Coralogix at the Crossroads of AI and Observability: How a $115M Series E Is Redefining Enterprise Intelligence

When observability evolves from monitoring systems to understanding business reality in real time.

In today’s hyper-connected digital economy, downtime is no longer just an IT issue—it’s a business risk. Applications are increasingly distributed, cloud-native, and AI-driven, generating unprecedented volumes of telemetry data every second. Traditional observability tools, built for static infrastructure and reactive troubleshooting, are struggling to keep pace. Rising to meet this challenge is Coralogix, a full-stack observability and security platform that is reshaping how organizations interpret and act on system data.

Over the past three months, Coralogix has emerged as one of the most closely watched players in the observability space. With a $115 million Series E funding round, the launch and expansion of AI-driven observability agents, deepened AWS collaboration, and progress toward FedRAMP authorization, the company is positioning itself not merely as a monitoring tool—but as an AI-powered intelligence layer for modern enterprises.

A $115M Vote of Confidence: Funding That Signals Market Leadership

In June 2025, Coralogix announced a $115 million Series E funding round, led by NewView Capital, with participation from heavyweight institutional investors including the Canada Pension Plan Investment Board (CPPIB) and NextEquity. This round pushed Coralogix’s valuation beyond $1 billion, officially elevating it to unicorn status .

The round also saw continued backing from existing investors such as Advent International, Brighton Park Capital, Revaia, and Red Dot Capital Partners—an important signal of sustained confidence in Coralogix’s long-term strategy and execution.

Rather than focusing solely on rapid expansion, the company has stated that the capital will be deployed strategically across:

• AI-first product development

• Global enterprise expansion

• Security and compliance readiness

• Scaling R&D hubs, including India

In a market where investors have become increasingly selective, Coralogix’s ability to raise a large late-stage round underscores its relevance in a rapidly evolving observability landscape.

From Logs to Intelligence: The Rise of AI-Native Observability

What differentiates Coralogix from traditional observability platforms is its stream-based architecture and AI-native design philosophy. Instead of indexing massive amounts of telemetry data first and asking questions later, Coralogix analyzes data in motion, enabling real-time insights with significantly reduced cost and latency.

This architectural advantage has become increasingly critical as enterprises adopt AI workloads, microservices, Kubernetes, and serverless computing—all of which demand continuous, contextual visibility.

Olly: The Autonomous AI Agent Changing How Teams Debug

A defining innovation from Coralogix in recent months is Olly, its autonomous AI observability agent. Unlike traditional dashboards that require users to manually investigate incidents, Olly proactively analyzes telemetry across logs, metrics, traces, and security data to surface meaningful insights automatically.

Olly enables teams to:

• Detect anomalies without predefined thresholds

• Perform automated root-cause analysis

• Receive evidence-backed explanations in plain language

• Act on guided remediation suggestions

By abstracting complexity and reducing reliance on specialized observability expertise, Olly expands the value of observability beyond DevOps teams—making insights accessible to product managers, SREs, security teams, and business leaders alike .

This shift reflects a broader industry trend: observability is no longer just about fixing outages—it’s about understanding system behavior as it impacts customers and revenue.

Strategic Collaboration With AWS: Observability at Cloud Scale

In July 2025, Coralogix announced a strategic collaboration agreement with Amazon Web Services (AWS) to accelerate AI-powered observability and security innovation on the AWS cloud platform .

The collaboration integrates Coralogix’s real-time analytics engine with Amazon Bedrock, enabling:

• Advanced AI-driven anomaly detection

• Deeper visibility into AWS services such as Lambda, S3, and CloudFront

• Enhanced security monitoring for AWS WAF and edge traffic

For enterprises running mission-critical workloads on AWS, this partnership delivers faster insights, reduced operational overhead, and improved resilience, while preserving cost efficiency at scale.

Security and Compliance: Moving Toward FedRAMP Authorization

One of the most significant recent milestones for Coralogix is its progress toward FedRAMP Moderate authorization, sponsored by the U.S. Department of Education’s Federal Student Aid office. This initiative, announced in early January 2026, positions Coralogix to serve U.S. federal agencies with strict security and compliance requirements .

FedRAMP sponsorship is a rigorous process, requiring:

• Strong data protection controls

• Continuous monitoring

• Verified security posture across cloud environments

For Coralogix, this move signals a clear intention to expand into regulated and public-sector markets, where AI observability, security, and governance are becoming increasingly critical.

Expanding the Platform: AI Observability, Profiling, and Security

Beyond Olly, Coralogix has rolled out several advanced capabilities over recent months:

• AI Observability Center, enabling monitoring of AI models for performance, hallucinations, and data leakage

• Continuous profiling using eBPF and OpenTelemetry to analyze CPU, memory, and kernel-level behavior without performance overhead

• Enhanced threat intelligence, including TLS fingerprinting and malicious domain detection

• Model Context Protocol (MCP) support, allowing AI agents to interact directly with telemetry data

Together, these features transform Coralogix into a unified platform for observability, security, and AI governance, reducing tool sprawl and improving operational clarity.

India and Global Expansion: Building for Scale

As part of its growth strategy, Coralogix has continued expanding its engineering and AI R&D footprint in India, particularly in Gurugram and Bengaluru. The region plays a key role in platform development, customer success, and AI innovation.

Globally, Coralogix serves customers across fintech, SaaS, e-commerce, and digital services—industries where real-time system performance directly affects customer trust and revenue outcomes.

Why Coralogix Matters Now More Than Ever

Observability is undergoing a fundamental transformation. As AI systems become embedded in production environments, enterprises need more than dashboards—they need context, intelligence, and foresight.

Coralogix addresses this shift by:

• Processing data in real time

• Applying AI at the core, not as an add-on

• Bridging technical telemetry with business impact

• Supporting security, compliance, and governance at scale

In doing so, the company is redefining observability as a strategic enterprise capability, rather than a reactive troubleshooting function.

Conclusion: Observability Reimagined for the AI-First Enterprise

With strong investor backing, rapid AI innovation, strategic cloud partnerships, and progress toward federal compliance, Coralogix stands at the forefront of the next observability wave. Its vision goes beyond monitoring infrastructure—it’s about enabling organizations to understand, trust, and optimize their digital systems in real time.

As enterprises navigate increasingly complex cloud and AI ecosystems, Coralogix is proving that observability, when powered by intelligence, can become a decisive competitive advantage—not just a technical necessity.