Snowflake has announced its intention to buy the observation platform Observe

Snowflake plans to acquire Observe, a visualization platform built on Snowflake databases from day one. (Visual platforms help companies monitor their software systems and data for events and errors.)

The cloud data company announced that it has signed a definitive agreement to acquire Observe, subject to regulatory approval, on January 8. Snowflake will integrate Observe’s products into its own to provide customers with a unified environment to collect and store their telemetry data (records, metrics, and sequences from software applications) and a better environment for bugs and problems in their data and applications.

Observe was founded in 2017 by Jacob Leverich, Jonathan Trevor, and Ang Li and launched its first observable product built on the Snowflake central database in 2018. The company was merged into Sutter Hill Ventures and has been since. he earned $500 million in assets from firms including Snowflake Ventures, Sutter Hill Ventures, and Madrona, among others.

Notably, both Snowflake and Observe were linked to Sutter Hill Ventures, with Sutter Hill managing director Mike Speiser being Snowflake’s CEO from 2012 to 2014.

Jeremy Burton, CEO of Observe, has served on Snowflake’s board of directors since 2015.

Integrating Observe into Snowflake allows users to closely monitor their data volume and identify and fix issues 10x faster than before, according to a Snowflake blog post – a task that has become difficult to grow due to the amount of data generated by AI agents.

The acquisition also creates a unified system for telemetry data, which is automatically collected, built on the Apache Iceberg and OpenTelemetry architectures.

Terms of the deal were not disclosed. According to reports, the deal is worth all around $1 billionwhich would make Snowflake the most expensive to date, more than its purchase of $ 800 million in March 2022 of Streamlit, an open process that allows programmers and data scientists to quickly create and share data programs without needing expertise in front-end development.

Observe was valued at $848 million as of July 2025, according to PitchBook data. TechCrunch reached out to Snowflake to learn more about the business.

Last year saw a wave of integration in the data industry as data industry companies look to develop their products to make themselves one-stop-shops in the age of AI.

This agreement could be a sign that the consolidation of the data company will continue in 2026. Snowflake has been working in particular, achieving and announcing several things related to AI in 2025, including Crunchy Data and Databaseand Select a Stara data management and metadata management platform that helps organizations understand and track their data at scale.