG). Even a fine-tuned language model can struggle with very up-to-date information or answering detailed, fact-based queries. RAG is a method where the AI model isn’t limited to just the data it was trained on; instead, it’s connected to an external knowledge source (such as a database of documents or a knowledge base) at the time it’s generating an answer. In other words, when the AI gets a question, it can retrieve relevant information from an outside source in real time and use that to help generate a more accurate response. The benefit of this approach is called “grounding” – the AI’s answers are backed by real, specific evidence from your data, rather than relying only on what the model remembered during training. Grounding the AI’s responses in actual reference text dramatically reduces the risk of “hallucinations” (the AI making up confident-sounding but incorrect information), because the model is being guided by real facts or approved content when formulating its reply.

Clean translation memories and termbases can serve as part of that external knowledge source for an AI system. Imagine you have a multilingual chatbot or virtual assistant. Whenever it’s unsure about how to translate a phrase or how to answer a question about your products, it could consult a database of your past translations or your approved terminology. This is a form of retrieval-assisted generation – the AI is trained not only to generate answers, but also to pull in context from relevant documents (in this case, your curated bilingual content) when needed. Over time, the model learns when and how to consult these references, and it becomes much better at grounding its responses in real, company-approved information instead of just guessing. The result is an AI assistant that consistently uses the right product names, legal disclaimers, and technical terminology in any language, because it has been trained to fetch those details from your carefully maintained TMs and TBs whenever appropriate.

Why does translation data need to be clean for AI?

All of these AI advantages only hold if the underlying data is clean and well-maintained. If your translation memory is full of duplicate entries, outdated translations, or inconsistent wording, those flaws will be learned and replicated by the AI model as well. Training or fine-tuning an AI on messy data can lead to a model that unknowingly propagates errors or produces unpredictable outputs. Likewise, if your termbase contains ambiguous or incorrect translations for terms, an AI-powered assistant built on that data might start giving customers confusing or wrong information. In short, garbage in, garbage out – an AI is only as good as the data you feed it.

This is why investing time and effort in clean TMs and TBs is so crucial for future-proofing your business. Data cleaning and curation might not sound glamorous, but it has become a cornerstone of AI success. Inaccurate or outdated data leads to flawed predictions and a lack of trust in the AI’s outputs, whereas well-curated, up-to-date data allows AI systems to perform at their best, delivering precise and reliable results. Think of your multilingual content as the training diet for your AI: a balanced, high-quality diet will produce a healthy, high-performing model, whereas a junk-food diet of errors and inconsistencies will lead to a weak model with problematic behavior.

For a translation agency and its clients, ensuring clean data means a few practical things in day-to-day operations. It means linguists and project managers diligently update the translation memory with only validated, proofread translations (rejecting any translations that don’t meet quality standards). It means removing or flagging duplicate segments and purging deprecated translations – for example, old company slogans or outdated product descriptions that are no longer relevant. It also means expanding and updating the termbase with clear, approved terminology (and usage notes if necessary), so there’s little room for ambiguity about how to translate key terms. By doing all this, the agency ensures that when it comes time to fine-tune an AI model or deploy a multilingual chatbot, the training dataset is accurate, consistent, and aligned with the company’s current standards and voice. The AI will then learn exactly the right way to address your customers in each language, mirroring the same quality and tone that human translators have achieved.

Why are translation memories and termbases an investment in the future of AI?

Looking ahead, the line between translation services and AI services is blurring. Translation providers are becoming key partners in building multilingual AI solutions because they hold the very data that makes these AI systems effective. When you collaborate with a translation agency, you’re not only getting documents translated today – you’re also enriching a repository of bilingual knowledge that could be used to train tomorrow’s AI customer service agent or internal knowledge assistant. As cloud platforms like AWS and Azure roll out ever more powerful tools for custom AI development, and as OpenAI and others continue to lower the barriers to fine-tuning, the competitive advantage will go to organizations that have rich, clean, domain-specific data ready to use. Companies with well-maintained TMs and TBs will be in the best position to quickly build AI models that speak their language and understand their content.

In this context, maintaining clean TMs and TBs isn’t just about translation efficiency; it’s a strategic investment in your organization’s AI readiness. A well-maintained translation memory can be thought of as a parallel corpus of everything your company has ever communicated to customers in each language – essentially, a goldmine for training a custom multilingual AI. A termbase is like the company’s own multilingual dictionary of approved nomenclature – a key resource to ensure an AI system uses the correct terms (imagine an AI assistant that never gets your product names wrong or never mistranslates regulatory phrases). By treating these assets with care now, you ensure that any AI you deploy in the future will have a trustworthy knowledge base to draw from.

Business leaders should find this prospect exciting. It means that the work you’re doing today in translation and localization has direct value for your future AI projects. You won’t need to start from zero when building a multilingual AI assistant – you likely have years’ worth of high-quality translated content and terminology already on hand, waiting to be leveraged. The important caveat, of course, is that this data must be managed properly. Just as you maintain clean financial records knowing they will feed into accurate business intelligence reports, you should maintain clean linguistic records knowing they will feed into accurate AI language models.

Ultimately, the importance of translation memories and termbases extends far beyond just helping human translators. These resources are becoming the bedrock of multilingual AI capabilities. By keeping them clean, comprehensive, and up-to-date, your company positions itself to train AI models that truly understand your content and can communicate with your audience accurately and confidently. In a future where AI handles more customer interactions and content creation across languages, having a solid multilingual data foundation will be a key differentiator. Translation agencies, with their expertise in managing linguistic data, are natural allies in this journey. Ensuring clean TMs and TBs today is one of the best ways to prepare for an AI-driven tomorrow – a future where high-quality multilingual data will be the fuel that drives superior customer experiences in every language.