Snowflake to acquire Observe for $1 billion
Snowflake, the cloud data company, is set to buy AI-powered observability platform Observe for $1 billion.
The move aims to help businesses manage their tech systems more smoothly and cut monitoring costs by up to 60%.
By bringing Observe into its platform, Snowflake is looking to enable enterprises to ingest and retain all of their telemetry data more efficiently.
Why this matters
This deal isn't just about saving money—it also means faster problem-solving for companies using AI.
Observe's tools can spot issues early and connect the dots across huge amounts of data.
As CEO Sridhar Ramaswamy explains, observability is a key data problem impacting business outcomes.
With this acquisition, Snowflake hopes to grab a bigger slice of the $51.7 billion IT operations market and help companies shift from reacting to problems to preventing them with smart AI tools.