Datadog vs New Relic comparison

Datadog and New Relic are both solutions in the Application Performance Monitoring (APM) and Observability category. Datadog is ranked #1 with an average rating of 8.7, while New Relic is ranked #4 with an average rating of 8.0. Datadog holds a 5.5% mindshare in APM, compared to New Relic’s 4.1% mindshare. Additionally, 97% of Datadog users are willing to recommend the solution, compared to 94% of New Relic users who would recommend it.

Datadog

Read 209 Datadog reviews

22,772 Views
13,208 Comparison Views

97% willing to recommend

New Relic

Read 163 New Relic reviews

12,960 Views
9,850 Comparison Views

94% willing to recommend

Datadog

New Relic

Comparison Buyer's Guide

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Executive SummaryUpdated on Oct 19, 2025

Datadog and New Relic both compete in the application performance monitoring sector. Datadog seems to have a slight edge due to its extensive integrations and robust user tools.

Features: Datadog offers seamless integration with various cloud services, highly customizable dashboards, and advanced monitoring capabilities that provide infrastructure insights. Its anomaly detection and alerting system are intuitive and effective. New Relic provides comprehensive real-time performance analytics, detailed transaction tracing, and intuitive dashboards that allow easy drill-down for debugging issues.

Room for Improvement: Datadog could reduce high costs associated with data ingestion and improve user experience in alerting systems. Query functionalities also need enhancement. New Relic should enhance its integration range and error debugging capabilities to better assist users transitioning, as current data visibility is less comprehensive than Datadog.

Ease of Deployment and Customer Service: Both Datadog and New Relic are easy to deploy across cloud environments. Datadog is noted for proactive customer support, although service speed varies. New Relic matches this with prompt chat interactions and continuous quality maintenance as they grow.

Pricing and ROI: Datadog's extensive feature usage can quickly inflate costs, necessitating proactive management to prevent surprises. However, the productivity gains potentially justify the expenses. New Relic offers competitive pricing with flexible, usage-based plans effectively aligning with various structures. Both solutions promise significant ROI through operational insights, with Datadog's unexpected pricing being a potential disadvantage compared to New Relic's transparent model.

To learn more, read our detailed Datadog vs. New Relic Report (Updated: December 2025).

Buyer's Guide

Datadog vs. New Relic

December 2025

Download the complete report

Helped 879,455 peers since 2012

Review summaries and opinions

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

ROI

Sentiment score

6.4

Datadog boosts ROI by reducing downtime, enhancing reliability, optimizing resources, improving cost efficiency, and expediting issue resolution.

Sentiment score

6.7

New Relic enhances performance through reduced response times and server needs, improving troubleshooting and efficiency, despite higher premium costs.

Previously we had thirteen contractors doing the monitoring for us, which is now reduced to only five.

Prakash Pandey

IT Manager at Liberty Mutual Insurance

Datadog has delivered more than its value through reduced downtime, faster recovery, and infrastructure optimization.

reviewer2767362

Sr. Cloud Infrastructure Engineer at a tech vendor with 51-200 employees

I believe features that would provide a lot of time savings, just enabling you to really narrow down and filter the type of frustration or user interaction that you're looking for.

Carson Waldrop

QA Engineer at Townsquare Interactive

For more quotes and insights, download the Datadog report

There is a definite return on investment for New Relic, as we would not have invested in building its infrastructure if there were no returns.

ArjunSharma

Senior Software Engineer at a computer software company with 1,001-5,000 employees

One of the metrics that helped as a return on investment was the ability to detect issues faster and troubleshoot more quickly, which in turn helped to achieve a much better service level agreement with customers.

Aditya Krishnakumar

Senior SRE Engineer at SentinelOne

For more quotes and insights, download the New Relic report

Customer Service

Sentiment score

6.7

Datadog offers knowledgeable support but has variable ticket resolution and communication challenges, with limited direct engineer access.

Sentiment score

7.5

New Relic's customer service is praised for professionalism, responsiveness, and expert guidance, with high satisfaction and prompt support.

When I have additional questions, the ticket is updated with actual recommendations or suggestions pointing me in the correct direction.

Laurie Mordick

Applications Web Services Technical Engineer at Ace Hardware

Overall, the entire Datadog comprehensive experience of support, onboarding, getting everything in there, and having a good line of feedback has been exceptional.

Thomas Harrison

Systems Administrator at Townsquare Interactive

I've had a couple instances where I reached out to Datadog's support team, and they have been really super helpful and very kind, even reaching back out after resolving my issues to check if everything's going well.

Nikki L.

Security Engineer at Invitation Homes

For more quotes and insights, download the Datadog report

If I drop an email to them, they will respond quickly to my email.

Vamsi Busa

Senior DevOps Engineer at a tech vendor with 10,001+ employees

Customer support from New Relic is very good, and we rarely need to create support tickets.

ArjunSharma

Senior Software Engineer at a computer software company with 1,001-5,000 employees

Issues that could be solved quickly sometimes take longer because they go around in circles.

Pietro Dell'Erba

Head of API at a marketing services firm with 11-50 employees

For more quotes and insights, download the New Relic report

Scalability Issues

Sentiment score

7.6

Datadog scales efficiently across diverse environments, handling increased workloads seamlessly, though costs may rise with extensive usage.

Sentiment score

7.7

New Relic efficiently scales, integrates with all environments, and manages large data volumes without performance issues, offering easy deployment.

Datadog's scalability has been great as it has been able to grow with our needs.

Prakash Pandey

IT Manager at Liberty Mutual Insurance

We did, as a trial, engage the AWS integration, and immediately it found all of our AWS resources and presented them to us.

Thomas Harrison

Systems Administrator at Townsquare Interactive

Datadog's scalability is strong; we've continued to significantly grow our software, and there are processes in place to ensure that as new servers, realms, and environments are introduced, we're able to include them all in Datadog without noticing any performance issues.

Corey Peoples

Senior Custom Software Development Consultant at a tech vendor with 501-1,000 employees

For more quotes and insights, download the Datadog report

We currently use New Relic for tens of thousands of developers and hundreds of teams within our organization, and we have not encountered any scalability issues.

ArjunSharma

Senior Software Engineer at a computer software company with 1,001-5,000 employees

For more quotes and insights, download the New Relic report

Stability Issues

Sentiment score

8.0

Datadog is praised for its reliable performance with minimal downtime and quick resolution of occasional data import issues.

Sentiment score

7.9

New Relic is praised for reliability, efficiently handling workloads with occasional minor issues that are quickly resolved.

Datadog is very stable, as there hasn't been any downtime or issues since I've been here, and it's always on time.

Nikki L.

Security Engineer at Invitation Homes

Datadog seems stable in my experience without any downtime or reliability issues.

Daniel Dolan

Full Stack Developer at Townsquare Interactive

Datadog seems to be more stable, and I really want to have a complete demo before making a call to decide on this.

Aman

Enterprise solution architect at a manufacturing company with 10,001+ employees

For more quotes and insights, download the Datadog report

No quotes available

For more quotes and insights, download the New Relic report

Room For Improvement

Datadog struggles with complex pricing, customization needs, usability, and requires improved integration, training, and cost management for large organizations.

New Relic users seek better pricing, privacy, UI simplicity, integration, analytics, mobile support, configurability, and documentation.

It would be great to see stronger AI-driven anomaly detection and predictive analytics to help identify potential issues before they impact performance.

reviewer2767305

Operations Manager at a financial services firm with 1,001-5,000 employees

We want to be able to customize the cost part, and we would appreciate more granular access control.

Andrei Mita

Service Manager at PwC

The documentation is adequate, but team members coming into a project could benefit from more guided, interactive tutorials, ideally leveraging real-world data.

Timothy Spangler

Senior Software Engineer at Los Angeles Times Communications, LLC

For more quotes and insights, download the Datadog report

Using real-time data, if there are any malicious patterns or something happening, they can identify those.

Hari Rajendiran

Platform Software Engineer 4 at Nexthink

Because of the pricing model, organizations have experienced uncontrolled costs and were not able to afford New Relic.

Aditya Krishnakumar

Senior SRE Engineer at SentinelOne

When there is a component or UI customization, having a smart AI agent to guide users on customizing New Relic would significantly ease the process.

ArjunSharma

Senior Software Engineer at a computer software company with 1,001-5,000 employees

For more quotes and insights, download the New Relic report

Setup Cost

Datadog offers flexible pricing but can become costly with larger infrastructures; users appreciate low setup costs and initial free hosts.

Enterprise buyers have mixed views on New Relic pricing, citing cost-effectiveness but noting complexity and variable costs.

The setup cost for Datadog is more than $100.

reviewer1599867

Senior Performance and Architecture Analyst at a manufacturing company with 10,001+ employees

Everybody wants the agent installed, but we only have so many dollars to spread across, so it's been difficult for me to prioritize who will benefit from Datadog at this time.

Laurie Mordick

Applications Web Services Technical Engineer at Ace Hardware

My experience with pricing, setup cost, and licensing is that it is really expensive.

reviewer2767245

Senior Site Reliability Engineer at a wholesaler/distributor with 5,001-10,000 employees

For more quotes and insights, download the Datadog report

Considering the features New Relic offers, the pricing or cost setup has not been a blocker for our budget.

ArjunSharma

Senior Software Engineer at a computer software company with 1,001-5,000 employees

For more quotes and insights, download the New Relic report

Valuable Features

Datadog excels with real-time monitoring, integrations, intuitive dashboards, and analytics, enhancing observability and operational efficiency in complex environments.

New Relic offers easy installation, real-time insights, and integrates seamlessly to enhance performance monitoring and incident management.

Our architecture is written in several languages, and one area where Datadog particularly shines is in providing first-class support for a multitude of programming languages.

Timothy Spangler

Senior Software Engineer at Los Angeles Times Communications, LLC

Having all that associated analytics helps me in troubleshooting by not having to bounce around to other tools, which saves me a lot of time.

reviewer2767245

Senior Site Reliability Engineer at a wholesaler/distributor with 5,001-10,000 employees

Datadog was able to find the alerts and trigger to notify our team in a very prompt manner before it got worse, allowing us to promptly adjust and remediate the situation in time.

Nikki L.

Security Engineer at Invitation Homes

For more quotes and insights, download the Datadog report

Using New Relic speeds up troubleshooting and resolution, giving us a clearer picture of where issues are, thus saving time and effort.

Pietro Dell'Erba

Head of API at a marketing services firm with 11-50 employees

New Relic is very useful for teams that don't have much of a dedicated DevOps team but want to have observability for their platform, and it's an easy way to get started.

Aditya Krishnakumar

Senior SRE Engineer at SentinelOne

New Relic has positively impacted our organization by reducing errors, improving performance, and saving time.

ArjunSharma

Senior Software Engineer at a computer software company with 1,001-5,000 employees

For more quotes and insights, download the New Relic report

Categories and Ranking

Datadog

Ranking in Application Performance Monitoring (APM) and Observability

1st

Ranking in Network Monitoring Software

3rd

Ranking in IT Infrastructure Monitoring

2nd

Ranking in Cloud Monitoring Software

2nd

Ranking in AIOps

1st

Average Rating

8.6

Reviews Sentiment

7.0

Number of Reviews

209

Ranking in other categories

Log Management (3rd), Container Monitoring (2nd), Cloud Security Posture Management (CSPM) (5th), AI Observability (1st)

New Relic

Ranking in Application Performance Monitoring (APM) and Observability

4th

Ranking in Network Monitoring Software

8th

Ranking in IT Infrastructure Monitoring

8th

Ranking in Cloud Monitoring Software

5th

Ranking in AIOps

4th

Average Rating

8.4

Reviews Sentiment

7.0

Number of Reviews

163

Ranking in other categories

IT Operations Analytics (3rd), Mobile APM (3rd)

Mindshare comparison

As of January 2026, in the Application Performance Monitoring (APM) and Observability category, the mindshare of Datadog is 5.5%, down from 9.7% compared to the previous year. The mindshare of New Relic is 4.1%, down from 7.9% compared to the previous year. It is calculated based on PeerSpot user engagement data.

Application Performance Monitoring (APM) and Observability Market Share Distribution
Product	Market Share (%)
Datadog	5.5%
New Relic	4.1%
Other	90.4%

Application Performance Monitoring (APM) and Observability

Q&A Highlights

SystemsEngineer234z

Principal Enterprise Systems Engineer at a healthcare company with 10,001+ employees

Dec 10, 2020

Any advice about APM solutions?

The key is to have a holistic view over the complete infrastructure, the ones you have listed are great for APM if you need to monitor applications end to end. I have tested them all and have not found one capable to give me solutions they all report you have a problem but you need to figure out what the problems is. So we have decided to develop our own AI and it is not only monitoring OSI layer 1 -3 but layer 1-8 as well it give you a solution what has been wrong based on delays in transactions combined with security. We have deployed this now across healthcare in the USA as well Airports but it is working on every industry and working in a SaaS solution. But if I have a chose between the tools you mentioned, Dynatrace is the best choose it is easy to install and has a great interface. Also it has almost no configuration.

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Featured Reviews

Dhroov Patel

Site Reliability Engineer at Grainger

Has improved incident response with better root cause visibility and supports flexible on-call scheduling

Datadog needs to introduce more hard limits to cost. If we see a huge log spike, administrators should have more control over what happens to save costs. If a service starts logging extensively, I want the ability to automatically direct that log into the cheapest log bucket. This should be the case with many offerings. If we're seeing too much APM, we need to be aware of it and able to stop it rather than having administrators reach out to specific teams. Datadog has become significantly slower over the last year. They could improve performance at the risk of slowing down feature work. More resources need to go into Fleet Automation because we face many problems with things such as the Ansible role to install Datadog in non-containerized hosts. We mainly want to see performance improvements, less time spent looking at costs, the ability to trust that costs will stay reasonable, and an easier way to manage our agents. It is such a powerful tool with much potential on the horizon, but cost control, performance, and agent management need improvement. The main issues are with the administrative side rather than the actual application.

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ArjunSharma

Senior Software Engineer at a computer software company with 1,001-5,000 employees

Continuous monitoring has improved incident response and supports data driven performance tuning

For our end-to-end use case, New Relic is completely satisfactory, and we extensively rely on its features for our day-to-day life. I would like to have more AI and ML-based suggestions and algorithms from New Relic, and while the New Relic dashboards and UI are customizable, they can sometimes lead to a clumsy behavior. A smart AI assistance to organize our dashboards and explain features and functionalities can be a wish-to-have feature to help us leverage what New Relic offers. As I mentioned earlier regarding wish-to-have features, New Relic can improve by incorporating more AI insights. When there is a component or UI customization, having a smart AI agent to guide users on customizing New Relic would significantly ease the process. This helps users who possess a technology-specific skill set and might find a learning curve overwhelming when using complex applications like New Relic or other performance-related tools.

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Answers from the Community

SystemsEngineer234z

Principal Enterprise Systems Engineer at a healthcare company with 10,001+ employees

Dec 8, 2020

Any advice about APM solutions?

2 out of 5 answers

reviewer802371

Service Assurance, Senior Manager at a computer software company with 1,001-5,000 employees

Oct 20, 2020

Could you please share your requirements ? There are a lot tools can be added to the list. I spent almost 6 months to test and check many tools then I select eG enterprise.

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reviewer1352679

IT Technical Architect at a insurance company with 5,001-10,000 employees

Oct 20, 2020

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 monitoring. We maintain critical processing on our mainframe so there was a desire to include this in our transaction trace. Due to a highly mature ELK implementation, we are not trying to incorporate log analytics into solution buy may consider in the future. We had AppD, Dynatrace, New Relic, and CA Wily all in house at the time of our evaluation. We eliminated Datadog due to a lack of real user monitoring and AppD based on experience and licensing. Between Dynatrace and New Relic, Dynatrace won based on the automation, integrated AI, support for "old" techs, and confidence we could eliminate multiple APM and infra monitoring tools. I would not include products like BigPanda, MoogSoft, in this analysis. They are not monitoring solutions but event correlation solutions. You will need additional monitoring products to capture data and feed them. Having said that if you cannot consolidate tools you will likely need to purchase an event solution to make sense of all the alarms. We did evaluate these products but with Dynatrace AI did not feel the business value was there for the investment. Here's a quick pro/con list on Dynatrace & New Relic from our analysis. New Relic Pros: Insights is an awesome product and capability. Lots of capabilities and plugins to extend data collection. The APM dashboard is aesthetically pleasing and intuitive. Good training and documentation are available to support the product. New Relic Cons: Requires lots of manual configurations to implement and support. Insights product requires an investment of time to achieve value. Licensing is a nightmare as there is virtually no transparency in what you are being charged for. Lack of solution to consolidate alerts across implementation other than significant investment in insights to manually achieve this. Dynatrace Pros: Very simple to implement and maintain with out of the box automation which supports modern (cloud/Kubernetes) and "old" (mainframe). In-app chat is helpful. High integration of infra and APM data for full-stack observability and engineering. Topology and trace discovery is more reliable than other products or our CMDB. Synthetics are easy to set up for any user. AI-assisted problem analysis on the trace discovery streamlines troubleshooting. AI includes "events" in an analysis like VMotion, deployment events. Have not done yet but looking to leverage monitoring as code for a fully integrated and automated delivery pipeline. See keptn.sh open source project. Dynatrace Cons: User SQL lacks some functions of NRQL for user analysis. Host, process, and service data is not available to query within the product. Alarm processing lacks some granular controls. The Plug-in library is less robust. Good luck with your decision!

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Top Industries

By visitors reading reviews

Financial Services Firm

14%

Computer Software Company

13%

Manufacturing Company

Healthcare Company

Financial Services Firm

14%

Computer Software Company

11%

Manufacturing Company

Retailer

Company Size

By reviewers

Large Enterprise

Midsize Enterprise

Small Business

By reviewers
Company Size	Count
Small Business	80
Midsize Enterprise	46
Large Enterprise	98

By reviewers
Company Size	Count
Small Business	65
Midsize Enterprise	50
Large Enterprise	65

Questions from the Community

Any advice about APM solutions?

See all answers

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...

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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 ...

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What do you like most about New Relic Insights?

The product's initial setup phase was very easy.

See all answers

What needs improvement with New Relic Insights?

New Relic is priced on the higher side. Because of the pricing model, organizations have experienced uncontrolled costs and were not able to afford New Relic, which resulted in moving to open-sourc...

See all answers

What is your primary use case for New Relic Insights?

New Relic is primarily used for log monitoring, where queries on the logs provide insights and create log-based metrics for all alerting-related requirements. The focus is mainly on alerting and da...

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Comparisons

Dynatrace vs Datadog

Compared 9% of the time

Azure Monitor vs Datadog

Compared 5% of the time

Splunk Enterprise Security vs Datadog

Compared 3% of the time

Splunk AppDynamics vs Datadog

Compared 3% of the time

AWS X-Ray vs Datadog

Compared 3% of the time

More Datadog Competitors

Dynatrace vs New Relic

Compared 10% of the time

Splunk AppDynamics vs New Relic

Compared 6% of the time

Elastic Observability vs New Relic

Compared 4% of the time

Azure Monitor vs New Relic

Compared 4% of the time

Sentry vs New Relic

Compared 3% of the time

More New Relic Competitors

Product Reports

Buyer's Guide

Datadog

January 2026

Download Datadog product report

Buyer's Guide

New Relic

December 2025

Download New Relic product report

Also Known As

No data available

New Relic Browser, New Relic Applied Intelligence, New Relic Insights, New Relic Synthetics, New Relic Servers, New Relic APM

Overview

Datadog integrates extensive monitoring solutions with features like customizable dashboards and real-time alerting, supporting efficient system management. Its seamless integration capabilities with tools like AWS and Slack make it a critical part of cloud infrastructure monitoring.

Datadog offers centralized logging and monitoring, making troubleshooting fast and efficient. It facilitates performance tracking in cloud environments such as AWS and Azure, utilizing tools like EC2 and APM for service management. Custom metrics and alerts improve the ability to respond to issues swiftly, while real-time tools enhance system responsiveness. However, users express the need for improved query performance, a more intuitive UI, and increased integration capabilities. Concerns about the pricing model's complexity have led to calls for greater transparency and control, and additional advanced customization options are sought. Datadog's implementation requires attention to these aspects, with enhanced documentation and onboarding recommended to reduce the learning curve.

What are Datadog's Key Features?

Sharable Dashboards: Facilitate collaboration with customizable, intuitive dashboards.
Extensive Integrations: Seamlessly connects with tools like Slack and AWS to support workflows.
APM and RUM: Provides deep insights into application performance and user interactions.
Real-Time Tools: Enables agile responses to system issues with real-time monitoring.
Unified Tagging and Visualization: Eases management of complex systems with simplified visualization.

What Benefits and ROI Should Users Look For?

Efficient Troubleshooting: Centralized logging speeds up the identification and resolution of issues.
Streamlined Workflows: Integrations with popular tools enhance operational efficiency.
Improved Observability: Comprehensive monitoring improves system reliability and performance.
Resource Optimization: Efficient microservices and container management leads to better cloud resource utilization.
Responsive Alerts: Customizable alerts ensure timely identification of critical issues.

In industries like finance and technology, Datadog is implemented for its monitoring capabilities across cloud architectures. Its ability to aggregate logs and provide a unified view enhances reliability in environments demanding high performance. By leveraging real-time insights and integration with platforms like AWS and Azure, organizations in these sectors efficiently manage their cloud infrastructures, ensuring optimal performance and proactive issue resolution.

Datadog

New Relic offers real-time application monitoring and insight into performance bottlenecks. Its customizable dashboards and APM integration provide efficient operational support, while server performance alerts ensure quick issue detection.

New Relic provides comprehensive monitoring of application performance, tracking bottlenecks across databases and front-end components. Users employ it for server and infrastructure monitoring, as well as analyzing key metrics such as CPU and memory usage. The solution's ability to integrate with tools like PagerDuty enhances incident management capabilities. However, users have expressed a need for improvements in query language simplicity, more detailed historical insights, and better mobile app monitoring support.

What are New Relic's most important features?

Real-Time Monitoring: Provides instant visibility into application performance.
Detailed Transaction Tracing: Identifies specific transaction issues quickly.
Error Rate Tracking: Monitors and reports on error occurrences efficiently.
Customizable Dashboards: Tailors dashboard views for specific needs.
APM Integration: Seamlessly integrates with application performance management tools.

What benefits and ROI should be considered?

Operational Efficiency: Quick issue detection reduces downtime.
Improved Debugging: Enhanced error analysis supports rapid problem resolution.
Comprehensive Monitoring: Offers a holistic view of application performance and user behavior.
Incident Management: Integration with incident tools helps streamline responses.
Efficient Alerts: Rapid alert systems ensure timely notifications of issues.

In industries like e-commerce and financial services, New Relic supports application performance monitoring to enhance user experience and system reliability. Organizations leverage its insights for optimizing performance, particularly in server operations and infrastructure management. Its ability to monitor API failures through synthetic monitoring is crucial for maintaining high service levels.

New Relic

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

World Fuel Services, Verizon, FootLocker, McDonald's, Trainline, Mondia Media, Confused, Costa Coffee, Ryanair, Marks & Spencer, William Hill, Delivery Hero, Skyscanner, BASF, DAZN, Veygo, Virtuo, movingimage, talabat, Australia Post, Tokopedia, Seven Network, Virgin Australia, Zomato, BigBasket, Mercado Libre, Lending Club

Buyer's Guide

Datadog vs. New Relic

December 2025

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