What is Snowflake acquiring and why?

Snowflake is acquiring Observe, an observability platform, to create a unified system for collecting and analyzing telemetry data for its customers.

How much is Snowflake paying for Observe?

The acquisition of Observe by Snowflake is reportedly valued at around $1 billion.

What does Observe do for Snowflake customers?

Observe helps customers monitor software systems and data to find performance issues and bugs, and will be integrated to provide unified telemetry data collection.

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Snowflake Acquires Observe: Data Observability Gets Unified

8 Jan

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Summary

Snowflake is acquiring observability platform Observe for about $1 billion.
The acquisition aims to unify telemetry data collection and analysis.
This deal strengthens Snowflake's position in the AI data market.

Snowflake Acquires Observe: Data Observability Gets Unified

Snowflake has signed a definitive agreement to acquire Observe, a prominent observability platform, in a deal reportedly valued around $1 billion. This acquisition, announced on January 8, 2026, subject to regulatory approval, signifies a major step in Snowflake's strategy to consolidate data management and monitoring capabilities. Observe, founded in 2017, has specialized in providing software insights using Snowflake's database infrastructure from its inception.

The integration of Observe into Snowflake's ecosystem is designed to offer customers a singular platform for their telemetry data, encompassing logs, metrics, and traces. This unified approach is crucial for proactively identifying and rectifying issues within complex data stacks, a challenge amplified by the vast data generated by AI agents. Observe's existing infrastructure, built on Apache Iceberg and OpenTelemetry, aligns with Snowflake's architectural direction.