Observe closed $156 million in a Series C funding round led by Sutter Hill Ventures with participation from Madrona Ventures, Alumni Ventures, Snowflake Ventures and Capital One Ventures.
Observe's platform consists of three core components:
- O11y Data Lake™: A highly scalable, low-cost data lake optimized for observability that streams logs, metrics, traces, and events in real-time, using open standards like OpenTelemetry and Apache Iceberg.
- O11y Knowledge Graph™: A real-time contextual model of the user's entire system, mapping services, resources, users, incidents, and deployments.
- O11y AI SRE™: Agentic AI that doesn't just detect issues, but starts with generating better instrumentation, assisting complex troubleshooting and closing the loop.
"System resilience begins and ends with full-stack observability. It is foundational for AI, provides visibility into resource utilization and is part of the magic of powering personalized customer experiences," said Sean Leach, Partner, Capital One Ventures. "Observe is executing on a bold vision for modern observability, and we're continuing to invest to fuel their growth as they meet demand."
"Observe understood from the start that AI is only as powerful as the data behind it," said Harsha Kapre, Director, Snowflake Ventures. "As AI reshapes the future of software development, Observe is uniquely positioned to help enterprises build more reliable agents and applications while containing costs at scale. This investment deepens our partnership and underscores our belief in their long-term vision."
With this Series C funding, Observe will continue investing in product development, AI innovation, and global hiring. As enterprises adapt to a new world where every system, service, and agent generates actionable data, Observe is emerging as the leader in AI-powered observability at cloud scale.
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