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NEW YORK/SYDNEY - Datadog, Inc. (NASDAQ:DDOG), a $48.15 billion market cap company with impressive gross profit margins of 80%, announced today the launch of its complete product and service portfolio on Amazon Web Services’ (AWS) Asia-Pacific (Sydney) Region, expanding its global infrastructure footprint.
The new availability zone enables local data storage and processing capabilities for Datadog’s monitoring and security platform, allowing customers to meet Australian privacy, security, and data residency requirements. This expansion particularly benefits organizations in regulated sectors such as government, banking, healthcare, and higher education. The company’s strong financial health, as indicated by InvestingPro analysis, supports its ambitious expansion strategy.
"This milestone reinforces Datadog’s commitment to supporting the region’s advanced digital capabilities—especially the Australian Government’s ambition to make the country a leading digital economy," said Yanbing Li, Chief Product Officer at Datadog.
The Sydney region adds to Datadog’s existing locations across North America, Asia, and Europe, strengthening the company’s observability platform that enables customers to monitor their technology stack across deployment environments. With revenue growth of 25.54% in the last twelve months, Datadog continues to demonstrate strong market momentum.
Rob Thorne, Vice President for Asia-Pacific and Japan at Datadog, noted that Australian organizations are projected to spend nearly A$26.6 billion on public cloud services in 2025, highlighting the importance of local data storage capacity throughout the technology stack for organizations in regulated industries. According to InvestingPro, which offers comprehensive analysis and 14+ additional investment tips for Datadog, the company is well-positioned to capitalize on this market opportunity.
The expansion follows Datadog’s continued growth in the region, where it currently serves more than 1,100 customers in Australia and New Zealand, according to the company’s press release statement.
Datadog provides a SaaS platform that integrates infrastructure monitoring, application performance monitoring, log management, user experience monitoring, and cloud security capabilities.
In other recent news, Datadog reported $2.8 billion in revenue for the trailing twelve months ending March 31, 2025, marking a 26% year-over-year growth. The company’s inclusion in the S&P 500 Index was announced, effective July 9, 2025, replacing Juniper Networks, which was acquired by Hewlett Packard Enterprise. This milestone has been noted by several firms, including TD Cowen, which reiterated its Buy rating and $150 price target, and Wedbush, which raised its price target to $170 while maintaining an Outperform rating. Additionally, Morgan Stanley increased its price target for Datadog from $115 to $165, citing continued innovation and market share growth, although it maintained an Equalweight rating due to elevated expectations. Datadog’s addition to the S&P 500 is expected to attract a broader audience of large-cap investors, as noted by TD Cowen. The company’s ongoing expansion in its product portfolio, particularly in artificial intelligence and observability, has been highlighted as a significant factor in its growth. Datadog serves approximately 30,500 customers worldwide and recently introduced over 400 new products and features.
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