Observe Secures $50M Investment, Unveils Generative AI
San Mateo-based tech startup Observe has secured $50 million in series A3 debt financing led by Sutter Hill Ventures. This financial boost coincides with the launch of Observe’s latest platform iteration, ‘Hubble,’ integrating cutting-edge generative AI capabilities.
Observe’s Hubble release introduces a refreshed interface coupled with generative tools. These tools assist users in various aspects of their operations, including:
- Product support
- Coding
- RegEx generation
- Incident workflows
This transformative update promises to amplify platform users’ productivity by up to 25%.
In today’s tech landscape, enterprises grapple with complex and distributed applications generating vast amounts of telemetry data, including logs, metrics, and traces. Observe, founded in 2017 by industry veterans, offers a unified Observability cloud that consolidates all this data into one accessible location. This approach speeds up troubleshooting, incident detection, and resolution. According to Jeremy Burton, Observe’s CEO,
“Observe puts all data in a single, low-cost Data Lake (built on Snowflake) and eliminates silos for logs, metrics, and traces.”
Since its inception, Observe has garnered approximately 60 paying customers, including well-known brands like TopGolf, Edgio, Linedata, and Auditboard. The company’s annual contract value has consistently doubled each year, a trend expected to continue.
Differentiating with Generative AI Innovations
While Observe faces competition in the observability market, it distinguishes itself by eliminating silos of logs, metrics, and traces through its unified data lake. Furthermore, Observe’s Hubble update brings significant enhancements to the platform. This includes an in-product chatbot assistant, RegEx generation tools, and a co-pilot for generating query language code in response to natural inputs.
“Hubble also features improved scalability and performance. With this launch, Observe is now capable of ingesting over one petabyte of data per day into a single instance,” Burton stated.
The funding secured in this round will expand the company’s sales team, aligning with the growing demand for modern observability solutions. By the end of 2024, Observe aims to increase its team headcount from 150 to 250 employees.
Observe’s strategic approach and generative AI advancements position the company for continued success in the observability market.
