Datadog Cost Optimization Guide

Why Datadog Costs Can Spike
Using a monitoring/observability platform like Datadog is great initially, but as your cloud usage, containers, metrics, and log volumes grow, costs can skyrocket. Key reasons include:
- Datadog pricing is often host- or container-based.
- Autoscaling nodes or containers without optimizing agent deployment can inflate bills.
- Uncontrolled logging, custom metrics, and tracing volumes can lead to high volume-based charges.
- Misconfigurations in cloud-native setups (like Kubernetes + FastAPI + React + Redis + Postgres) can accidentally increase host counts.
Verdict: Ignoring monitoring costs can quickly lead to surprise bills.
By Rahul Lamba
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