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Software · head to head

Datadog vs New Relic

Datadog logo

Datadog

Software

Modern monitoring & security

From
$15/month
Rated
-
Full reviewWebsite
New Relic logo

New Relic

Software

Observability made simple

From
Free
Rated
-
Full reviewWebsite

The short version

  • Only New Relic has a free tier, so it costs nothing to try first.
  • Each has a real cost: Datadog consumption-based pricing model makes costs hard to predict and can scale quickly; New Relic data ingest costs can be high for large-scale deployments with high logging volume, making budgeting difficult
  • They diverge on capability: Datadog covers Infrastructure monitoring, New Relic covers APM.

Where they differ

Only the attributes on which Datadog and New Relic actually diverge.

Attributes where Datadog and New Relic differ
AttributeDatadogNew Relic
Starting price$15/monthFree
Free tierNoYes
PlatformsWeb, Linux, Windows, macOSWeb, Api, Mobile
Founded20102008

Identical on both: pricing model (Unknown), user rating (Not yet rated), category (Unknown).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in Datadog

  • Infrastructure monitoring
  • Application performance monitoring
  • Log management
  • Real user monitoring
  • Synthetic monitoring
  • Security monitoring
  • Network monitoring
  • Serverless monitoring

Only in New Relic

  • APM
  • Infrastructure Monitoring
  • Log Management
  • Browser Monitoring
  • Synthetic Monitoring
  • Mobile Monitoring
  • Kubernetes Monitoring
  • AI Ops

Both cover

  • AWS
  • Azure
  • Kubernetes
  • PagerDuty
  • SOC2
  • ISO27001
  • HIPAA
  • FedRAMP

What people use each for

The jobs each tool is most often brought in to do.

Datadog

  • Infrastructure monitoring
  • Application performancenot New Relic
  • Security monitoringnot New Relic
  • Log analysisnot New Relic
  • Cloud monitoringnot New Relic

New Relic

  • Application monitoringnot Datadog
  • Infrastructure monitoring
  • Error trackingnot Datadog
  • Performance optimizationnot Datadog

Both are used for infrastructure monitoring, on those jobs the choice comes down to price and fit rather than capability.

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Datadog

  • Consumption-based pricing model makes costs hard to predict and can scale quickly
  • Add-on modules significantly increase costs: custom metrics, indexed spans, extended retention
  • No free tier for production monitoring
  • High costs for organizations with large amounts of log data or high-cardinality metrics

New Relic

  • Data ingest costs can be high for large-scale deployments with high logging volume, making budgeting difficult
  • Core user licensing model adds complexity to pricing with distinction between full platform users and basic users
  • Default logs obfuscation may miss some sensitive patterns requiring custom configuration
  • Retention limits even on paid tiers require additional storage for long-term compliance requirements

Pricing, plan by plan

Datadog

$15/month
  • Infrastructure Monitoring$15/month
    • Host monitoring
    • Basic dashboards
  • APM$31/month
    • Application performance monitoring
    • Trace collection
  • Log Management$0.1/gb
    • Log indexing
    • Search and filter

New Relic

Free

No published plan breakdown. See the New Relic review.

Which should you pick?

Choose Datadog if

  • You need infrastructure monitoring.
  • You work on Web, Linux, Windows, macOS.
  • You also want application performance monitoring.
Datadog review

Choose New Relic if

  • You need apm.
  • You want to start without paying.
  • You work on Web, Api, Mobile.
  • You also want infrastructure monitoring.
New Relic review

Questions people ask

Is Datadog or New Relic better?
Neither clearly leads. Datadog starts at $15/month and New Relic at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Datadog or New Relic?
New Relic has a free tier; the other does not. Paid plans start at $15/month for Datadog and Free for New Relic.
Does Datadog or New Relic run on more platforms?
Datadog runs on Web, Linux, Windows, macOS. New Relic runs on Web, Api, Mobile.
Can I use New Relic for free?
Yes. New Relic has a free tier, so you can try it without paying. Datadog starts at $15/month.
What is Datadog best used for?
Datadog is most often used for infrastructure monitoring, application performance, security monitoring, log analysis. Of those, application performance and security monitoring are not what New Relic is typically brought in for.
What can Datadog do that New Relic cannot?
Datadog covers Infrastructure monitoring, Application performance monitoring, Log management, Real user monitoring. New Relic covers APM, Infrastructure Monitoring, Log Management, Browser Monitoring. Both handle AWS, Azure, Kubernetes, PagerDuty.

Answered from the vendors’ own pages

Datadog: How is Datadog pricing structured?

Datadog uses consumption-based pricing tied to data volume ingested, hosts monitored, and products enabled. Infrastructure Monitoring starts at $15/host/month, APM at $31/host/month, and Log Management at $0.10/GB for indexed logs.

Source
New Relic: Does New Relic offer a free tier?

Yes, New Relic's free tier is perpetual with no credit card required. It includes 100 GB of free data ingest monthly, one Full Platform User with access to all 50+ capabilities, and unlimited Basic Users for querying and dashboard creation.

Source
Datadog: Does Datadog offer a free tier?

Datadog offers a free trial but not a permanent free tier for production monitoring. Pricing begins with paid plans only.

Source
New Relic: How much does New Relic cost for paid plans?

Paid plans start at $49 per month per core user. New Relic uses consumption-based pricing where you pay only for what you use. Annual commitment options are available with volume discounts for larger teams.

Source
Datadog: What integrations does Datadog support?

Datadog offers 1000+ built-in integrations including AWS, Kubernetes, Docker, Azure, GCP, and most major cloud platforms and services.

Source
New Relic: What data retention is included in New Relic's free tier?

The free tier includes a minimum of 8 days data retention for troubleshooting. Paid plans offer extended retention periods and customizable data retention policies.

Source
Datadog: Can Datadog monitor Kubernetes clusters?

Yes. The Datadog Agent runs as a DaemonSet to provide real-time visibility into pods, nodes, deployments, and control-plane health across major Kubernetes distributions including EKS, AKS, GKE, OpenShift, and others.

Source
New Relic: How many integrations does New Relic support?

New Relic provides access to 780+ integrations and unlimited hosts at no additional cost. These include monitoring integrations for various cloud services, databases, and applications.

Source
Datadog: How can I reduce Datadog costs?

Datadog bills based on indexed logs, custom metrics, and high-cardinality tags. Costs can be unpredictable and may run 2-3x estimates. Prepaying annually can secure 5-15% discounts.

Source
New Relic: Can I use New Relic to monitor multiple cloud providers?

Yes, New Relic is cloud-agnostic and supports monitoring across AWS, Google Cloud, Azure, and on-premises infrastructure in a single platform.

Source
New Relic: What is New Relic's ownership structure today?

New Relic was acquired by TPG and Francisco Partners on July 31, 2023, for $6.5 billion and transitioned from a publicly traded company to a private company in November 2023.

Source
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