Tel Aviv-based observability platform Coralogix has officially entered the unicorn club, following its latest funding round of $115 million. The round, which brings the company's valuation to over $1.4 billion, comes at a time when demand for advanced AI-powered observability tools is surging across global markets—including India, which Coralogix has identified as a key growth region.

Founded in 2014, Coralogix offers a comprehensive platform for log analytics, metrics, tracing, and security data monitoring. It has gained significant traction in the cloud-native ecosystem by helping engineering teams make sense of vast volumes of operational data in real time, without relying on costly indexing systems.

India’s Role in the Expansion Strategy

India has been central to Coralogix’s international roadmap. The company launched operations in the country in 2020 and has since built a significant presence, with over 50 employees across Bangalore, Pune, and Hyderabad. Its India-based R&D team is expected to expand in the coming year as part of the company’s long-term strategy to localize development and customer support.

In a statement, Ariel Assaraf, Co-founder and CEO of Coralogix, noted that the company sees India not just as a talent hub but also as a key market for business adoption. “India has a strong and rapidly maturing DevOps and cloud-native community. As enterprises scale their digital infrastructure, they require observability solutions that are affordable, scalable, and AI-ready,” Assaraf said.

Focus on Cost-Efficiency and AI Capabilities

One of Coralogix’s primary differentiators is its approach to cost optimization. Traditional observability platforms often rely on data indexing, which increases storage and computing costs. Coralogix’s solution avoids this by leveraging streaming analytics and in-stream alerting, allowing customers to monitor and act on data in real time without incurring high overheads.

This design has made the platform especially appealing to companies in India and Southeast Asia, where infrastructure cost sensitivity remains high. By enabling smarter data routing and reduced data retention requirements, Coralogix promises to lower monitoring costs by up to 70%, according to internal estimates.

The company has also been developing its own AI assistant, “Olly,” which leverages generative AI and machine learning to help engineers diagnose system issues, flag anomalies, and get real-time operational insights—all through natural language prompts. Olly is currently in beta and is expected to roll out to a wider audience in the coming months.

Strong Global and Regional Backing

The funding round was led by new investors Greenfield Partners and Red Dot Capital, with participation from existing backers such as StageOne Ventures, Maor Investments, and 2B Angels. The capital will be used to accelerate product development and support market expansion, particularly in India, Europe, and the United States.

In India, Coralogix counts several leading digital-first businesses and SaaS firms as clients. While the company has not disclosed specific names, industry sources indicate adoption across sectors such as fintech, e-commerce, and telecommunications—segments known for demanding high system uptime and observability reliability.

A Growing Observability Market

The global observability and monitoring tools market is projected to exceed $17 billion by 2030, according to Fortune Business Insights. In India, this growth is being driven by increased investments in cloud migration, containerized applications, and security monitoring in DevOps environments.

The rise of microservices, Kubernetes orchestration, and distributed systems has made observability a critical function for tech teams managing large-scale infrastructure. Startups and enterprises alike are prioritizing tools that can provide both cost efficiency and advanced diagnostics—criteria that Coralogix’s platform aims to meet.

Outlook

As Coralogix cements its unicorn status, its plans for deeper India engagement reflect a broader trend of global SaaS companies betting big on the region’s growth potential. With rising adoption of AI-driven tools and a tech-savvy developer base, India is set to play a pivotal role in the evolution of the observability ecosystem.

Whether Coralogix can maintain its momentum in a competitive space remains to be seen, but its recent funding, AI product roadmap, and regional focus place it firmly on the list of SaaS firms to watch in 2025.