October 30, 2023 By Trent Shupe 3 min read

Businesses rely heavily on monitoring solutions to ensure the optimal performance and availability of their applications. While features and capabilities are important to evaluate, it’s also important to consider pricing to ensure the right solution that will meet your needs. 

Over the years, many legacy APM providers have developed complicated pricing structures that make it difficult to understand exactly what the solution will end up costing and discourages broad adoption by charging per user seat. That may have worked well in the past, but it can be insufficient for today’s modern cloud-native environments.

Remember the issue last year when a company got a USD 65 million surprise bill from their observability solution? While that specific pricing policy may have been changed, many legacy APM vendors still employ complicated pricing structures that produce unexpected charges and fees. Let’s take a look at some key pricing features to consider when evaluating an APM or observability platform.

Transparent and predictable pricing

Instana’s pricing structure is transparent and predictable. Instana follows a per-host pricing model, where customers are charged based on the number of hosts — physical or virtual — that need to be monitored. This straightforward approach eliminates confusion and simplifies budgeting, making it easier to estimate and control monitoring costs. In contrast, legacy APM tools like New Relic employ a more complex pricing framework, including charges for a combination of hosts, user seats, throughput and data retention, leading to potential surprises in monthly bills.

All-inclusive monitoring

Be careful with solutions that offer a low entry price but have additional charges for different features. With Instana, customers get access to all features and capabilities — all included in the base price. This means that you don’t have to worry about paying extra for essential capabilities such as distributed tracing, root cause analysis, service mapping, synthetic monitoring or anomaly detection.

Pricing built for microservices and containers

As the industry shifts towards microservices and containerized environments, Instana’s pricing structure aligns perfectly with these modern architectures. Instana offers granular pricing that allows you to monitor individual containers or microservices without having to pay for an entire container cluster or host. This level of flexibility allows you to only pay for what you use, helping to optimize costs and meet the specific needs of your application architecture. Most organizations monitoring cloud-native applications want to extend observability and monitoring information to all application stakeholders. When legacy APM providers employ usage-based pricing models, it creates a quandary for customers, making them choose between providing the tool to everyone that needs it and keeping costs down.

Easier scalability and growth

For growing businesses, Instana’s pricing model provides a more scalable and cost-effective path when compared to New Relic. As new hosts or containers are added to the infrastructure, you only pay for the additional resources being monitored, not the users monitoring it. This scalability aligns with your organization’s growth trajectory, allowing you to avoid unnecessary costs for infrastructure that is not yet deployed. And since Instana does not charge per user, it’s easy to onboard new users as you grow your business. In contrast, many legacy APM vendors, like New Relic, have complicated pricing structures that can become a significant cost burden as your business expands, as each new addition of a host, throughput, or data retention tier comes with additional charges.

Pricing considerations are a critical component when evaluating a monitoring solution. Having the right set of capabilities won’t do much good if the pricing structure inhibits you from using them when needed. Instana’s pricing structure offers organizations a more transparent, predictable, and cost-effective solution. Its per-host pricing, all-inclusive features, granular pricing for microservices, and scalability accommodate businesses of all sizes, so you only pay for what you need.

When considering a monitoring solution, it’s vital to evaluate not only the features but also the financial implications, making Instana a compelling choice for optimizing monitoring costs. If you have a legacy APM tool that produces surprise bills based on usage, it’s time to move to Instana. 

Explore Instana Price Calculator today
Was this article helpful?
YesNo

More from Automation

What you need to know about the CCPA rules on AI and automated decision-making technology

9 min read - In November 2023, the California Privacy Protection Agency (CPPA) released a set of draft regulations on the use of artificial intelligence (AI) and automated decision-making technology (ADMT).  The proposed rules are still in development, but organizations may want to pay close attention to their evolution. Because the state is home to many of the world's biggest technology companies, any AI regulations that California adopts could have an impact far beyond its borders.  Furthermore, a California appeals court recently ruled that…

Deployable architecture on IBM Cloud: A look at the IaC aspects of VPC landing zone 

5 min read - In the ever-evolving landscape of cloud infrastructure, creating a customizable and secure virtual private cloud (VPC) environment within a single region has become a necessity for many organizations. The VPC landing zone deployable architectures offers a solution to this need through a set of starting templates that can be quickly adapted to fit your specific requirements. The VPC Landing Zone deployable architecture leverages Infrastructure as Code (IaC) principles, that allow you to define your infrastructure in code and automate its…

Deployable architecture on IBM Cloud: Simplifying system deployment

3 min read - Deployable architecture (DA) refers to a specific design pattern or approach that allows an application or system to be easily deployed and managed across various environments. A deployable architecture involves components, modules and dependencies in a way that allows for seamless deployment and makes it easy for developers and operations teams to quickly deploy new features and updates to the system, without requiring extensive manual intervention. There are several key characteristics of a deployable architecture, which include: Automation: Deployable architecture…

IBM Newsletters

Get our newsletters and topic updates that deliver the latest thought leadership and insights on emerging trends.
Subscribe now More newsletters