Y Combinator-backed SigNoz raises $5.4 million from SignalFire, GitHub co-founder among others

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Open source observability platform SigNoz has raised $5.4 million in a round led by led by SignalFire, with participation from Uncorrelated Ventures, Alumni Ventures and prominent angels including Tom Preston Werner (co-founder Github), Jiten Vaidya (ex-CEO Platetscale) and Paul Copplestone (co-founder Supabase).

Prior to this, the startup had raised $1.1 million in a round by Y Combinator and a few other angel investors.

The fresh capital will be utilised to enhance the core product and scale up its cloud and enterprise offering.

Founded in 2020 by Pranay Prateek and Ankit Nayan, the startup helps companies avoid vendor lock-ins and give them more control over their data and where they want to send it using telemetry. This standardisation of telemetry data formats will lead to an ecosystem of tools and more innovation around observability.

Telemetry is the process of collecting, transmitting and measuring data from remote sources, using sensors and other devices to collect data.

“For example, if you are opening an e-commerce website, if the product list page takes longer to load - this may lead to customers churning. So, it is essential to measure the latency users are seeing,” the founders explained in a statement.

They added, “SigNoz helps companies understand how much time the APIs which server these pages are taking (like what the 90th percentile user is seeing). You can also drill down on where this is taking time, like database calls, third-party APIs, etc.”

The startup already has over 5 million Docker downloads and more than 100 contributors.