groundcover has raised $100 million in Series C funding to expand its observability platform for engineers and autonomous AI agents. The financing was led by One Peak, with participation from Morgan Stanley Expansion Capital and existing investors Zeev Ventures, Angular Ventures, Heavybit, and Jibe.
The round brings groundcover’s total funding to $160 million and follows a year in which the company tripled annual recurring revenue and doubled its global workforce. The company now serves more than 250 paying customers, ranging from early-stage technology companies to Fortune 5 enterprises, and closed multiple seven-figure contracts during the past year.
groundcover plans to use the funding to expand its North American go-to-market organization, enter additional geographic markets and deepen its partnerships and co-selling relationships with major cloud providers. The company will also accelerate its product roadmap, broaden its AI capabilities and extend its core observability platform into additional use cases.
Observability software helps engineering teams understand the health and behavior of applications, infrastructure and AI workloads through logs, metrics, traces and other telemetry. The amount of telemetry produced by modern cloud environments is increasing rapidly, particularly as companies deploy AI applications and agentic systems that require detailed information to diagnose problems and take reliable actions.
groundcover uses a bring-your-own-cloud architecture in which customer telemetry is stored and accessed within the customer’s own cloud environment. This approach is designed to provide greater privacy and control while helping organizations manage the cost of retaining large volumes of operational data.
The platform combines this architecture with extended Berkeley Packet Filter technology, commonly known as eBPF, and native support for OpenTelemetry. Its adaptive eBPF sensor can be deployed without application code changes and captures telemetry across infrastructure, applications and AI workloads.
OpenTelemetry is an open standard for collecting and transmitting operational data. Native support enables organizations to use standardized instrumentation while integrating data from different systems and development environments.
groundcover says its platform provides full-fidelity telemetry without sampling or cardinality limits. Sampling reduces the amount of data stored by retaining only a portion of events, while cardinality limits restrict the number of unique combinations that can be tracked. Removing those constraints can provide AI agents and engineers with more complete information, although it also requires an architecture capable of processing and storing substantially larger datasets.
The company has also developed Agent Mode, an agentic experience that assists engineers with identifying, troubleshooting and remediating production issues. groundcover is positioning observability as the information layer required for autonomous software operations because an AI agent’s reliability depends on the accuracy and completeness of the operational data available to it.
KEY QUOTES:
“The AI era demands a completely different observability architecture, and groundcover is the only company that has built it. We believe they will define the next chapter of this category.”
David Klein, Co-Founder and Managing Partner at One Peak
“We are the only platform to harness the potential of eBPF with the endless power of BYOC for observability. On top of that unique architecture, groundcover has built Agent Mode, our agentic experience that helps engineers surface, troubleshoot and remediate issues in production.”
“With this round we’re announcing today, we plan to change the way engineers and agents collaborate to bring true autonomy into production operations.”
Shahar Azulay, Co-Founder and CEO of groundcover
