Grafana Labs, the company behind the open observability cloud, today announced a year of strong momentum across customer adoption, product innovation, and market recognition. Over the company's past fiscal year, which ended Jan. 31, Grafana Labs continued to scale its business while helping thousands of organizations turn signals into action across increasingly complex, AI-driven systems.
Sustained Business Growth and Market Leadership
Grafana Labs entered 2026 with accelerating growth across every dimension of the business:
- Annual recurring revenue: Surpassed $400M, driven by continued expansion of Grafana Cloud and growing adoption among large, software-led enterprises.
- Customer growth: Now supports 7,000+ organizations worldwide, including 70% of the Fortune 50.
- Global expansion: The company added 100+ employees and established a new subsidiary in Japan to accelerate local market growth.
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Industry recognition:
- Named a Leader in the 2025 Gartner® Magic Quadrant™ for Observability Platforms, positioned furthest for Completeness of Vision
- Ranked #13 on Forbes’ Cloud 100, marking the fifth consecutive year on the list
- Named a Leader in GigaOm’s Cloud Performance Testing Radar Report
- Recognized as Best Observability Solution for Grafana Cloud in the 2025 DevOps Dozen Awards
This momentum reflects a clear trend: as software systems become increasingly distributed, AI-driven, and business-critical, teams are opting for open observability – built on open source, open standards, and open ecosystems – to avoid lock-in and move faster with confidence.
Powering the Next Generation of AI Companies
As AI-native companies push infrastructure to its limits, observability has become foundational. Over the past year, Grafana Labs deepened its role as critical infrastructure for teams building the next era of AI.
“The pace of innovation in software and AI is only accelerating, and our customers are feeling that complexity every day,” said Anthony Woods, co-founder of Grafana Labs. “This past year showed that open observability isn’t just a philosophy, it’s a practical advantage. From AI-native startups to the world’s largest enterprises, teams are choosing Grafana Cloud so they can understand their systems, control costs, and move at the speed their businesses demand.”
AI leaders, including Anthropic, Lovable, and OutSystems, rely on Grafana Cloud to operate complex, fast-moving systems in production. These teams use Grafana to:
- Monitor rapidly evolving AI workloads across metrics, logs, traces, and profiles
- Debug distributed systems where model inference, data pipelines, and user experience intersect
- Control telemetry cost while maintaining deep visibility as usage scales unpredictably
From training pipelines to real-time inference, Grafana Labs is helping AI builders keep their systems reliable, efficient, and understandable as complexity explodes.
Product Innovation: Expanding the Open Observability Cloud
In 2025, Grafana Labs shipped some of its most ambitious product innovation to date, with a focus on making observability easier and more actionable for every team.
Actually Useful AI
A major highlight of the year was Grafana Assistant, now adopted by thousands of customers across Grafana Cloud, including SpotOn, LexisNexis Risk Solutions, and MasterControl. Built directly into the Grafana Cloud experience, Assistant helps users move faster by:
- Answering questions across metrics, logs, traces, profiles, and infrastructure context
- Generating dashboards, queries, and explanations without starting from a blank page
- Lowering the barrier to entry for new users while accelerating experienced SREs
“One of the biggest use cases for us is reducing the cognitive load on engineers,” said Neil Wilson, Director of Software Engineering, LexisNexis Risk Solutions. “Grafana Assistant helps us get to root cause faster—without needing deep expertise in every part of our complex system.”
Building on that foundation, the company also introduced Assistant Investigations, an autonomous agent for multi-step incident investigations. Currently in public preview, Assistant Investigations coordinates multiple specialized AI agents to analyze metrics, logs, traces, and profiles in parallel—collecting evidence, forming hypotheses, and delivering actionable recommendations. Deeply integrated with Grafana Cloud features such as Kubernetes Monitoring, Alerting, Fleet Management, Knowledge Graph, and Slack, Grafana Assistant and Assistant Investigations are grounded in real operational data, making them a practical, trusted companion for day-to-day troubleshooting and system understanding.
SaaS Economics Reimagined
As telemetry volumes grow alongside cloud-native and AI workloads, cost control has become a critical challenge. In 2025, Grafana Labs completed the Adaptive Telemetry suite across metrics, logs, traces, and profiles, giving customers a unified, intelligent way to manage telemetry volume and spend without sacrificing visibility.
Additional platform innovations included expanded deployment flexibility for enterprises and regulated industries:
- Grafana Bring Your Own Cloud: A fully managed Grafana Cloud environment running inside a customer’s own AWS or GCP account.
- Grafana Federal Cloud: Generally available with FedRAMP High and DoD IL5 compliance, enabling U.S. government agencies and contractors to run mission-critical observability workloads at scale.
Complexity Simplified
To help teams move from raw signals to action faster, Grafana Labs continued to invest in turnkey observability experiences that reduce operational complexity:
- Launched Grafana Cloud Knowledge Graph, enabling true full-stack observability by automatically mapping relationships across services, infrastructure, and telemetry
- Introduced new out-of-the-box solutions, including Instrumentation Hub and Database Observability, accelerating time to value for teams at any stage of observability maturity
- Expanded capabilities across Kubernetes Monitoring, Synthetic Monitoring, Cloud Provider Observability, and Fleet Management.
Together, these updates help teams understand complex systems more quickly, collaborate more effectively, and resolve issues before they impact customers.
Open strategy: open source, open standards, open ecosystems
Grafana Labs continued to build in the open, reinforcing open source, open standards, and an open ecosystem as long-term strategies for interoperability, scale, and user choice.
Open source
Grafana Labs advanced its open source portfolio with major releases across the stack. The release of Grafana 12 delivered major improvements to dashboards, data exploration, and extensibility, further cementing Grafana’s role as the default interface for understanding complex systems. Mimir 3.0 debuted at KubeCon North America, delivering significant improvements in performance, scalability, and operational efficiency for large-scale metrics workloads.
Open standards
Grafana Labs deepened its commitment to open standards that prevent vendor lock-in and keep data portable. Ted Young, OpenTelemetry co-founder, joined Grafana Labs, and in addition, Grafana Labs remains one of the top company contributors to both OpenTelemetry and Prometheus. The company also donated Beyla, its eBPF-based auto-instrumentation project, to the OpenTelemetry community, making it easier for teams to instrument applications with minimal overhead.
Open Ecosystems
Grafana’s open ecosystem follows a “big tent” philosophy, designed to integrate signals from any tool, vendor, or protocol. 160+ data source plugins enable teams to bring diverse telemetry and business data into Grafana without replacing their existing tools. Over the past year, Grafana Labs expanded observability beyond metrics, logs, and traces with 15 new data source plugins, including integrations with platforms such as Drone, Vercel, and Netlify, as well as business systems like Zendesk, connecting system performance directly to operational and customer outcomes.
Together, these innovations reflect Grafana Labs’ philosophy: build in the open, solve real operational problems, and help teams act – not just observe.
Gartner Disclosures
Gartner®, Magic Quadrant™ for Observability Platforms, By Gregg Siegfried, Matt Crossley, Padraig Byrne, Andre Bridges, Martin Caren, 7 July 2025
Gartner does not endorse any company, vendor, product or service depicted in its publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner publications consist of the opinions of Gartner’s business and technology insights organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this publication, including any warranties of merchantability or fitness for a particular purpose.
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About Grafana Labs
Grafana Labs, the company behind the open observability cloud, is founded on the principles of open source, open standards, open ecosystems, and open culture. Grafana Cloud, our fully managed observability platform, is flexible and built for scale, enabling organizations to see, understand, and act on all their disparate data so they can move at the speed of their ambitions. Today, more than 25 million users and 7,000+ customers – including Anthropic, Bloomberg, NVIDIA, Microsoft, and Salesforce – trust Grafana Labs to ensure reliability of their applications and systems, resolve incidents quickly, and optimize their telemetry to reduce noise and cost. We are a 100% remote company with 1,400+ team members across 40+ countries, and we’re backed by leading investors including Lightspeed Venture Partners, Sequoia Capital, GIC, Coatue, J.P. Morgan, CapitalG, and Lead Edge Capital. Learn more at grafana.com and follow us on LinkedIn and X.
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