Observe Inc. has raised $145 million in a Series B funding round to propel the launch of “Project Voyager,” an AI-powered observability tool designed to enhance incident management and system monitoring. Led by Evolution Equity Partners and Madrona Ventures, the funding aims to scale operations and drive further innovation as digital infrastructure grows increasingly complex.
The Growing Importance of AI-Powered Observability
As businesses face the challenges of managing vast amounts of machine-generated data, DevOps, Engineering, and SRE teams are often overwhelmed by the complexity of modern IT systems. The inability to resolve incidents quickly can harm both company reputations and customer experiences. Observe Inc. addresses these challenges with “Project Voyager,” an AI-driven solution aimed at revolutionizing how companies handle observability and incident management.
Project Voyager and AI Investigator
A standout feature of Project Voyager is the AI Investigator, a network of domain-specific AI agents designed to assist on-call engineers in troubleshooting and resolving issues more efficiently. Whether it’s navigating complex Kubernetes environments or generating queries for AWS, the AI Investigator acts as a digital assistant, overseen by a master “AI Planner” that helps reduce the mean time to resolution (MTTR).
CEO Jeremy Burton shared the company’s vision for a unified platform: “The introduction of Observe APM fulfills our original goal—to ingest data into a single data lake, analyze it using a single query language, and provide access through a consistent user interface. The AI Investigator takes this a step further, automating much of the troubleshooting process to reduce MTTR.”
Simplifying Observability with OpenTelemetry-Native APM
Project Voyager extends its innovation to OpenTelemetry-Native APM and Snowflake Observability, offering a more integrated and efficient approach to monitoring modern IT environments. Unlike traditional observability tools, which can be complex and costly, Observe provides a streamlined, AI-enhanced solution that simplifies data ingestion, analysis, and response to incidents.
Kate Holterhoff, a senior analyst at RedMonk, praised the advancements, stating, “Leveraging AI for observability is a game-changer. Observe’s AI-powered investigation features are a promising step forward in this growing industry.”
With OpenTelemetry-Native APM, teams gain immediate visibility into services, traces, and spans, making incident tracking and troubleshooting more efficient. Additionally, Observe retains all data for up to 13 months without downsampling traces—a significant improvement over legacy systems that often store only a fraction of the data.
Impressive Growth and Strategic Investment
Observe Inc.’s recent launch of Project Voyager comes on the heels of exponential growth, with Annual Recurring Revenue (ARR) increasing by over 200% year-over-year and Net Revenue Retention (NRR) surpassing 190%. The company has also built a strong customer base, including prominent enterprises like Capital One and Commonwealth Bank of Australia.
The $145M Series B funding will help Observe expand its engineering and sales teams to meet rising demand. Soma Somasegar, Managing Director of Madrona Ventures, will join Observe’s board, adding valuable expertise as the company continues to scale.
Karthik Subramanian, Partner at Evolution Equity Partners, highlighted the company’s unique approach: “Observe was the first to recognize that observability is fundamentally a data problem. Their approach to optimizing the economics and speed of troubleshooting for modern IT stacks is transformative. We are excited to support them as they continue to grow.”
Seamless Snowflake Integration
As part of Project Voyager, Observe has also introduced Snowflake Observability, now available through the Snowflake Marketplace. This integration allows users to monitor performance and system health without moving telemetry data outside of Snowflake, ensuring security and efficiency. Customers can access up to 1TiB of Snowflake data each month for free.
Molham Aref, CEO of Relational AI, emphasized the benefits of this integration: “We guarantee that no customer data leaves their Snowflake accounts. Observe’s native integration with Snowflake, along with its support for OpenTelemetry, made it the perfect choice for us.”
Looking Ahead: The Future of AI-Powered Observability
With top-tier investor backing and the cutting-edge capabilities introduced through Project Voyager, Observe Inc. is poised to lead the next wave of AI-powered observability solutions. As businesses seek more efficient ways to manage complex IT systems and minimize downtime, Observe’s innovative tools will be essential in shaping the future of data observability for modern distributed applications.