Datadog Named a Leader in the 2025 Gartner(R) Magic Quadrant(TM) for Observability Platforms

Rhea-AI Summary

Datadog (NASDAQ: DDOG), a cloud application monitoring and security platform provider, has been named a Leader in the 2025 Gartner Magic Quadrant for Observability Platforms for the fifth consecutive year. This recognition is based on Datadog's ability to execute and completeness of vision in the application performance monitoring (APM) and observability market.

The designation as a Leader indicates that Datadog effectively executes against its current vision and is well-positioned for future market demands. Customer testimonials highlight the platform's valuable insights, clean user interface, and continuous innovation in features like APM, USM, and Watchdog for proactive alerting.

Insights

Enterprise Software Industry Analyst

Datadog's 5th consecutive Gartner leadership position solidifies market dominance and validates product strategy in competitive observability market.

Datadog's fifth consecutive recognition as a Leader in Gartner's Magic Quadrant for Observability Platforms represents a significant competitive advantage in the cloud monitoring market. Gartner evaluates vendors based on two critical dimensions: Ability to Execute and Completeness of Vision, with Leaders excelling in both areas.

This sustained leadership position carries substantial weight in enterprise purchasing decisions. The observability market remains highly competitive with players like New Relic, Dynatrace, and Splunk all vying for market share. Maintaining Leader status for five years demonstrates Datadog's consistent product execution and forward-looking strategy.

The customer testimonials highlight key differentiators: continuous innovation, user interface excellence, and proactive issue detection through their Watchdog AI capabilities. Most notably, customers emphasized how Datadog's custom metrics functionality has revealed previously undetected application behaviors—the holy grail of observability tools.

Datadog's strategic focus on AI integration, mentioned by Chief Product Officer Yanbing Li, aligns perfectly with current market demands as organizations increasingly incorporate AI into their technology stacks. This focus positions Datadog to expand its value proposition beyond traditional monitoring into AI-powered operations optimization.

The timing is particularly advantageous as enterprises face greater complexity in cloud environments and heightened pressure for operational reliability. While this recognition doesn't directly impact financial metrics, it strengthens Datadog's competitive positioning and validates their product roadmap direction, potentially supporting continued growth in a market increasingly driven by AI capabilities and comprehensive observability solutions.

Positioned based on its Ability to Execute and Completeness of Vision

New York, New York--(Newsfile Corp. - July 10, 2025) - Datadog, Inc. (NASDAQ: DDOG), the monitoring and security platform for cloud applications, today announced it has been named a Leader in the Gartner Magic Quadrant for Observability Platforms, 2025. This is the fifth consecutive year Gartner has positioned Datadog as a Leader in the Magic Quadrant.

The Gartner Magic Quadrant for Observability Platforms is a culmination of the Gartner research of the application performance monitoring (APM) and observability market. A Magic Quadrant provides a graphical competitive positioning of four types of technology providers, in markets where growth is high and provider differentiation is distinct: Leaders execute well against their current vision and are well positioned for tomorrow; Visionaries understand where the market is going or have a vision for changing market rules, but do not yet execute well; Niche Players focus successfully on a small segment, or are unfocused and do not out-innovate or outperform others; Challengers execute well today or may dominate a large segment, but do not demonstrate an understanding of market direction.

Customer feedback is vital to Datadog's product innovation. Below are two recent reviews of Datadog from the company's profile on Gartner Peer Insights™:

"Datadog provides incredible insights into complex tooling. They continue to innovate and add new features regularly throughout the year, and their CSM [customer success management] team is very responsive and helpful," said a Senior Director of Engineering at a software company. "The user interface is very clean and easy to use, even with a tremendous amount of data and features. The APM and USM [universal service monitoring] features have been invaluable additions to our observability and helping us remediate issues quickly. The Watchdog feature has also been terrific for proactive alerting of things that didn't have specific monitors set up."

"The insights that we're able to get by building custom metrics within Datadog have been invaluable. We've managed to catch behaviors within our application that we otherwise wouldn't have caught, and it's helped us create a more reliable experience for our customers," said an SRE Engineer at a healthcare and biotech company.

"It is significant for us to see Gartner name Datadog a Leader in its Magic Quadrant for Observability Platforms for a fifth straight year," said Yanbing Li, Chief Product Officer at Datadog. "Product innovation and R&D continue to be key focus areas for us as both Datadog and our customers embrace AI to build and improve applications, workflows and cloud environments. We look forward to working with our user base to further our product strategy and leadership in the market."

The full report is now available for download here: https://www.datadoghq.com/resources/gartner-magic-quadrant-observability-platforms-2025/.

Gartner disclaimer
Gartner, Magic Quadrant for Observability Platforms, Gregg Siegfried, Matt Crossley, Padraig Byrne, Andre Bridges, Martin Caren, 8 July 2025

GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the US and internationally, and Peer Insights and MAGIC QUADRANT are registered trademarks of Gartner, Inc. and/or its affiliates and are used herein with permission. All rights reserved. This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from Datadog.

Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

Gartner Peer Insights content consists of the opinions of individual end users based on their own experiences with the vendors listed on the platform, should not be construed as statements of fact, nor do they represent the views of Gartner or its affiliates.

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 May 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
Dan Haggerty
press@datadoghq.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/258322

FAQ

What recognition did Datadog (DDOG) receive from Gartner in 2025?

Datadog was named a Leader in the 2025 Gartner Magic Quadrant for Observability Platforms, marking its fifth consecutive year in this position.

What makes Datadog a Leader in the Gartner Magic Quadrant?

Datadog was recognized for its strong ability to execute against its current vision and being well-positioned for future market demands in the observability space.

What key features do customers praise about Datadog's platform?

Customers praise Datadog's clean user interface, APM and USM features, Watchdog proactive alerting, and the ability to build custom metrics for enhanced application monitoring.

How is Datadog incorporating AI into its strategy?

Datadog is focusing on product innovation and R&D, particularly in integrating AI to enhance applications, workflows, and cloud environments for their customers.

Where can investors find the complete Gartner Magic Quadrant report for Datadog?

The full report is available for download at datadoghq.com/resources/gartner-magic-quadrant-observability-platforms-2025/.