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A detailed post explains that Datadog's billing mechanics for custom metrics, log indexing, APM, and host-tiering can cause costs to escalate unexpectedly and outpace the growth of a customer's...

What happened

A detailed post explains that Datadog's billing mechanics for custom metrics, log indexing, APM, and host-tiering can cause costs to escalate unexpectedly and outpace the growth of a customer's actual AWS bill.

Source

RedditAug 31, 2026By u/Nylor_Tech

r/aws

Datadog costs that quietly outpace your actual AWS growth - the mechanics

upvotes
10
comments
4

Post

Highlighted: the lines this signal was extracted from

Been seeing "why is our Datadog line item bigger than half our AWS bill" come up enough that it's worth writing down the actual mechanics, since none of them are Datadog doing anything wrong, they're just invisible until the invoice. Custom metric cardinality. You're billed per unique tag-value combination, not per metric. A metric tagged with customer_id looks cheap at 50 customers. Add one more tag with 40 distinct values and you're not adding cost, you're multiplying it, 50 time series becomes 2,000 on something that "didn't change." Log indexing separate from ingestion. Ingestion is cheap, indexing isn't, and the default is to index everything unless someone's scoped it down with exclusion filters. A logging level left at debug in one Lambda or ECS service can 10x indexed volume overnight with zero AWS-side change. APM span indexing. Same shape as logs. A sampling rate change, or just a new high-traffic route joining an existing trace, moves you from a small sampled fraction toward near-full indexing. Host-tier pricing steps. Per-host pricing has boundaries, not a smooth curve. An ASG scaling event during a traffic spike can cross a tier line and produce a jump that's out of proportion to what actually changed in EC2. The pattern that trips people up: your AWS bill moves with real usage, your Datadog bill moves with telemetry configuration, and almost nobody treats...

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Also quoted as evidence

  • The pattern that trips people up: your AWS bill moves with real usage, your Datadog bill moves with telemetry configuration, and almost nobody treats telemetry config with the same scrutiny as infra.

    From the post

Comments on the post

3 of 4 comments
  • “I recently was evaluating DataDog with their account team that reached out to me. I asked on several occasions I wanted to know what my bill would be, and specifically I needed to understand the calculus of cost control. They knew I'm an Ex-AWS SA and know how cost control was something I didn't want to deal with patnering with an observaility stack. Still they kept sliding the question regard”

    u/Habikki16 points · Aug 31, 2026View

  • “Look forward to "Bits AI" as the new drug being sold by Datadog - the free token period is now over. Agree with most of the points written here - Datadog is a great product, but failing to understand the cost structures and how to use them wisely is almost a full time job in itself.”

    u/magnetik794 points · Sep 1, 2026View

  • “yeah, never went with them after demo because they were so expensive. they keep barking up my tree too and im like, is it any better, and they're like, [salesbro static noise] and im like, uh huh...”

    u/seanconnery841 points · Sep 2, 2026View

Extracted by Autobound

From the Signal API record
Signal
Customer feedback

What this signalsUser posts often show product pain before it reaches reviews or churn.

Subreddit
r/aws

Companies

  • Amazon Web ServicesAlso named

The full record

From the Signal API record

Numbers

Mentions
1

Details

Timing
Ongoing state
Category
Pricing
Virality
Low
Post kind
Text
Prominence
Core
Company's role
Vendor

Topics and mentions

Topics

  • cost management
  • observability
  • cloud costs
  • pricing
  • billing

Flair

  • discussion

Products named

  • APM

Extraction

Sentiment
Negative
Detected
Aug 31, 2026
signal_type
reddit-company
signal_subtype
customerFeedback

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This page shows a preview. The full reddit-company record in the Signal API and MCP can also have these 8 fields. Some fields are empty for some signals.

Company

  • linkedin_urlValue in the API
  • industriesValue in the API
  • employee_count_lowValue in the API
  • employee_count_highValue in the API
  • revenueValue in the API
  • descriptionValue in the API

Signal

  • signal_nameValue in the API
  • associationValue in the API
Show the full JSONThe record on this page and the API request

GET /v1/signals/1ba2203f-53f4-5bfc-afc3-8765944bded6 returns this record as JSON. POST /v1/companies/enrich returns every signal for datadoghq.com.

{
  "signal_id": "1ba2203f-53f4-5bfc-afc3-8765944bded6",
  "signal_type": "reddit-company",
  "signal_subtype": "customerFeedback",
  "detected_at": "2026-08-31T15:39:47+00:00",
  "company": {
    "name": "Datadog",
    "domain": "datadoghq.com"
  },
  "data": {
    "nsfw": false,
    "stage": "none",
    "awards": 0,
    "timing": "ongoing_state",
    "topics": [
      "pricing",
      "cost management",
      "observability",
      "cloud costs",
      "billing"
    ],
    "post_id": "1w3hffb",
    "summary": "A detailed post explains that Datadog's billing mechanics for custom metrics, log indexing, APM, and host-tiering can cause costs to escalate unexpectedly and outpace the growth of a customer's actual AWS bill.",
    "category": "pricing",
    "comments": [
      {
        "url": "https://www.reddit.com/r/aws/comments/1w3hffb/comment/p72qasd/",
        "depth": 0,
        "score": 16,
        "author": "Habikki",
        "excerpt": "I recently was evaluating DataDog with their account team that reached out to me. I asked on several occasions I wanted to know what my bill would be, and specifically I needed to understand the calculus of cost control.\n\n They knew I'm an Ex-AWS SA and know how cost control was something I didn't want to deal with patnering with an observaility stack.\n\n Still they kept sliding the question regard",
        "posted_at": "2026-08-31T22:59:30.000Z",
        "author_url": "https://www.reddit.com/user/Habikki/"
      },
      {
        "url": "https://www.reddit.com/r/aws/comments/1w3hffb/comment/p74ewfd/",
        "depth": 0,
        "score": 4,
        "author": "magnetik79",
        "excerpt": "Look forward to \"Bits AI\" as the new drug being sold by Datadog - the free token period is now over.\n\n Agree with most of the points written here - Datadog is a great product, but failing to understand the cost structures and how to use them wisely is almost a full time job in itself.",
        "posted_at": "2026-09-01T05:03:19.000Z",
        "author_url": "https://www.reddit.com/user/magnetik79/"
      },
      {
        "url": "https://www.reddit.com/r/aws/comments/1w3hffb/comment/p7dp3vh/",
        "depth": 0,
        "score": 1,
        "author": "seanconnery84",
        "excerpt": "yeah, never went with them after demo because they were so expensive. they keep barking up my tree too and im like, is it any better, and they're like, [salesbro static noise] and im like, uh huh...",
        "posted_at": "2026-09-02T14:09:56.000Z",
        "author_url": "https://www.reddit.com/user/seanconnery84/"
      }
    ],
    "evidence": [
      "[post] Been seeing \"why is our Datadog line item bigger than half our AWS bill\" come up enough that it's worth writing down the actual mechanics, since none of them are Datadog doing anything wrong, they're just invisible until the invoice.",
      "[post] Custom metric cardinality. You're billed per unique tag-value combination, not per metric. A metric tagged with customer_id looks cheap at 50 customers. Add one more tag with 40 distinct values and you're not adding cost, you're multiplying it, 50 time series becomes 2,000 on something that \"didn't change.\"",
      "[post] The pattern that trips people up: your AWS bill moves with real usage, your Datadog bill moves with telemetry configuration, and almost nobody treats telemetry config with the same scrutiny as infra."
    ],
    "virality": "low",
    "post_date": "2026-08-31T15:39:47.000Z",
    "post_kind": "text",
    "post_text": "Been seeing \"why is our Datadog line item bigger than half our AWS bill\" come up enough that it's worth writing down the actual mechanics, since none of them are Datadog doing anything wrong, they're just invisible until the invoice.\n\nCustom metric cardinality. You're billed per unique tag-value combination, not per metric. A metric tagged with customer_id looks cheap at 50 customers. Add one more tag with 40 distinct values and you're not adding cost, you're multiplying it, 50 time series becomes 2,000 on something that \"didn't change.\"\n\nLog indexing separate from ingestion. Ingestion is cheap, indexing isn't, and the default is to index everything unless someone's scoped it down with exclusion filters. A logging level left at debug in one Lambda or ECS service can 10x indexed volume overnight with zero AWS-side change.\n\nAPM span indexing. Same shape as logs. A sampling rate change, or just a new high-traffic route joining an existing trace, moves you from a small sampled fraction toward near-full indexing.\n\nHost-tier pricing steps. Per-host pricing has boundaries, not a smooth curve. An ASG scaling event during a traffic spike can cross a tier line and produce a jump that's out of proportion to what actually changed in EC2.\n\nThe pattern that trips people up: your AWS bill moves with real usage, your Datadog bill moves with telemetry configuration, and almost nobody treats...",
    "sentiment": "negative",
    "subreddit": "aws",
    "post_flair": [
      "discussion"
    ],
    "post_title": "Datadog costs that quietly outpace your actual AWS growth - the mechanics",
    "prominence": "core",
    "source_url": "https://www.reddit.com/r/aws/comments/1w3hffb/datadog_costs_that_quietly_outpace_your_actual/",
    "entity_role": "vendor",
    "post_author": "Nylor_Tech",
    "upvote_ratio": 0.6923076923076923,
    "mention_count": 1,
    "mention_surge": false,
    "subreddit_url": "https://www.reddit.com/r/aws/",
    "total_upvotes": 10,
    "comments_total": 4,
    "total_comments": 4,
    "other_companies": [
      {
        "name": "Amazon Web Services",
        "role": "partner",
        "domain": "amazon.com"
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    ],
    "post_author_url": "https://www.reddit.com/user/Nylor_Tech/",
    "signal_category": "feedback",
    "comments_included": 3,
    "products_mentioned": [
      "APM"
    ]
  }
}

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