AI workloads shake up observability market

There are 19 vendors that made the cut for Gartner’s new report. Its Leaders quadrant includes (alphabetically) Chronosphere, Coralogix, Datadog, Dynatrace, Elastic, Grafana Labs, IBM, and New Relic. The Challengers are Alibaba Cloud, Amazon Web Services, LogicMonitor, Microsoft, and Splunk. The two Visionaries are BMC Helix and Honeycomb. Those dubbed Niche Players are Apica, HPE, ScienceLogic, and SolarWinds. (For specific vendor strengths and cautions, check out the full Gartner report. Some vendors offer free versions of the report with registration.)
Looking beyond quadrant placement, Gartner advises organizations to evaluate vendors based on their ability to deliver full-stack observability and their “roadmap credibility” in key areas such as AI observability, OpenTelemetry interoperability, and the ability to observe and govern AI agents.
AI observability emerges as a key differentiator
Organizations are increasingly looking for visibility into AI workloads, including token consumption, model latency, response quality, hallucination rates, and other AI-specific performance metrics, according to the report. Gartner identifies AI observability as an emerging requirement, driven by growing enterprise interest in large language models (LLMs), genAI applications, and agentic AI systems.