capital · May 19, 2026
Snowflake Closes Acquisition of Observe to Deliver AI-Powered Observability
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Snowflake closed its acquisition of Observe on February 2, 2026, integrating the AI-powered observability platform into its data cloud. The deal expands Snowflake's capabilities for monitoring data and AI systems across infrastructure using full-fidelity logs, metrics, and traces stored natively in Snowflake. Observe had raised $156 million in a Series C round prior to the acquisition, tripling its revenue and doubling its customer base. The acquisition was first announced as an intent on January 8, 2026, and values the observability startup at approximately $1 billion according to earlier reports.