Datadog Announces Expanded Collaboration Agreement, Highlights New Capabilities with AWS Across AI, Observability and Security at AWS re:Invent

Rhea-AI Summary

Datadog (NASDAQ: DDOG) announced a new Strategic Collaboration Agreement (SCA) with AWS and unveiled multiple product capabilities across AI, observability, and security at AWS re:Invent on December 3, 2025. The announcement highlights integrations and previews for LLM observability, storage and Lambda cost recommendations, ECS/EKS and Lambda managed instance visibility, AI-augmented remediation, Observability Pipelines packs, and Cloud SIEM risk insights.

The collaboration covers solution development, AWS Marketplace availability, and go-to-market programs to support cloud migrations, modernization, security, and GenAI deployments for joint customers globally.

Positive

• Signed Strategic Collaboration Agreement with AWS on December 3, 2025
• Introduced LLM Observability for Amazon Bedrock Agents (in preview)
• Launched AWS-specific Observability Pipelines Packs (in preview)
• Added AWS Lambda and Amazon RDS automated cost and instance recommendations

Negative

• Many announced capabilities are in preview and not generally available
• No financial terms or revenue impact disclosed for the SCA

News Market Reaction

-0.42%

1 alert

-0.42% News Effect

On the day this news was published, DDOG declined 0.42%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

AWS collaboration duration: 10+ years Total integrations: more than 1,000 AWS-specific integrations: 100

3 metrics

AWS collaboration duration 10+ years Length of Datadog–AWS joint innovation referenced in SCA announcement

Total integrations more than 1,000 Total integrations customers use to monitor AWS with Datadog

AWS-specific integrations 100 Integrations unique to AWS within Datadog’s integration catalog

Market Reality Check

Price: $119.02 Vol: Volume 2,643,625 is below...

low vol

$119.02 Last Close

Volume Volume 2,643,625 is below the 20-day average of 4,357,790, suggesting subdued trading ahead of the AWS collaboration news. low

Technical Shares at $149.90 are trading above the 200-day MA of $131.97, and about 25.68% below the 52-week high of $201.69.

Peers on Argus

While DDOG was down 0.9%, key software peers like PAYX, TEAM, WDAY, ROP and ADSK...

While DDOG was down 0.9%, key software peers like PAYX, TEAM, WDAY, ROP and ADSK all showed positive moves between about 0.3% and 1.5%, indicating today’s softness was more stock-specific than sector-driven.

Historical Context

5 past events · Latest: Dec 03 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 03	AWS AI collaboration	Positive	-0.4%	New AWS SCA plus AI, observability and security integrations announced.
Dec 02	AI agent launch	Positive	-0.9%	Launch of Bits AI SRE agent to automate incident investigation.
Nov 19	Leadership hire	Positive	-0.1%	Appointment of Field CTO for Financial Services to deepen vertical focus.
Nov 11	Investor conferences	Neutral	-3.5%	Participation in multiple investor conferences across November–December.
Nov 10	Product launch	Positive	-0.9%	Launch of Storage Management for Amazon S3 to cut object storage costs.

Pattern Detected

Recent positive product, AI and go-to-market announcements have often been followed by modest negative price reactions, suggesting a pattern of selling into upbeat news.

Recent Company History

Over the last month, Datadog has steadily expanded its AI and observability offerings. On Nov 10, it launched Storage Management for cloud object storage, followed by investor conference appearances announced on Nov 11 and a financial-services Field CTO hire on Nov 19. In early December, Datadog rolled out the Bits AI SRE agent on Dec 2 and then a new AWS Strategic Collaboration Agreement on Dec 3 with multiple AI and observability launches. Despite the strategic focus on AI and cloud optimization, shares often saw mild pullbacks after these updates.

Market Pulse Summary

This announcement extends Datadog’s role as a strategic AWS partner via a new Strategic Collaboratio...

Analysis

This announcement extends Datadog’s role as a strategic AWS partner via a new Strategic Collaboration Agreement and numerous AI, observability and security integrations across services like Lambda, ECS, S3 and Bedrock. It builds on a 10+ year relationship and follows a series of AI-focused launches in 2025, including Bits AI SRE and expanded LLM observability. Investors may watch adoption of these new capabilities, continued AI feature rollouts, and upcoming financial disclosures to assess how this collaboration translates into usage and revenue trends.

Key Terms

strategic collaboration agreement, llm, aws lambda, amazon s3, +4 more

8 terms

strategic collaboration agreement regulatory

"Datadog signs new Strategic Collaboration Agreement with AWS"

A Strategic Collaboration Agreement is a formal plan between two companies to work together toward common goals, like sharing resources or developing new products. It matters because it helps both companies grow faster and compete better by combining their strengths, much like teammates collaborating to win a game.

llm technical

"including LLM and agentic applications, cloud object storage"

A large language model (LLM) is an advanced computer system trained on vast amounts of written text to understand and generate human-like language, similar to a very fast, well-read assistant that can summarize documents, draft messages, or answer questions. Investors care because LLMs can speed up research, automate customer support, and reduce costs, while also creating new product opportunities and risks around accuracy, bias, and regulatory oversight that can affect a company’s performance.

aws lambda technical

"Support for AWS Lambda Managed Instances (in Preview): Gain full visibility"

AWS Lambda is a cloud service that runs small pieces of software automatically when triggered, without the user having to set up or manage servers. For investors, it matters because it lets businesses scale computing tasks up or down and pay only for actual usage, which can reduce operating costs, speed product delivery, and affect a company’s competitive edge and margins.

amazon s3 technical

"Get granular visibility into Amazon S3 buckets and prefixes"

Amazon S3 is a cloud storage service that lets businesses and individuals store, retrieve and back up large amounts of digital data over the internet instead of on physical hard drives. For investors, S3 matters because it generates steady, scalable revenue and underpins many online services — like a utility grid for data — so its adoption, pricing and reliability can influence a company's growth, margins and operational risk.

amazon relational database service technical

"Amazon Relational Database Service (Amazon RDS) Instance Recommendations"

A cloud service that runs and maintains common relational databases for businesses, handling tasks like installation, backups, security patches and scaling so customers don’t have to manage servers themselves. For investors, it matters because using a managed service can lower a company’s technology costs, speed product launches, and reduce operational risk—factors that affect profitability, growth potential and the reliability of the company’s IT-dependent operations.

kubernetes technical

"Bits AI Kubernetes Active Remediation: Accelerate issue resolution"

Kubernetes is an open-source system that automates running and managing many pieces of software across groups of computers, like a conductor coordinating musicians so each piece plays at the right time and place. For investors, it matters because companies that use it can deploy updates faster, scale services up or down automatically, and cut infrastructure costs — factors that influence growth, reliability and operating margins.

cloud siem technical

"Cloud SIEM Risk Insights: Identify risks and AI misconfigurations"

A Cloud SIEM is a security tool that collects and analyzes information about a company's computer systems and online activity, all stored and managed over the internet. It helps organizations spot and respond to potential threats quickly, much like a security guard monitoring multiple cameras remotely to keep the premises safe.

serverless technical

"Bits AI Serverless Remediation (in Preview): Troubleshoot issues running serverless"

A cloud computing model where a company writes and runs pieces of application code while a cloud provider automatically handles the underlying computers and scaling, so the company doesn’t manage servers themselves. Think of it like ordering meals from a restaurant instead of stocking, cooking and cleaning a kitchen: it can lower upfront costs, speed product launches and scale with demand, but it also shifts control and dependence to the provider—factors investors watch for impacts on costs, growth and risk.

AI-generated analysis. Not financial advice.

Datadog signs new Strategic Collaboration Agreement with AWS, building on 10+ years of joint innovation and outcomes for customers

Las Vegas, Nevada--(Newsfile Corp. - December 3, 2025) - Datadog, Inc. (NASDAQ: DDOG), the monitoring and security platform for cloud applications, today at AWS re:Invent announced a new strategic collaboration agreement (SCA) with Amazon Web Services (AWS) and showcased multiple product launches across AI, observability and security to help organizations running on AWS to monitor, optimize and secure their cloud environments.

"These launches further extend Datadog's ability to deliver AI-powered observability and security at scale. They cover all aspects of a customers' tech stack, including LLM and agentic applications, cloud object storage, and containerized and serverless infrastructure, so that joint customers can migrate to and manage their AWS, hybrid and multi-cloud environments with confidence," said Yanbing Li, Chief Product Officer at Datadog.

Customers use Datadog to monitor their AWS environment through more than 1,000 total integrations, including 100 unique to AWS.

"When issues arise, the real value isn't just in identifying what's broken, but in understanding the entire stack—otherwise it's easy to miss the forest for the trees amid the cascade of events triggered by a single problem," said Sean Fernandez, CIO at ROLLER. "Datadog gives us a unified view of our AWS environment through a single pane of glass, correlating everything in seconds rather than the hours we once spent sifting through multiple systems. This has helped de-risk our cloud transformation efforts by giving us the observability needed to modernise confidently and reduce costs while we continue to focus on bringing value to our customers in the form of reliable, secure and compliant technology services."

The new Datadog product capabilities for joint AWS customers showcased at re:Invent include:

• LLM Observability: Monitor, operate and debug agent workflows for both Amazon Bedrock Agents and Strands Agents Framework.
• Storage Management: Get granular visibility into Amazon S3 buckets and prefixes, enabling teams to eliminate waste and prevent unexpected cloud object storage spend.
• Datadog MCP Server Integration with AWS DevOps Agent (in Preview): Automate incident resolution by enabling AWS DevOps Agent to query Datadog logs, metrics, and traces during investigations.
• Support for Datadog MCP Server in Kiro (in Preview): Fix bugs more effectively within your IDE by giving Kiro full Datadog context including errors, recent deployments, linked tickets, and more.
• New Kiro power from Datadog (in preview): Specialize your Kiro agents for observability use cases by one-click download of MCP server and steering files for use in Kiro to enable debugging of production issues and develop better code.
• Support for AWS Lambda Managed Instances (in Preview): Gain full visibility into AWS Lambda Functions running on EC2.
• Support for Amazon Elastic Container Service (ECS) Managed Instances (in Preview): Monitor and troubleshoot workloads running on Amazon ECS Managed Instances.
• Support for Amazon ECS Express Mode: Gain visibility into containers running on ECS Express Mode.
• Bits AI Serverless Remediation (in Preview): Troubleshoot issues running serverless applications on AWS with AI-augmented remediation.
• Bits AI Kubernetes Active Remediation: Accelerate issue resolution for Amazon EKS workloads with AI-guided, evidence-based recommendations.
• AWS Lambda Cost Recommendations: Automatically identify saving opportunities for AWS Lambda, such as optimizing provisioned concurrency or deleting redundant Amazon CloudWatch logs in AWS Lambda.
• Amazon Relational Database Service (Amazon RDS) Instance Recommendations: Automatically source optimizations for Amazon RDS instances, such as when an instance has low disk space, high disk queue depth or read-only traffic.
• Observability Pipelines Packs for AWS (in Preview): Speed up data processing with predefined, ready-to-use Packs for Amazon Virtual Private Cloud (Amazon VPC), AWS CloudTrail and Amazon CloudFront.
• Observability Pipelines S3 Log Rehydration (in Preview): Quickly access and reprocess historical logs from Amazon S3 to any destination.
• AI Security for AWS Resources: Detect AI misconfigurations to bolster the security of Amazon Bedrock.
• Cloud SIEM Risk Insights: Identify risks and AI misconfigurations across AWS and multi-cloud environments to prioritize investigations.

Part of an ongoing commitment to deliver value to joint customers, Datadog has also signed a new Strategic Collaboration Agreement (SCA) with AWS. Through deeper collaboration with AWS on solution development, AWS marketplace availability, and go-to-market programs, Datadog will help customers de-risk cloud migrations, accelerate modernization, secure AWS and multi-cloud environments, and confidently deploy GenAI capabilities on AWS. Datadog's collaboration spans all regions and industries, including public sector, enterprise and ISVs, and strengths Datadog's position as a strategic partner of AWS.

"As cloud-native applications and AI workloads accelerate, observability and security across AWS environments are top of mind for enterprise customers," said Jarrod Buckley, Vice President of Channels and Alliances at Datadog. "Expanding our global collaboration with AWS enables continued innovation to help customers become more resilient, reduce risk, and achieve time-to-value faster."

"AWS is committed to working with partners like Datadog to help customers innovate and succeed in the AI era," said Chris Grusz, Managing Director, Technology Partnerships at AWS. "As organizations increasingly rely on AI-powered applications, observability has become essential for ensuring performance, reliability, and cost optimization at scale. Through this strategic collaboration and new integrations with AWS services, we're making it easier for customers to gain deep insights into their AWS infrastructure and applications, enabling them to build with confidence and accelerate their AI initiatives."

To learn more about Datadog's integrations and solutions for joint AWS customers, please visit: https://www.datadoghq.com/solutions/aws/. Datadog will host a webinar to recap the announcements made at re:Invent—register here.

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 Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on November 7, 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
Nermin Bajric
press@datadoghq.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/276760

FAQ

What did Datadog (DDOG) announce at AWS re:Invent on December 3, 2025?

Datadog announced a new Strategic Collaboration Agreement with AWS and multiple AI, observability, and security integrations and previews for AWS services.

Which new Datadog features for AWS are in preview after the DDOG announcement?

Preview features include LLM Observability, MCP Server integrations, ECS/EKS and Lambda managed instance support, Observability Pipelines packs, and AI remediation tools.

How will the Datadog and AWS collaboration affect DDOG customers?

Datadog said the collaboration aims to de-risk cloud migrations, accelerate modernization, secure multi-cloud environments, and enable GenAI deployments for joint customers.

Does the Datadog SCA with AWS include financial terms or timelines for DDOG?

No financial terms, specific deal value, or timelines were disclosed in the announcement.

Will Datadog’s new AWS integrations improve cost management for DDOG customers?

Datadog introduced AWS Lambda cost recommendations and S3 storage visibility to help identify savings and reduce unexpected cloud object storage spend.