Datadog Inside the Security Surge: Can Unified Observability + Security Redefine the Entire Market?

Datadog reported a strong financial performance in Q3 2025, marked by significant revenue growth and a substantial increase in customer adoption. The company’s revenue reached $886 million, reflecting a 28% increase year-over-year, driven by robust customer acquisition and expansion among existing clients. Notably, new logo annualized bookings more than doubled year-over-year, indicating growing interest and adoption of Datadog’s platform. Positives include Datadog’s success in expanding its customer base, reaching about 32,000 customers by the end of Q3, up from approximately 29,200 a year ago. Among these, approximately 4,060 customers had an annual recurring revenue (ARR) of $100,000 or more, representing 89% of the company’s total ARR. The number of customers using multiple Datadog products also grew, with 84% using two or more products, and 16% using eight or more, highlighting the increasing adoption of its platform offerings.