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From Alert Noise to Actionable Signals: Lessons from Production

September 30, 2026
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AI Observability

Monitor, Evaluate, and Improve Your AI

Most tools log what your AI did. AI observability on OpenObserve also tells you whether it was any good, and helps you make it better - by scoring quality on live traffic, running experiments before you ship, and turning human review into datasets. All beside the logs, metrics and traces underneath.

Read the Docs
Walkthrough of OpenObserve AI Observability: the Quality dashboard scoring answer relevance, hallucination, bias and toxicity across span, trace and session evaluations
Definition

What Is AI Observability?

AI observability is the practice of monitoring, evaluating and improving AI systems in production. It combines telemetry from LLM and agent applications - traces, tokens, latency, cost - with quality evaluation - is the output faithful, relevant and safe - so teams can debug what an AI did, measure whether it was good, and make it better over time.

01 · Monitor

See What Happened

Every prompt, tool call and agent handoff captured as a trace, with token cost and latency on each span.

02 · Evaluate

Know If It Was Good

Score outputs for relevance, hallucination, toxicity and bias - on live traffic, and against test sets before you ship.

03 · Improve

Make It Better

Compare experiments, review with humans, distill into datasets, and promote the version that actually improved.

The Gap

Monitoring Tells You It Ran. Evaluation Tells You It Was Good.

An AI app can return a fast, error-free answer that is completely wrong. APM suites and tracing tools capture latency, errors and tokens - but a hallucination returns HTTP 200. AI observability adds the axis they miss.

Monitoring / APM

It Ran

  • Latency and errors
  • Token count and cost
  • Traces and spans
  • Was the answer correct? - not answered
  • Did it improve last release? - not answered

AI Observability · OpenObserve

It Ran, and It Was Good

  • Everything on the left, plus
  • Faithfulness, relevance and safety scores
  • Online evals on production traffic
  • Offline experiments before you ship
  • Human review, distilled into datasets

Pure eval tools skip the infrastructure. APM suites skip the quality. OpenObserve does both, in one store.

Inside the Product

From a Live Score to the Next Version You Ship

Six views of one loop: score live traffic, test a change before it ships, and keep what the review taught you.

Online Evaluation

Score Quality on Live Traffic, Continuously

Score production traces the moment they arrive - LLM-as-a-judge on your own provider keys, or your own scoring service over HTTP.

  • Span, Trace or Session Scope

    One completion, a whole run, or an entire conversation.

  • A Threshold, Not a Bare Number

    Each config knows its own healthy line, so a score reads as a verdict.

  • Scores Sit on the Span

    Quality lands beside that span's cost and latency. No second bill.

Score config detail showing healthy rate over time and the true versus false breakdown for a bias evaluator
Offline Experiments

Test a New Version Before It Hits Production

Run your agent against a dataset, score every row, and compare two runs side by side - before you promote the change, not after.

  • Three Ways to Produce Output

    An inline prompt, your agent's own endpoint, or the SDK in CI.

  • Compare, Then Promote

    See which run actually improved instead of shipping on a hunch.

  • Trials and Dispersion

    Several trials per row flag where the agent cannot make up its mind.

An experiment scoring every row of a dataset across two trials, with progress, dispersion and a compare button
Scoring

LLM-as-a-Judge, or Your Own Scorer

A scorer pairs a judge prompt with a score config, grading an output into a number or a label you can threshold, chart and alert on.

  • Built-In Judges

    Relevance, hallucination, toxicity, bias, coherence and more.

  • Or Keep the One You Trust

    Remote scorers call your own endpoint, with retries and auth.

  • Everything Is Versioned

    Tightening a rubric never rewrites last quarter's numbers.

A list of LLM-as-a-judge scorers, each producing a versioned score config used by evaluation jobs
Human Annotation

Put a Human in the Loop, Keep the Result

Route real traces, spans or sessions into a review queue, and let reviewers score them alongside the automatic evaluators.

  • Human Scores Beside System Scores

    Not on top of them - so you can see where the two disagree.

  • One Click to a Dataset

    An annotated item becomes an input paired with its expected output.

  • Reference-Based Scoring

    With an expected output, the judge grades against it.

A reviewer scoring a trace by hand next to the automatic system score, with an option to distill it into a dataset
Datasets

Your Test Sets, and Your Code, in the Loop

The memory of your eval system: inputs, expected outputs, tags and versions - built from production traces, a CSV, or the SDK.

  • Built From Real Traffic

    Distill the traces you care about instead of inventing a test set.

  • Score in Your Own Code

    openobserve-python scores on your client or in CI and reports back.

  • Versioned Test Sets

    March's experiment stays comparable to one run today.

A versioned dataset of inputs and expected outputs used to run offline experiments
Monitoring

And It Is Still Real Observability Underneath

Every score sits on a real OpenTelemetry trace. Replay the session, see the cost and tool hotspots, and open the span behind a low score.

  • Every Score Sits on a Trace

    Jump from a low score straight to the span that produced it.

  • Sessions and Agent Graph

    Replay a multi-turn conversation, cost and quality rolled up.

  • Infrastructure, Same Store

    The Postgres lock behind a slow agent is a row in the same trace.

A session replay with cost, tool and latency hotspots for a multi-turn agent conversation
Where It Lands

Eval-Native Depth, APM-Grade Context

Pure eval tools cannot see your infrastructure. APM suites cannot score your outputs. OpenObserve is the one platform that does both - and self-hosts.

CapabilityOpenObserve Eval-Native Tools
Langfuse, Braintrust, Arize
APM Suites
Datadog, Dynatrace
Online evaluation on production traffic
Score live spans, traces and sessions
~
Offline experiments before you ship
Run a dataset, compare two versions
-
Human annotation into datasets
Review queues, distilled into test sets
-
Versioned scorers and score configs
History stays comparable
~
Correlate with logs, metrics and Kubernetes
The Postgres lock in the same trace
-
Self-host the full product, open source
Prompts never leave your infrastructure
~-
Alerts, SLOs and incidents built in
An AI regression pages your on-call
~
Per-GB pricing, full-payload retention
Keep prompts for a year, not a fortnight
~-
full support · ~ partial or add-on · - not available. Category-level summary as of September 2026; individual products vary, and evaluation features on OpenObserve are an enterprise capability.
Benchmarks

Full-Fidelity AI Traces, Priced to Keep

A prompt-and-response payload is kilobytes per span. Sampling to save money is how you lose the one trace the incident lived in. Every number below is measured against a named vendor, not an industry average.

  • vs. Elastic

    140×

    storage efficiency

    Keep full prompts, responses and scores for a year instead of a fortnight.

    Read case study
  • vs. Datadog

    8×

    more cost-effective

    AI observability and the rest of your stack on one bill, not two.

    Read case study
  • vs. Grafana stack

    5–15×

    faster queries

    Search a month of agent traffic in milliseconds, not minutes.

    Read case study

Comparing us to an eval-native tool instead? See how much you would save switching today.

Testimonials

What Teams Say Running OpenObserve

Correlate between environments and signals across various sources with OpenObserve's built-in correlation engine.

Debo Ray

“OpenObserve helped us migrate from Datadog in under an hour... reducing observability costs by 4x.”

4x

Lower observability cost

< 1 hour

Migrated off Datadog

Flat pricing

No month-end surprises

Debo Ray

Debo Ray

CEO, DevZero

AI Observability, Answered

Observe, Evaluate and Improve Your AI in One Place

Point your OpenTelemetry exporter at OpenObserve and watch the first traces, scores and experiments land.

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