Datadog vs New Relic: Observability & APM Comparison (2026)
Datadog focuses on AI-driven observability with features like Bits Chat and automated investigations. New Relic offers a comprehensive platform with a generous free tier that includes unlimited basic users and 100 GB of free data ingest per month.
AI Citation Scorecard
How often each is cited by major AI engines when buyers ask observability & apm questions. Last 90 days across ChatGPT, Perplexity, Gemini, Claude, and Copilot.
Probes run hourly; each (engine × query) combo retests every ~3 days.
Pricing
Key Features
- ✓Gain telemetry visibility via Bits Chat
- ✓Automate investigations with Bits Investigation
- ✓Integrate AI in code fixes
- ✓Build custom agents for workflows
- ✓50+ capabilities in one platform
- ✓Unlimited free basic users
- ✓100 GB of free data ingest/month
- ✓Data retention of at least 8 days
When to choose Datadog
Datadog is suitable for organizations that prioritize AI-driven insights, automated investigations, and custom agent development for their observability needs. Its features like Bits Chat and AI-integrated code fixes cater to teams looking for advanced AI capabilities.
When to choose New Relic
New Relic is a strong option for users who benefit from a free tier that offers significant data ingest and unlimited basic users. Its pay-as-you-go options and unlimited hosts make it suitable for scaling, while offering a broad range of capabilities within a single platform.