Snowflake announces the acquisition of observability platform Observe for about $1 billion

2026-01-08 · Publisher : Snowflake · Domain : Cloud & DevOps

Snowflake signs an agreement to acquire Observe, an observability platform built on Snowflake. Terms are not disclosed; press reports mention about $1 billion, Snowflake's largest acquisition.

What changes

  • Snowflake announces an agreement to acquire Observe; terms not disclosed, about $1 billion according to the press.
  • Goal: logs, metrics and traces stored in the Data Cloud, with an "AI SRE".
  • Approach based on Apache Iceberg and OpenTelemetry.
  • Observe had raised $316 million; $750 million valuation in July 2025.

### Background On 8 January 2026, **Snowflake** announced a definitive agreement to acquire **Observe**, vendor of an AI-powered observability platform. Financial terms are not disclosed. According to TechCrunch, the value is about **$1 billion**, which would make it Snowflake's largest acquisition. The deal remains subject to regulatory approval. ### Key facts - Snowflake wants to integrate Observe natively into its "AI Data Cloud" to collect and keep logs, metrics and traces in one place, alongside business data. - Announced argument: spotting and fixing incidents "10x faster" than before (vendor wording), thanks to an "AI SRE" and a unified context graph. - The approach relies on open standards: Apache Iceberg and OpenTelemetry. - Observe, founded in 2017 by Jacob Leverich, Jonathan Trevor and Ang Li, has raised $316 million; its latest valuation was $750 million in July 2025. Its CEO, Jeremy Burton, has sat on Snowflake's board since 2015. ### Why it matters Telemetry reaches volumes that make it look more and more like a data problem: storing it in an analytical warehouse rather than a dedicated tool is Snowflake's thesis. For SRE teams, it is a different cost model from legacy vendors, with the risk of tying observability to a data platform already very present in the company. Openness through OpenTelemetry remains the point to check. ### Takeaway Snowflake treats observability as a data workload and buys Observe to position itself there.

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Tags : Observabilité, Acquisition, Données, Open Source