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Datadog Acquires Eppo to Expand Its AI, Product Analytics, Experimentation and Feature Flag Capabilities

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Datadog (NASDAQ: DDOG) has acquired Eppo, a feature flagging and experimentation platform, to enhance its Product Analytics suite. The acquisition creates a comprehensive end-to-end product analytics solution that combines observability with experimentation and feature flags. This integration enables engineers to track code changes, data science leaders and product managers to design and measure impact through experiments, and business analysts to analyze product usage and outcomes.

The acquisition is particularly significant for AI workloads, as Eppo's experimentation capabilities help developers safely scale complex systems by measuring user experience impact in real time. This allows teams to compare multiple AI models, evaluate user engagement against costs, and ensure measurable value delivery. Eppo will continue operating as Eppo by Datadog, supporting existing and new customers.

Datadog (NASDAQ: DDOG) ha acquisito Eppo, una piattaforma di feature flagging e sperimentazione, per potenziare la sua suite di Product Analytics. Questa acquisizione crea una soluzione completa di product analytics end-to-end che unisce osservabilità, sperimentazione e feature flag. L'integrazione consente agli ingegneri di monitorare le modifiche al codice, ai leader di data science e ai product manager di progettare e misurare l'impatto tramite esperimenti, e agli analisti di business di analizzare l'uso e i risultati del prodotto.

L'acquisizione è particolarmente rilevante per i carichi di lavoro AI, poiché le capacità di sperimentazione di Eppo aiutano gli sviluppatori a scalare in modo sicuro sistemi complessi misurando in tempo reale l'impatto sull'esperienza utente. Questo permette ai team di confrontare più modelli AI, valutare l'engagement degli utenti rispetto ai costi e garantire una consegna di valore misurabile. Eppo continuerà a operare come Eppo by Datadog, supportando clienti attuali e nuovi.

Datadog (NASDAQ: DDOG) ha adquirido Eppo, una plataforma de feature flagging y experimentación, para mejorar su suite de Product Analytics. Esta adquisición crea una solución integral de análisis de productos de extremo a extremo que combina observabilidad con experimentación y feature flags. Esta integración permite a los ingenieros rastrear cambios en el código, a los líderes de ciencia de datos y gerentes de producto diseñar y medir el impacto mediante experimentos, y a los analistas de negocio analizar el uso y los resultados del producto.

La adquisición es especialmente significativa para las cargas de trabajo de IA, ya que las capacidades de experimentación de Eppo ayudan a los desarrolladores a escalar sistemas complejos de manera segura midiendo en tiempo real el impacto en la experiencia del usuario. Esto permite a los equipos comparar múltiples modelos de IA, evaluar el compromiso del usuario frente a los costos y asegurar una entrega de valor medible. Eppo continuará operando como Eppo by Datadog, apoyando a clientes existentes y nuevos.

Datadog (NASDAQ: DDOG)은 기능 플래깅 및 실험 플랫폼인 Eppo를 인수하여 자사의 제품 분석(Product Analytics) 제품군을 강화했습니다. 이번 인수로 관측성(observability)과 실험 및 기능 플래그(feature flags)를 결합한 종합적인 엔드투엔드 제품 분석 솔루션이 탄생했습니다. 이 통합은 엔지니어가 코드 변경 사항을 추적하고, 데이터 과학 리더와 제품 관리자가 실험을 통해 영향력을 설계 및 측정하며, 비즈니스 분석가가 제품 사용 및 결과를 분석할 수 있게 합니다.

이번 인수는 AI 워크로드에 특히 중요합니다. Eppo의 실험 기능은 개발자가 사용자 경험에 미치는 영향을 실시간으로 측정하여 복잡한 시스템을 안전하게 확장할 수 있도록 돕습니다. 이를 통해 팀은 여러 AI 모델을 비교하고, 사용자 참여도와 비용을 평가하며, 측정 가능한 가치 제공을 보장할 수 있습니다. Eppo는 앞으로도 Eppo by Datadog으로 운영되며 기존 및 신규 고객을 지원할 예정입니다.

Datadog (NASDAQ : DDOG) a acquis Eppo, une plateforme de feature flagging et d'expérimentation, afin d'améliorer sa suite Product Analytics. Cette acquisition crée une solution complète d'analyse produit de bout en bout, combinant observabilité avec expérimentation et feature flags. Cette intégration permet aux ingénieurs de suivre les modifications de code, aux responsables data science et aux chefs de produit de concevoir et mesurer l'impact via des expériences, et aux analystes métier d'analyser l'utilisation et les résultats du produit.

L'acquisition est particulièrement importante pour les charges de travail IA, car les capacités d'expérimentation d'Eppo aident les développeurs à faire évoluer en toute sécurité des systèmes complexes en mesurant en temps réel l'impact sur l'expérience utilisateur. Cela permet aux équipes de comparer plusieurs modèles d'IA, d'évaluer l'engagement des utilisateurs par rapport aux coûts et d'assurer une livraison de valeur mesurable. Eppo continuera d'opérer sous le nom Eppo by Datadog, en soutenant les clients existants et nouveaux.

Datadog (NASDAQ: DDOG) hat Eppo, eine Plattform für Feature-Flagging und Experimentierung, übernommen, um seine Produktanalyse-Suite zu erweitern. Durch die Übernahme entsteht eine umfassende End-to-End-Produktanalyse-Lösung, die Beobachtbarkeit mit Experimenten und Feature-Flags kombiniert. Diese Integration ermöglicht es Ingenieuren, Codeänderungen zu verfolgen, Datenwissenschaftlern und Produktmanagern, den Einfluss durch Experimente zu gestalten und zu messen, sowie Business-Analysten, die Produktnutzung und Ergebnisse zu analysieren.

Die Übernahme ist besonders bedeutend für KI-Workloads, da Eppos Experimentierfunktionen Entwicklern helfen, komplexe Systeme sicher zu skalieren, indem sie die Auswirkungen auf die Nutzererfahrung in Echtzeit messen. So können Teams mehrere KI-Modelle vergleichen, das Nutzerengagement im Verhältnis zu den Kosten bewerten und eine messbare Wertschöpfung sicherstellen. Eppo wird weiterhin als Eppo by Datadog operieren und bestehende sowie neue Kunden unterstützen.

Positive
  • Integration creates a unified platform for product analytics, reducing the need to stitch together multiple tools
  • Enhanced capabilities for measuring AI model performance and business impact
  • Real-time measurement of user experience impact
  • Improved risk management and quality control for product deployments
Negative
  • Potential integration challenges between Datadog and Eppo platforms
  • Increased complexity in managing combined feature sets

Insights

Datadog's acquisition of Eppo creates an end-to-end analytics solution that simplifies measuring AI feature impact and reduces development risk.

Datadog's acquisition of Eppo represents a strategic enhancement to their product ecosystem by incorporating feature flagging and experimentation capabilities into their existing Product Analytics suite. This addresses a significant pain point highlighted in their announcement: developers currently must "stitch together analytics from various tools across engineering, product and business teams" to understand feature impact, often deploying changes without clear visibility into their business effects.

The integration creates a unified platform where engineering teams can track code changes with feature flags, data scientists and product managers can design and measure experiments, and business analysts can analyze overall product usage – all within a single system. This consolidation eliminates silos between technical implementation and business outcomes.

This acquisition is particularly timely given the growing complexity of AI application development. Eppo's experimentation capabilities directly address the challenge of quantifying the business impact of "different models, agent behaviors, prompts or UI changes" in AI systems. The ability to compare multiple approaches side-by-side enables teams to make data-driven decisions about tradeoffs between user engagement and infrastructure costs.

For Datadog customers, this expansion transforms the platform from primarily monitoring and observability into a comprehensive solution that spans from code deployment through impact measurement. This end-to-end visibility is especially valuable for organizations deploying AI features where unexpected behaviors can have significant consequences.

Datadog strengthens its market position by adding AI experimentation capabilities, expanding its addressable market and competitive differentiation.

This acquisition represents a logical extension of Datadog's product strategy beyond its core observability strengths into adjacent areas of the development workflow. By integrating Eppo's feature flagging and experimentation platform, Datadog is addressing critical gaps in how organizations deploy and measure the impact of software changes, particularly for AI applications.

From a market positioning perspective, this acquisition expands Datadog's addressable market by moving beyond monitoring into product analytics and feature management. This creates a more comprehensive development platform that potentially increases the company's strategic value to customers who would otherwise need to integrate multiple specialized tools.

The timing aligns perfectly with the rapid expansion of AI workloads across industries. As organizations deploy increasingly complex AI systems, Datadog now offers capabilities to "measure the impact to the overall user experience in real time and accelerate the safe roll-out of changes." This positions the company to capture more value from the growing AI development market, where experimentation and feature flagging are essential for responsible deployment.

For existing Datadog customers, particularly those developing AI applications, this acquisition provides added value through reduced tool fragmentation and improved ability to measure business impact. The announcement indicates Eppo will continue as "Eppo by Datadog," suggesting a gradual integration approach that maintains continuity for current users while expanding Datadog's platform capabilities.

Combining observability with experimentation and feature flags will help companies build high-quality products faster and with less risk, especially when using AI

NEW YORK, May 05, 2025 (GLOBE NEWSWIRE) --  Datadog, Inc. (NASDAQ: DDOG), the monitoring and security platform for cloud applications, today announced it has acquired Eppo, a feature flagging and experimentation platform, which will tightly integrate with Datadog’s existing Product Analytics suite.

Today, application developers need to stitch together analytics from various tools across engineering, product and business teams to understand the impact of their new features and improvements. Changes are often rolled out without understanding their impact to KPIs, making it difficult to tie these changes back to business outcomes.

With its acquisition of Eppo, Datadog creates a full end-to-end product analytics solution on one platform. This unified approach means that engineers can track code changes with feature flags, data science leaders together with product managers can design and measure impact with experiments, and business analysts can use Datadog’s Product Analytics suite to understand overall product usage and business outcomes.

As AI workloads grow, Eppo’s experimentation capabilities help developers safely scale complex systems. These capabilities can measure the impact to the overall user experience in real time and accelerate the safe roll-out of changes, ultimately creating a more agile and trustworthy development workflow.

“The use of multiple AI models increases the complexity of deploying applications in production. This complexity makes it difficult for developers to quantify the business impact of different models, agent behaviors, prompts or UI changes,” said Michael Whetten, VP of Product at Datadog. “Experimentation solves this correlation and measurement problem, enabling teams to compare multiple models side-by-side, determine user engagement against cost tradeoffs and ultimately build AI products that deliver measurable value."

“Eppo wants to bring a high velocity, experiment-first culture to companies of every size, stage and industry,” said Chetan Sharma, founder and CEO of Eppo. “With Datadog, we are uniting product analytics, feature management, AI and experimentation capabilities for businesses to reduce risk, learn quickly and ship high-quality products.”

Eppo will continue supporting existing customers and bringing on new customers as part of Eppo by Datadog.

About Datadog

Datadog is the observability and security platform for cloud applications. Our SaaS platform integrates and automates infrastructure monitoring, application performance monitoring, log management, user experience monitoring, cloud security and many other capabilities to provide unified, real-time observability and security for our customers' entire technology stack. Datadog is used by organizations of all sizes and across a wide range of industries to enable digital transformation and cloud migration, drive collaboration among development, operations, security and business teams, accelerate time to market for applications, reduce time to problem resolution, secure applications and infrastructure, understand user behavior and track key business metrics.

Forward-Looking Statements

This press release may include certain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended including statements on the benefits of new products and features. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Actual results may differ materially from those described in the forward-looking statements and are subject to a variety of assumptions, uncertainties, risks and factors that are beyond our control, including those risks detailed under the caption “Risk Factors” and elsewhere in our Securities and Exchange Commission filings and reports, including the Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 20, 2025, as well as future filings and reports by us. Except as required by law, we undertake no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events, changes in expectations or otherwise.

Contact
Dan Haggerty
press@datadoghq.com


FAQ

What is the purpose of Datadog's acquisition of Eppo?

Datadog acquired Eppo to create a unified end-to-end product analytics solution that combines observability, experimentation, and feature flags, helping companies build better products faster and measure AI workload impact more effectively.

How will the Eppo acquisition affect DDOG's AI capabilities?

The acquisition enhances Datadog's AI capabilities by enabling developers to compare multiple AI models, measure user engagement against costs, and ensure measurable value delivery through Eppo's experimentation features.

Will Eppo continue to operate independently after the DDOG acquisition?

Yes, Eppo will continue supporting existing customers and accepting new ones as 'Eppo by Datadog'.

What are the main benefits of the Datadog-Eppo integration for developers?

Developers can track code changes with feature flags, design and measure impact through experiments, and analyze product usage and business outcomes all on a single platform, reducing the need for multiple tools.

How does the Eppo acquisition help companies manage AI workloads?

Eppo's experimentation capabilities help companies safely scale complex AI systems by measuring real-time user experience impact and enabling side-by-side comparison of multiple models.
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