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Datadog vs IBM Instana Observability comparison

 

Comparison Buyer's Guide

Executive SummaryUpdated on Aug 10, 2025

Review summaries and opinions

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Categories and Ranking

Datadog
Ranking in Application Performance Monitoring (APM) and Observability
1st
Average Rating
8.6
Reviews Sentiment
7.1
Number of Reviews
188
Ranking in other categories
Network Monitoring Software (4th), IT Infrastructure Monitoring (3rd), Log Management (4th), Container Monitoring (2nd), Cloud Monitoring Software (2nd), AIOps (1st), Cloud Security Posture Management (CSPM) (6th)
IBM Instana Observability
Ranking in Application Performance Monitoring (APM) and Observability
39th
Average Rating
8.0
Reviews Sentiment
7.4
Number of Reviews
3
Ranking in other categories
No ranking in other categories
 

Mindshare comparison

As of October 2025, in the Application Performance Monitoring (APM) and Observability category, the mindshare of Datadog is 7.4%, down from 10.4% compared to the previous year. The mindshare of IBM Instana Observability is 0.8%, up from 0.2% compared to the previous year. It is calculated based on PeerSpot user engagement data.
Application Performance Monitoring (APM) and Observability Market Share Distribution
ProductMarket Share (%)
Datadog7.4%
IBM Instana Observability0.8%
Other91.8%
Application Performance Monitoring (APM) and Observability
 

Featured Reviews

reviewer820579 - PeerSpot reviewer
Single pane of glass, easy to share dashboards, and good for monitoring
We've had some issues where we had Datadog automatically turned on in AWS regions that we weren't using, which incurred a small but steady cost that amounted to tens of thousands of dollars spent over a few weeks. I wish there was a global setting that lets an admin restrict which regions DD is turned on in as a default setup step. Sometimes, the APM service dashboard link isn't sharable. I click something in the service catalog, and on that service's APM default view, I try to share a link to that with a teammate, and they reach a blank or error screen. I wish there was more organization and detail in the suggestions when I use the query editor. I'm never quite sure when the autofill dropdown shows up if I'm seeing some custom tag or some default property, so I have to know exactly what I'm looking for in order to build a chart. It's hard to navigate and explore using the query autofill suggestions without knowing exactly what tag to look for. It's been a bit hard to understand how data gets sampled or how many data points a particular dashboard value is using. We've had questions over the RUM metrics that we see and we had to ask for help with how values are calculated, bin sizes, etc to get confidence in our data.
Tomas Kim - PeerSpot reviewer
Not expensive and offers good performance
The most valuable feature of the solution is performance. A one-vendor solution serves as a good feature of the tool. In the IT industry, the IT support team has lots of vendors to contact. DB monitoring is done by one company, while WaaS monitoring is done by another and done by another company, which makes it really complicated for the IT team concerned about the security levels. The tool's main feature is that it is a one-vendor solution. The analysis done by the tool is a good feature. The tool is used as an open-source tool. The tool is growing, and new features are being added to the product.

Quotes from Members

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Pros

"Overall, the Data UI and the usability of customer features continue to improve."
"I like how we can customize alerts, and when alerts have become too noisy, we turn their threshold down fairly easily."
"Datadog has clear dashboards and good documentation."
"The platform appeals to companies spanning many industries on a global scale."
"It is easy to implement and scale applications with standardized visibility, monitoring and alerting"
"When I reflect on the ways we used to track down issues, I can't imagine how we ever managed before Datadog."
"Real user monitoring gives us invaluable insights into actual user experiences, helping us prioritize improvements where they matter most."
"The Datadog suite has allowed us to easily integrate log collection into all of our services and quickly detect unexpected changes in system data to declare security incidents."
"The most valuable feature of the solution is performance."
"The solution has a one-second resolution, giving you the status of your application within one second."
"The most valuable features of IBM Instana are its quick data collection and analytics after installing the agent."
 

Cons

"The sheer amount of products that are included can be overwhelming."
"The pricing nowadays is quite complex."
"One area where I was really looking for improvement was the CSPM product line. I had really wanted to have team-level visibility for findings, since the team managing the resources has much more context and ability to resolve the issue, as the service owner. However, this has been added to the announcement in a recent keynote."
"The pricing should be less of a surprise."
"Stability of the product has been a concern for us outside of the primary monitoring agents."
"Datadog does not have the feature where you can monitor external websites or check the SSL secure for websites."
"I'm not sure if Datadog can monitor K8s deployments in real-time. For instance, being able to see a deployment step by step visually. This would be helpful if there were any incidents during the deployment."
"There could be more easily identifiable documentation on how to find different things on the platform."
"One area that requires improvement is related to the automation part, specifically automated actions like sending SMS."
"The product's initial setup phase is not very easy."
"The solution should include log management and improve reporting and integration with Cognos."
 

Pricing and Cost Advice

"This solution is budget friendly."
"It has always scaled for us. Cost scales up too, but that is not necessarily a bad thing. It's reasonable for what they're providing."
"Our licensing fees are paid on a monthly basis."
"The price of Datadog is reasonable. Other solutions are more expensive, such as AppDynamics."
"Licensing is based on the retention period of logs and metrics."
"At my last company, we did see ROI, specifically around response time. We could get to mission critical things that were down and losing revenue on immediately. So, the product paid itself back."
"It has a module-based pricing model."
"The cost is high and this can be justified if the scale of the environment is big."
"The tool's cost is normal as per the market. The tool is not expensive."
"The solution's pricing is reasonable compared to that of its competitors like Dynatrace."
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Top Industries

By visitors reading reviews
Financial Services Firm
15%
Computer Software Company
14%
Manufacturing Company
8%
Retailer
6%
Financial Services Firm
15%
Manufacturing Company
8%
Computer Software Company
8%
Insurance Company
6%
 

Company Size

By reviewers
Large Enterprise
Midsize Enterprise
Small Business
By reviewers
Company SizeCount
Small Business78
Midsize Enterprise42
Large Enterprise82
No data available
 

Questions from the Community

Any advice about APM solutions?
There are many factors and we know little about your requirements (size of org, technology stack, management systems, the scope of implementation). Our goal was to consolidate APM and infra monitor...
Datadog vs ELK: which one is good in terms of performance, cost and efficiency?
With Datadog, we have near-live visibility across our entire platform. We have seen APM metrics impacted several times lately using the dashboards we have created with Datadog; they are very good c...
Which would you choose - Datadog or Dynatrace?
Our organization ran comparison tests to determine whether the Datadog or Dynatrace network monitoring software was the better fit for us. We decided to go with Dynatrace. Dynatrace offers network ...
What is your experience regarding pricing and costs for IBM Instana Observability?
The tool's cost is normal as per the market. The tool is not expensive.
What needs improvement with IBM Instana Observability?
The tool should offer more LDR AI models. The monitoring is just a status, but the next level of a monitoring solution is to prevent an accident or stop an accident status. The solution should be t...
What is your primary use case for IBM Instana Observability?
Before IBM, I ordered our company's engineer to have a look at the tool and test it. I think it was two years ago, the transfer to IBM happened in our company. At the beginning, IBM Instana Observa...
 

Overview

 

Sample Customers

Adobe, Samsung, facebook, HP Cloud Services, Electronic Arts, salesforce, Stanford University, CiTRIX, Chef, zendesk, Hearst Magazines, Spotify, mercardo libre, Slashdot, Ziff Davis, PBS, MLS, The Motley Fool, Politico, Barneby's
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Find out what your peers are saying about Datadog vs. IBM Instana Observability and other solutions. Updated: September 2025.
869,771 professionals have used our research since 2012.