New Relic is a comprehensive application performance monitoring (APM) and observability platform. It provides unified monitoring across metrics, logs, traces, and real-user monitoring (RUM) in a single SaaS solution. With over 780 integrations and 50+ observability capabilities, New Relic helps development and operations teams detect anomalies, analyze root causes, and optimize application performance.
However, several critical factors are driving engineering teams to evaluate alternatives:
- Complex pricing model: New Relic's user-based pricing ($99/user/month for full platform users) combined with data ingestion costs creates unpredictable bills that can scale rapidly
- Per-seat licensing concerns: At scale, user seat costs can represent up to 66% of the total observability bill
- CCU-based pricing complexity: The newer Compute Capacity Unit (CCU) pricing model makes cost forecasting nearly impossible
- Vendor lock-in: Proprietary agents and query languages create switching barriers
- Open source preference: Teams increasingly want OpenTelemetry-native solutions for vendor flexibility
In this comprehensive guide, we'll explore ten alternatives that address these concerns, from open-source platforms to specialized SaaS solutions, helping you find the right observability tool for your needs.
Why Teams Are Seeking New Relic Alternatives
Cost Optimization Challenges
New Relic's pricing model has become a significant pain point for growing organizations. The platform charges based on two primary dimensions:
- Data ingestion: $0.30-$0.50 per GB beyond the free 100 GB/month tier
- User licensing: $99/month for full platform users, $49/month for core users
For a 50-person engineering team, user licenses alone cost $4,950/month before any data ingestion. One engineering director reported paying $1,000/month while only ingesting 10% of their traces due to aggressive sampling to manage costs.
Billing Complexity and Bill Shock
Teams frequently experience unexpected charges due to:
- Hidden costs for JVM-level telemetry classified as "custom events"
- CCU consumption from dashboard refreshes and alert queries
- Data Plus add-ons at $0.50/GB for extended retention
- Premium support fees not included in base pricing
Limited Access and Team Fragmentation
To control costs, organizations often:
- Restrict full platform access to senior engineers only
- Force junior developers to use read-only dashboards
- Create workarounds where SREs share login credentials
- Build custom export tools for team members without licenses
OpenTelemetry and Vendor Flexibility
As OpenTelemetry becomes the industry standard for instrumentation, teams want observability platforms that natively support OTLP without proprietary agents. This enables future flexibility and prevents vendor lock-in.
What to Look for in a New Relic Alternative
When evaluating New Relic alternatives in 2026, assess these critical dimensions:
| Criterion |
Why It Matters |
What to Evaluate |
How to Test |
| Unified Observability |
Reduces tool sprawl and context switching |
Single pane for metrics, logs, traces; correlated views; cross-signal querying |
Run distributed transaction and trace from logs → metrics → traces |
| Cost Structure |
Budget predictability and scale economics |
Transparent pricing model; no per-user fees; cost at 2x, 5x, 10x scale |
Model costs for current + projected growth; compare real bills |
| Data Ownership |
Compliance, control, flexibility |
Self-hosted option; data export formats; retention control |
Review DPA, export data samples, test retention policies |
| Scalability |
Performance as data volume grows |
Ingestion throughput; query performance; storage efficiency |
Benchmark with production-scale data volumes |
| Migration Ease |
Time and risk to adopt |
OpenTelemetry support; agent compatibility; import tools |
Pilot migration with test cluster |
| Query Capabilities |
Investigation efficiency |
Query language (SQL, PromQL, NRQL); ad-hoc exploration; performance |
Perform real incident investigations |
| Alerting & Visualization |
Operational effectiveness |
Alert configuration; dashboard flexibility; notification channels |
Create production-grade alerts and dashboards |
| Integration Ecosystem |
Works with existing stack |
Cloud provider integrations; database connectors; third-party tools |
Test critical integrations |
| High-Cardinality Support |
Modern app requirements |
User-level tracking; request ID tracing; no performance penalties |
Test with 1M+ unique dimension values |
| Community & Support |
Long-term viability |
Active development; documentation quality; professional support |
Review GitHub activity, docs, and support SLAs |
Top 10 New Relic Alternatives
Jump to comparison table for New Relic alternatives tool comparison and use cases.
1. OpenObserve
OpenObserve is the #1 open-source New Relic alternative for teams wanting unified observability without vendor lock-in, per-user pricing, or complex billing models. It delivers 60-90% cost savings through 140x compression technology while providing New Relic-like unified experiences for logs, metrics, and traces.

OpenObserve Pros
- Unified New Relic Replacement: Logs, metrics, and traces in one platform with correlated views
- No Per-User Pricing: Entire team gets access without licensing barriers
- OpenTelemetry-Native: Drop-in replacement for New Relic agents using vendor-neutral instrumentation
- SQL-Based Queries: Familiar query language instead of proprietary NRQL
- 140x Compression: Drastically lower storage and ingestion costs vs New Relic
- High-Volume Friendly: Handles large Kubernetes and microservices workloads efficiently
- Flexible Deployment: Self-hosted or cloud options for full data control
- Predictable Costs: Usage-based pricing without user seat fees
OpenObserve Cons
- Smaller integration marketplace compared to New Relic
- Requires SQL familiarity for advanced analysis
- Some enterprise features still maturing
- Newer platform with growing ecosystem
Integration / Mitigation
- Works seamlessly with OpenTelemetry Collector as a New Relic agent replacement
- Compatible with Prometheus remote write and existing exporters
- Can run alongside New Relic for phased migrations
- Pre-built dashboards ease transition from New Relic views
- Active community and enterprise support options available
2. Datadog
Datadog is a comprehensive cloud monitoring and observability platform that competes directly with New Relic in the enterprise APM space. It offers metrics, logs, traces, and extensive integrations in a unified SaaS solution.

Datadog Pros
- Extensive Integration Library: 900+ integrations for virtually any technology stack
- Real-Time Monitoring: Powerful live dashboards and instant metrics
- Strong APM Capabilities: Deep code-level performance insights with distributed tracing
- Security Monitoring: Built-in security and compliance features
- Mature Platform: Battle-tested at scale with enterprise reliability
Datadog Cons
- More Expensive Than New Relic: Costs can exceed New Relic at scale
- Complex Pricing: Per-host, per-metric, and feature-based charges
- Custom Metrics Costs: Auto-generated metrics create unexpected bills
- Proprietary Lock-In: Uses proprietary agents and SDKs
Integration / Mitigation
- OpenTelemetry support available (though not native)
- Strong migration documentation from New Relic
- 14-day free trial for evaluation
- Enterprise discounts available for large deployments
3. Dynatrace
Dynatrace is an enterprise-grade observability platform focused on automated instrumentation, AI-driven insights, and large-scale environments. Its Davis AI engine provides automatic root cause analysis.

Dynatrace Pros
- Automatic Instrumentation: OneAgent auto-discovers and instruments services
- Davis AI Engine: AI-powered root cause analysis reduces alert noise
- Enterprise-Ready: Handles very large, complex enterprise environments
- Hybrid & On-Prem Support: Suitable for regulated industries
- End-to-End Visibility: From infrastructure to user experience
Dynatrace Cons
- Premium Pricing: Often higher than New Relic
- DDU-Based Billing: Complex Davis Data Unit pricing model
- Steep Learning Curve: Full platform mastery requires significant investment
- Less Flexible: More opinionated than open-source alternatives
Integration / Mitigation
- OneAgent simplifies migration from New Relic agents
- OpenTelemetry support for partial vendor neutrality
- Strong enterprise support and professional services
- Best suited for large enterprises with complex environments
4. Grafana Stack (Grafana + Prometheus + Loki + Tempo)
Grafana Stack is a popular open-source observability ecosystem composed of multiple best-in-class tools for metrics, logs, and traces, offering maximum flexibility at the cost of higher operational complexity.

Grafana Stack Pros
- Industry-Standard Metrics: Prometheus is the CNCF standard for Kubernetes monitoring
- Open Source & Vendor-Neutral: No proprietary formats or lock-in
- Highly Customizable Dashboards: Grafana visualization exceeds New Relic's flexibility
- Large Ecosystem: Thousands of exporters, plugins, and integrations
- Cloud or Self-Hosted: Full control over deployment
- Strong Community: Battle-tested with massive community support
Grafana Stack Cons
- Not a Single Product: Requires managing multiple systems (Prometheus, Loki, Tempo)
- Operational Overhead: Significant complexity at scale
- Integration Complexity: Correlating data across tools requires effort
- Steeper Learning Curve: Multiple query languages (PromQL, LogQL)
Integration / Mitigation
- OpenTelemetry Collector can replace New Relic agents
- Can be adopted incrementally (metrics first, logs later)
- Grafana Cloud offers managed path for simpler operations
- Strong documentation and community resources
5. Honeycomb
Honeycomb is a modern observability platform focused on high-cardinality observability and debugging distributed systems. It's designed for teams practicing observability-driven development.

Honeycomb Pros
- Excellent for Microservices Debugging: Purpose-built for distributed tracing
- High-Cardinality Friendly: Handles user IDs, request IDs without performance issues
- Fast Exploratory Queries: Rapid ad-hoc investigation of unknown issues
- Strong SLO & Burn Rate Workflows: First-class SLO support with error budgets
- Developer-Centric Experience: Built around developer and SRE workflows
- AI-Native Features: Anomaly detection, MCP, and Canvas capabilities
Honeycomb Cons
- SaaS-Only: No self-hosted option available
- Different Mental Model: Event-based approach has learning curve
- Less Traditional Dashboards: Not designed for infrastructure monitoring
- Event-Based Pricing: Costs scale with event volume
Integration / Mitigation
- OpenTelemetry-native ingestion
- Can selectively replace New Relic APM
- Strong for microservices while using other tools for infrastructure
- Free tier available for evaluation
6. Elastic Observability (ELK Stack)
Elastic Observability is a well-known New Relic alternative for teams heavily focused on log analytics and search-driven observability, built on the powerful Elasticsearch engine.

Elastic Observability Pros
- Powerful Log Search: Elasticsearch excels at full-text and structured search
- Unified Logs, Metrics, and APM: Covers most New Relic use cases
- Flexible Deployment: Cloud, self-hosted, or hybrid options
- Mature Ecosystem: Large community and extensive integrations
- Security + Observability: Strong SIEM capabilities overlap
Elastic Observability Cons
- Expensive to Operate at Scale: Resource-intensive infrastructure
- High Operational Overhead: Complex cluster management
- Storage Costs: Data grows quickly with full indexing
- KQL Learning Curve: Query language differs from NRQL
Integration / Mitigation
- Supports OpenTelemetry ingestion
- Beats and Logstash ease log migration from New Relic
- Managed Elastic Cloud reduces operational burden
- Strong for teams with existing Elasticsearch expertise
7. Splunk Observability
Splunk is an enterprise-grade platform known for log analytics, security, and compliance use cases. Splunk Observability Cloud extends these capabilities to full-stack observability.

Splunk Observability Pros
- Extremely Powerful Analytics: SPL enables deep correlation and investigation
- Enterprise-Grade Security: Strong compliance and audit capabilities
- Mature Platform: Proven reliability at massive scale
- On-Prem & Cloud Options: Flexible deployment models
- SignalFx APM: Strong real-time metrics and APM capabilities
Splunk Observability Cons
- One of the Most Expensive Options: Premium pricing across all tiers
- Complex Pricing and Licensing: Difficult to predict costs
- Steep Learning Curve: SPL mastery requires significant investment
- Often Overkill: Excessive for pure observability needs
Integration / Mitigation
- Universal Forwarders simplify data migration
- OpenTelemetry support improving
- Often used alongside other observability tools
- Strong for organizations with existing Splunk investment
8. Coralogix
Coralogix is a modern observability platform with advanced stream processing, customizable log pipelines, and cost optimization features. Its Streama technology allows flexible data tiering.

Coralogix Pros
- OpenTelemetry & Prometheus Compatible: Native OTLP ingestion
- Streama™ Cost Optimization: Decouple log indexing from storage
- Flexible Data Pipelines: Process and transform data before storage
- Real-Time Analysis: Stream processing for immediate insights
- Predictable Pricing: Transparent cost model
Coralogix Cons
- Smaller Market Presence: Less established than major players
- Learning Curve: Streama concepts require understanding
- Feature Gaps: Some advanced features still developing
- Limited APM Depth: Not as strong as dedicated APM tools
Integration / Mitigation
- Native OpenTelemetry support for migration
- Send non-critical logs to cold storage to reduce costs
- Can complement other APM tools
- Strong for log-heavy workloads
9. AppDynamics (Cisco)
AppDynamics is an enterprise APM-focused platform, particularly strong for business transaction monitoring and application-centric observability. Now part of Cisco's portfolio.
AppDynamics Pros
- Deep Application Performance Monitoring: Detailed code-level visibility
- Business Transaction Mapping: Connect technical performance to business impact
- Cisco Ecosystem Integration: Seamless integration with Cisco networking and security
- Hybrid & Legacy Friendly: Works well across on-prem and hybrid environments
- Cognition Engine AI: Automated anomaly correlation and root cause analysis
AppDynamics Cons
- Expensive Enterprise Pricing: Premium costs for full capabilities
- Heavy Agent-Based Approach: More resource-intensive than lightweight alternatives
- Less Cloud-Native: Not optimized for modern Kubernetes environments
- Complex Licensing: Unit-based pricing requires careful planning
Integration / Mitigation
- Agent-based migration from New Relic APM
- OpenTelemetry support improving
- Strong professional services for enterprise migration
- Best for enterprises prioritizing APM over infrastructure metrics
10. Uptrace
Uptrace is an OpenTelemetry-native observability platform focused on distributed tracing and lightweight APM. Built on ClickHouse for high-performance analytics, it offers a cost-effective alternative for teams embracing open standards.

Uptrace Pros
- OpenTelemetry-Native: Built from the ground up for OTLP, ensuring vendor neutrality
- ClickHouse Backend: Fast queries and efficient storage for high-volume trace data
- Cost-Effective: Significantly lower costs than New Relic for trace-heavy workloads
- Self-Hosted or Cloud: Flexible deployment options for data control
- Simple, Clean UI: Focused interface for tracing and debugging workflows
- Docker & Kubernetes Ready: Easy deployment in containerized environments
Uptrace Cons
- Smaller ecosystem compared to established platforms
- Less mature alerting features than New Relic
- Limited enterprise features
- Narrower scope than full observability platforms
Integration / Mitigation
- Seamless New Relic APM replacement via OpenTelemetry
- Docker and Kubernetes deployment options
- Can be paired with other tools for complete observability
- Active development with growing feature set
Comparison Table: New Relic Alternatives 2026
| Tool |
Deployment |
Metrics |
Logs |
Traces |
Pricing Model |
Why Teams Choose It Over New Relic |
Migration Ease |
| OpenObserve |
Self-hosted / Cloud |
✅ |
✅ |
✅ |
Usage-based, no per-user fees |
60-90% cost savings, unified observability without seat pricing |
⭐⭐⭐⭐⭐ (OTel-native) |
| Datadog |
SaaS |
✅ |
✅ |
✅ |
Host + Usage-based |
More integrations, stronger ecosystem |
⭐⭐⭐⭐ (Different pricing model) |
| Dynatrace |
SaaS / Hybrid |
✅ |
✅ |
✅ |
DDU-based |
AI-powered automation, enterprise-grade auto-instrumentation |
⭐⭐⭐⭐ (Auto-instrumentation) |
| Grafana Stack |
Self-hosted / Cloud |
✅ |
✅ |
✅ |
OSS + Managed |
Open-source flexibility, no vendor lock-in |
⭐⭐⭐ (Multiple components) |
| Honeycomb |
SaaS |
⚠️ |
⚠️ |
✅ |
Event-based |
Best high-cardinality tracing for microservices debugging |
⭐⭐⭐⭐⭐ (OTel-native) |
| Elastic Observability |
Self-hosted / Cloud |
✅ |
✅ |
✅ |
Data-based |
Superior log search, existing ELK expertise |
⭐⭐⭐ (More ops work) |
| Splunk Observability |
SaaS / On-prem |
✅ |
✅ |
✅ |
Data-volume based |
Enterprise compliance, security-focused environments |
⭐⭐⭐ (Different data model) |
| Coralogix |
SaaS |
✅ |
✅ |
✅ |
Usage + Tiering |
Cost optimization via Streama data tiering |
⭐⭐⭐⭐ (OTel support) |
| AppDynamics |
SaaS / On-prem |
✅ |
✅ |
✅ |
Unit-based |
Business transaction visibility, enterprise APM |
⭐⭐⭐ (Agent-heavy) |
| Uptrace |
Self-hosted / Cloud |
✅ |
✅ |
✅ |
Open Source + Cloud |
Lightweight APM, OpenTelemetry-native tracing |
⭐⭐⭐⭐⭐ (OTel-native) |
How to Choose the Right New Relic Alternative
Selecting the right New Relic alternative depends on several factors:
1. Budget Constraints
- Tight budget? Consider open source: OpenObserve, Grafana Stack
- Moderate budget? Coralogix, managed Grafana Cloud
- Enterprise budget? Dynatrace, AppDynamics, Splunk
2. Deployment Preference
- Self-hosted required? OpenObserve, Grafana Stack, Elastic, Uptrace
- SaaS preferred? OpenObserve Cloud, Datadog, Honeycomb, Dynatrace
- Hybrid needed? Dynatrace, Elastic, AppDynamics
3. Team Size and Access Requirements
- Large team (50+ engineers)? Avoid per-user pricing: OpenObserve, Honeycomb, Coralogix
- Small team with full access needs? Most options work; prioritize ease of use
- Limited access acceptable? New Relic's model may still work
4. Technical Expertise
- Strong DevOps team? Open source options offer maximum flexibility
- Limited operational resources? Managed SaaS solutions reduce burden
- Developer-focused team? Honeycomb, OpenObserve
5. Primary Use Case
- General observability: OpenObserve, Grafana Stack, Datadog
- APM-focused: OpenObserve, Dynatrace, AppDynamics, Datadog
- Log analytics: Elastic, Splunk, OpenObserve
- Distributed tracing: Honeycomb, OpenObserve, Grafana Tempo, Uptrace
- Security + observability: Splunk, Elastic
6. Migration Strategy
- Quick migration: Choose OpenTelemetry-native tools (OpenObserve, Honeycomb, Grafana Tempo, Uptrace)
- Gradual transition: Start with one signal type (logs or metrics)
- Parallel running: Run new tool alongside New Relic during evaluation
7. Compliance Requirements
- Data residency: OpenObserve (self-hosted), Elastic, Grafana Stack, Uptrace
- HIPAA/SOC2: OpenObserve, Dynatrace, Splunk, Datadog, New Relic Data Plus
- Air-gapped environments: Self-hosted options only
Conclusion
While New Relic remains a capable observability platform, various alternatives better suit specific needs, budgets, and technical requirements.
Key Takeaways
- OpenObserve stands out for teams wanting unified observability with no per-user pricing and open-source flexibility
- Open source options (OpenObserve, Grafana Stack) provide maximum control, transparency, and cost savings
- SaaS alternatives (Datadog, Honeycomb, Dynatrace) offer easier operations with different pricing models
- OpenTelemetry adoption makes migration significantly easier and prevents future vendor lock-in
- Start small: Pilot with non-critical services before full migration
The right choice depends on your team's specific needs, technical expertise, budget constraints, and long-term observability strategy. Many teams find that modern alternatives not only save costs but also provide better performance, more flexibility, and features specifically designed for cloud-native architectures.