The company's platform includes a custom query language, OPAL, and an OpenAI-powered chatbot, O11y, to assist users. The platform can visualize newly generated data points immediately after ingestion, aiding in the quick detection of technical issues. Observe's platform also estimates the urgency of technical issues to help engineers prioritize their remediation efforts. Following the funding round, the company plans to expand its sales team to maintain its revenue momentum, which saw a 171% growth in annual recurring revenue and a 174% jump in net retention rate.
Key takeaways:
- Observe Inc. has closed a $115 million investment led by Sutter Hill Ventures, with participation from Snowflake Ventures, Capital One Ventures, and Madrona Ventures.
- The company's new valuation is between $400 million and $500 million, which is 10 times higher than its worth after the previous funding round.
- Observe's platform uses AI to analyze diagnostics data from a company's applications to detect technical issues and provides troubleshooting tools for software teams.
- The company's annual recurring revenue grew by 171% in the past year, and it plans to expand its sales team with the new investment.