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Datadog acquires Eppo to enhance product analytics, experimentation capabilities

Posted on May 5, 2025May 5, 2025
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SAN FRANCISCO: Datadog, Inc. (NASDAQ: DDOG), a monitoring and security platform for cloud applications, announced Tuesday it has acquired Eppo, a feature flagging and experimentation platform, to integrate with its existing Product Analytics suite. 

Currently, developers must combine data from multiple tools across engineering, product and business teams to assess the impact of new features. Many changes are deployed without clear insights into how they affect key performance indicators, making it difficult to link them to business outcomes. 

The acquisition allows Datadog to offer an end-to-end product analytics solution on a single platform. Engineers can track code changes using feature flags, while data science leaders and product managers can design and measure experiments. Business analysts, meanwhile, can use Datadog’s Product Analytics suite to evaluate overall product usage and business performance. 

As AI workloads expand, Eppo’s experimentation tools will help developers safely scale complex systems by measuring real-time user experience impact and accelerating secure rollouts. 

“The use of multiple AI models increases the complexity of deploying applications in production,” said Michael Whetten, Datadog’s vice president of product. “Experimentation solves this correlation and measurement problem, enabling teams to compare models, assess user engagement versus costs, and build AI products that deliver measurable value.” 

Chetan Sharma, founder and CEO of Eppo, said the deal aligns with the company’s goal to promote an “experiment-first culture” across industries. “With Datadog, we are uniting product analytics, feature management, AI and experimentation capabilities to help businesses reduce risk, learn quickly and ship high-quality products,” he said. 

Financial terms of the deal were not disclosed.  

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