Survey reveals gap between mission-critical
importance of full-stack observability to business success and the
maturity of observability practices across organizations,
uncovering 5 key insights to cross the chasm to achieve modern
observability
New Relic, Inc. (NYSE: NEWR), the observability company,
released the findings of its 2021 Observability Forecast. The
survey of nearly 1,300 software engineers, developers and IT
leaders uncovered that while 90% of respondents believe
observability is important and strategic to their business—and 94%
believe it to be strategic to their role—just 26% noted mature
observability practices within their business. Recognizing the
importance of closing that gap, 81% of C-Suite executives expect to
increase their observability budget in the coming year with 20%
expecting budgets to increase significantly.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20210914005487/en/
Importance of Observability (Graphic:
Business Wire)
“IT teams are under more pressure than ever to ship new features
faster, minimize downtime and resolve issues before they ever
impact customers,” noted Buddy Brewer, GVP & GM, New Relic.
“With the accelerated shift to digital resulting from the COVID-19
pandemic, the roles of software engineers and developers have
become more critical today, as has empowering them with a
data-driven approach to observability so they can plan, build,
deploy and run the great software that delivers great digital
experiences for their customers, employees and partners.”
During the pandemic, most organizations accelerated their
digital transformation initiatives by as much as three or four
years*. This phenomenon has condensed software development cycles
and burdened data pipelines, making both increasingly complex for
engineers and developers with multiple stages of telemetry ingest,
processing and compounded interdependencies between various systems
of record, applications, infrastructure and networks.
Yet despite the promises and because digital experiences are
built on thousands of microservices, today’s monitoring tools often
require engineers to spend an unreasonable amount of time stitching
together siloed data and switching context between a patchwork of
insufficient analysis tools for different parts of the tech
stack—only to discover blindspots because it’s too cumbersome and
too expensive to instrument the full estate. And even then,
engineers get stuck at what is happening, instead of being able to
focus on why it’s happening. In fact, 72% of our global survey
respondents noted having to toggle between at least two and 13%
between ten different tools to monitor the health of their
systems.
This all comes at significant cost to businesses—in shipping
delays, slow responses to outages, poor customer experiences and
time wasted that engineers could have spent on the higher priority,
business-impacting and creative coding they love.
Consolidating tools into a single, unified observability
platform is among the research report’s five key insights for
charting an organization’s path to achieving modern observability.
Adopting a data-driven approach for end-to-end observability,
expanding observability across the entire software ecosystem,
modernizing the IT budget for full-stack observability and
upleveling the value of observability to further engage the C-Suite
round out the list.
“The art and science of planning, building, deploying and
operating great software has changed forever,” noted Brewer.
“Modern observability—taking a data-driven approach by pairing a
unified data platform for all telemetry with full-stack analysis
tools wrapped in a consumption-based pricing model that makes all
data accessible to all engineers—positions IT teams to improve
uptime and reliability, drive operational efficiency and deliver
exceptional customer experiences that fuel innovation and
growth.”
Key findings from the 2021 Observability Forecast include:
Observability is mission critical
- 90% of respondents believe observability is important and
strategic to their business
- 94% believe observability is important to their role
- 81% of C-Suite executives expect to increase their
observability budget in the next year with 20% expecting budgets to
increase significantly
Observability delivers clear, positive business
impact
- 91% of IT decision makers (ITDMs) see observability as critical
at every stage of the software lifecycle with especially high
importance in planning and operations
- 42% believe observability helps support their digital
transformation with 23% noting it helps deliver better digital
experiences for end users
- 27% cite faster deployment with observability
- 25% believe observability helps the organization be more cost
effective
Massive opportunity to expand and mature observability
practices
- Survey respondents confirmed that outages are on the rise, and
that monitoring is fragmented
- Unsurprisingly, 72% noted having to toggle between at least two
and 13% between ten different tools to monitor the health or their
systems
- 23% of respondents said that they cannot gain end-to-end
observability at all
- 74% of respondents note room to grow their observability
practice with only 26% claiming a mature observability practice in
their business
- Additionally, opportunity exists to increase awareness of
observability and its benefits in New Zealand and Japan; More than
60% of respondents from New Zealand said they only were somewhat
familiar or not familiar with observability while the number was
even greater in Japan—Interestingly those very familiar with
observability or who self-identified as experts came from
Indonesia, India and Australia
Organizations lack a strategy or roadmap for
implementation
- Only 50% of respondents note their organizations are in the
process of implementing observability
- Lack of resources (38%), skills (29%) understanding of the
benefits (27%) and strategy (26%) are top barriers to success
- This could explain why 60% of respondents still monitor
telemetry data at the application level, leaving massive amounts of
valuable telemetry data unmonitored, thus foregoing an opportunity
to understand their environment more comprehensively.
Observability for Kubernetes and containers expected to grow
rapidly
- While the majority of IT decision makers (88%) are exploring
Kubernetes and containers at some level right now, 25% are
conducting research, 25% are evaluating, 29% are in development and
just 10% are in production
- There is hope amongst IT decision makers that this will change
as 40% expect to be in production within three years
- This is critical because achieving true observability hinges on
deploying solutions across all data that will automatically collect
and correlate observability data from any and all available
sources
IT leaders, software engineers and developers may access the
full 2021 Observability Forecast here. More information on how New
Relic empowers engineers with a data-driven approach to full stack
observability, please visit newrelic.com.
Research methodology:
On behalf of New Relic, CITE Research (www.citeresearch.com)
conducted an online survey among nearly 1,300 software engineers,
developers, IT leaders and executives across the globe in May-June
2021. This research was conducted in Australia, Canada, France,
Germany, Hong Kong, India, Indonesia, Ireland, Japan, Malaysia, New
Zealand, the Philippines, Singapore, Thailand, the US and the UK.
Respondents were screened to be employed full-time in Software
Development / IT with a designated title. Company size ranged from
less than 50 to more than 10,000 employees from a variety of
industries.
Additional Resources
- Get the 2021 Observability Forecast for free
- Learn about data-driven engineering
- Review latest New Relic updates at Nerdlog
*Source: According to a McKinsey Global Survey of executives,
their companies have accelerated the digitization of their customer
and supply-chain interactions and of their internal operations by
three to four years.
About New Relic
The world’s best engineering teams rely on New Relic to
visualize, analyze and troubleshoot their software. New Relic One
is the most powerful cloud-based observability platform built to
help organizations create more perfect software. Learn why
developers trust New Relic for improved uptime and performance,
greater scale and efficiency, and accelerated time to market at
newrelic.com.
Forward-Looking Statements
This press release contains “forward-looking” statements, as
that term is defined under the federal securities laws, including
but not limited to statements regarding New Relic’s 2021
Observability Forecast report and its findings and recommendations,
including the respondents’ expectations around increased
observability budgets and anticipated growth in observability for
Kubernetes and containers. The achievement or success of the
matters covered by such forward-looking statements are based on New
Relic’s current assumptions, expectations, and beliefs and are
subject to substantial risks, uncertainties, assumptions, and
changes in circumstances that may cause New Relic’s actual results,
performance, or achievements to differ materially from those
expressed or implied in any forward-looking statement. Further
information on factors that could affect New Relic’s financial and
other results and the forward-looking statements in this press
release is included in the filings New Relic makes with the SEC
from time to time, including in New Relic’s most recent Form 10-Q,
particularly under the captions “Risk Factors” and “Management’s
Discussion and Analysis of Financial Condition and Results of
Operations.” Copies of these documents may be obtained by visiting
New Relic’s Investor Relations website at http://ir.newrelic.com or
the SEC's website at www.sec.gov. New Relic assumes no obligation
and does not intend to update these forward-looking statements,
except as required by law.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210914005487/en/
Media Contact New Relic, Inc. PR@newrelic.com
Investor Contact Peter Goldmacher New Relic, Inc. 503-336-9280
IR@newrelic.com
New Relic (NYSE:NEWR)
Historical Stock Chart
From Aug 2024 to Sep 2024
New Relic (NYSE:NEWR)
Historical Stock Chart
From Sep 2023 to Sep 2024