Datadog LLM vs Lunary
Updated March 10, 2026
Overview
Datadog's LLM Observability extends its industry-leading APM platform to AI applications. It provides end-to-end tracing from LLM calls to infrastructure metrics, prompt and completion tracking, cost analysis, and quality evaluation—all integrated with Datadog's existing monitoring, logging, and alerting stack. Ideal for enterprises already using Datadog who want unified observability across traditional and AI workloads.
Lunary is an open-source LLM observability platform for monitoring AI applications in production. It provides request tracing, cost tracking, user analytics, and prompt management with a clean dashboard. Lunary can be self-hosted for data privacy and offers a managed cloud option.
Key features
Core capabilities each platform advertises.
- LLM monitoring within Datadog platform
- Unified APM + LLM observability
- Automatic instrumentation
- Cost and token tracking
- Integration with existing Datadog dashboards
Strengths and tradeoffs
What each tool does well, and the limitations to keep in mind.
Pros
- Seamless integration with Datadog's full observability suite for unified application monitoring
- Built-in sensitive data scanning and prompt injection detection for enhanced security
- Established enterprise platform with proven reliability and 9,700+ employees globally
- Automatic cost estimation for LLM requests using public pricing models
- Quick setup in seconds using their SDK
Cons
- Premium automatically activated at $120/day when LLM spans detected with no opt-out
- Can be expensive at scale compared to specialized LLM observability tools
- Requires familiarity with Datadog ecosystem for optimal usage
- Per-span pricing model may become costly for high-volume applications
Pros
- Production-ready platform
- Good performance
- Active development
- Strong features
Cons
- Enterprise pricing varies
- Setup complexity
- Learning curve required
Datadog LLM or Lunary — which should you choose?
Choose Datadog LLM if you wantChoose if you want
- Unified monitoring for AI and traditional services
- Enterprise LLM monitoring at scale
- Correlating LLM performance with infrastructure
- Compliance and audit logging
- Large-scale production monitoring
Choose Lunary if you wantChoose if you want
Compare Datadog LLM and Lunary on your own traffic
Respan lets you trace LLM and agent calls across any model or framework, A/B test prompts on production traffic, and route requests across 500+ models through one gateway.