Dynatrace to buy Bindplane in telemetry pipeline push
Dynatrace has agreed to acquire Bindplane, adding telemetry pipeline technology to its observability platform.
The deal brings Bindplane's open-standards-based system for collecting and managing telemetry data into Dynatrace's portfolio. Telemetry includes the logs, metrics and traces that show what is happening inside software systems. Its volume has grown as companies adopt cloud-native architectures and AI-led software development.
Bindplane's software captures, governs and routes that data before it reaches analytics and monitoring tools. The addition is intended to give customers more control over how operational data is handled from the network edge through to analysis.
Data growth
The move comes as technology teams face growing pressure to manage rising data volumes and the cost of storing and processing them. At the same time, companies are trying to ensure sensitive information is handled in line with compliance requirements as observability data moves across increasingly complex environments.
Dynatrace says Bindplane's technology can improve data quality and lower ingest costs by filtering, masking and encrypting sensitive information. It also positions the business as a bridge for organisations moving from older monitoring products to cloud-native observability tools.
Industry analysts have identified telemetry pipelines as an emerging layer in the software operations stack. They sit between the source of operational data and the tools that ingest or analyse it, allowing engineering and operations teams to decide what data should be collected, modified or forwarded.
"Telemetry pipelines have become a critical observability requirement in the AI era as technology teams must collect and send data to and from a plethora of sources," said Stephen Elliot, Group VP, IDC.
"Customers are purchasing solutions to control, enrich, and shape data for effective and efficient security and operations, enabling a scalable foundation for AI strategies," Elliot added.
Product fit
For Dynatrace, the transaction also supports its log management and analytics efforts. The combination is expected to expand ingest capacity across more data sources and let customers send telemetry to different destinations.
That could matter for businesses using several cloud providers, security platforms and software operations tools at the same time. Open standards have become a central issue in observability as customers seek to avoid locking operational data into a single vendor's system.
"Together, Dynatrace and Bindplane will enable a new level of control over telemetry," said Steve Tack, Chief Product Officer at Dynatrace. "As data volumes surge and AI becomes central to how teams build and operate software, customers need a unified, open approach to managing their data. Our combined offering will create a market-leading foundation that gives customers the clarity and control they need to operate with confidence and drive innovation. The acquisition will allow Dynatrace to accelerate its Log Management and Analytics roadmap, with customers gaining expanded ingest capacity across a broader range of data sources and the freedom to route telemetry to any destination."
Bindplane has built its business around helping organisations manage data collection at scale, particularly where teams need to balance system visibility with cost control and governance. Its tools are aimed at customers that want to standardise how telemetry is handled across hybrid and cloud-native environments.
"As organisations modernise and adopt AI-driven development, telemetry has become one of their most valuable yet challenging assets," said Michael Kelly, Chief Executive Officer of Bindplane. "Bindplane helps customers reduce complexity, improve data quality, and accelerate their digital transformation. We're excited to join Dynatrace and enable even more teams around the world to turn their data into a strategic advantage."
The transaction is expected to close later this month, subject to customary closing conditions. Dynatrace does not expect it to have a material impact on its FY27 financial results.