Datadog LLM Observability Alternative

LLM cost reduction without
Datadog's per-span pricing.

Datadog LLM Observability adds $0.10/1,000 spans on top of enterprise Datadog costs. Preto.ai is purpose-built for LLM cost reduction — proxy-based, no agents required, and the savings from recommendations typically pay for it 10–50x over.

No credit card. No Datadog agent. Works with your existing OpenAI code.

Datadog is built for infrastructure. LLM cost optimization is a different problem.

Datadog LLM Observability is a capable product for teams already deep in the Datadog ecosystem who want LLM data alongside their infrastructure metrics. Teams that look for alternatives either aren't Datadog customers, can't justify the per-span cost, or need something purpose-built for reducing LLM spend rather than just observing it.

💸

You're paying Datadog to monitor your AI costs — while costs keep growing.

Datadog charges $0.10 per 1,000 LLM spans. At 5M requests/month, that's $500/month in observability fees — on top of your base Datadog contract. You're monitoring the problem, not solving it. Preto's recommendations generate savings that far exceed its subscription cost.

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The Datadog agent is heavy infrastructure for a URL change.

Datadog LLM Observability requires the Datadog agent deployed alongside your app, plus SDK instrumentation. Preto requires zero agents. Change one base_url in your OpenAI client and you're live in minutes — no deployment pipeline changes, no agent management.

📋

Dashboards don't generate ranked action lists.

Datadog gives you beautiful infrastructure-style dashboards for LLM metrics. What it doesn't give you is "here are your top 5 cost reduction opportunities, ranked by projected monthly savings." Preto generates that list automatically — and updates it as your traffic patterns change.

Enterprise monitoring vs. purpose-built cost reduction.

Datadog LLM Infrastructure Observability

An extension of Datadog's infrastructure monitoring platform for LLM workloads. Best for enterprise teams already on Datadog who want LLM metrics alongside APM, logs, and infrastructure data in one place.

Strengths
  • Unified platform (infra + LLM in one place)
  • Enterprise-grade dashboards
  • Existing Datadog integrations
  • APM + LLM correlation
  • Enterprise SLA support
Best for: Enterprise teams already using Datadog who need LLM data alongside infrastructure metrics
Preto.ai Cost Reduction

Purpose-built for LLM cost optimization. No agents, no per-span fees. Works via proxy — one URL change. Surfaces ranked savings recommendations with dollar estimates and enforces budget limits.

Strengths
  • Proxy-based, no agents required
  • AI cost recommendations + dollar estimates
  • Savings dashboard (money recovered)
  • Budget enforcement (hard-block)
  • Flat monthly pricing, no per-span fees
Best for: Teams focused on reducing LLM spend, regardless of infrastructure stack

What you get with each tool

Feature Datadog LLM Preto.ai
Proxy-based integration (no agents)
Cost tracking per request
Infrastructure + LLM unified dashboard LLM-only
AI cost recommendations
Dollar savings estimates per finding
Savings dashboard (money recovered)
Budget enforcement (hard-block)
Per-request span/ingestion fees $0.10/1K spans None
Works without existing infrastructure setup
APM + log correlation
Datadog LLM Observability makes sense if you're already on Datadog and want LLM data in your existing dashboards. Preto makes sense if reducing the LLM bill is the job — especially if you're not already a Datadog customer.

Monitoring costs vs. reducing them.

Datadog answers: what's happening in my LLM stack?

Datadog LLM Observability brings LLM metrics into the same platform where you monitor servers, containers, and applications. If your team's mental model is "LLMs are just another infrastructure component," Datadog makes sense — you get trace correlation, latency percentiles, error rates, and model cost data all in one place. It's infrastructure observability applied to AI.

Preto answers: what should we change, and how much will it save?

Preto doesn't care about your infrastructure stack — it cares about your LLM API bill. It runs five AI analysis rules against your traffic patterns and surfaces the changes with the highest dollar impact first. Each recommendation includes a projected monthly savings figure so you can prioritize without manual analysis. It also enforces hard budget limits that Datadog's alerting can't match.

💡 Redundant Calls
Deduplicate identical embeddings requests
You're generating identical embeddings for the same text 4.2x per day on average — no caching layer detected. Embedding the same content repeatedly is pure waste.
$2,100 estimated savings / month

Datadog would show you this as a spike in token usage. Preto identifies the pattern automatically, estimates the dollar impact, and tracks when you fix it.

Who should use which. Who should use both.

Stay with Datadog LLM if...

  • You're already a Datadog enterprise customer and want LLM data in one place
  • Your team needs to correlate LLM performance with infrastructure metrics
  • You have an existing Datadog contract with room for LLM observability
  • Enterprise SLA and vendor consolidation matter more than cost

Switch to Preto if...

  • You're not a Datadog customer and don't want to become one just for LLM monitoring
  • Per-span pricing at $0.10/1K is adding up faster than your LLM bill
  • You need ranked cost recommendations, not just dashboards
  • You want budget enforcement that hard-blocks spend, not just alerts

No agents. One URL change.

Preto works at the HTTP proxy layer. No Datadog agent to deploy. No SDK to instrument. Change the base_url in your OpenAI client and you're live — cost data and first recommendations appear within hours.

Before base_url = "https://api.openai.com/v1"
After base_url = "https://proxy.preto.ai/v1/openai"
1
Change the URL in your OpenAI client config
2
See your first cost breakdown within minutes
3
Get AI recommendations within 24–48 hours

No Datadog agent. No SDK. No deployment pipeline changes. No per-span fees.

What they said after switching.

[Your quote from a team that moved off Datadog LLM will go here.]

[Name], [Role] at [Company]

[Your quote from a team that moved off Datadog LLM will go here.]

[Name], [Role] at [Company]

Common questions about Datadog LLM vs. Preto.ai

Is Preto cheaper than Datadog LLM Observability?
For most teams, yes — significantly. Datadog charges $0.10 per 1,000 LLM spans on top of its base infrastructure pricing. At 5M LLM requests/month, that's $500/month in span fees before any base Datadog costs. Preto's Pro plan is $99/month flat, with no per-request fees. More importantly, the recommendations Preto generates typically identify $2,000–10,000/month in savings within the first week.
Do I need to cancel Datadog to use Preto?
No. Preto and Datadog don't overlap in infrastructure monitoring. You can keep Datadog for servers, containers, and APM — and use Preto specifically for LLM cost optimization. They operate at different layers and don't conflict.
Does Preto.ai work with Anthropic, Azure OpenAI, and other providers?
Preto works with OpenAI, Anthropic, Azure OpenAI, NVIDIA, ElevenLabs, and Deepgram out of the box. Any provider using the OpenAI API format is supported. Email gaurav@preto.ai if you need a provider not listed here.
How does Preto handle data security compared to Datadog?
Preto logs request metadata only — model name, token counts, latency, cost, and metadata headers you send. It never stores prompt or response content by default. All data is encrypted in transit (TLS 1.2+) and at rest. Datadog's security model is similar for LLM spans, though their data residency options differ. See our Privacy Policy for full details.
What happens to my LLM requests if Preto has downtime?
Preto is designed for transparent failover. If Preto's proxy is unavailable, your application can be configured to fall back to direct OpenAI calls — your users are never blocked from the LLM due to a Preto outage. We target 99.9% proxy uptime, and Business and Scale plans include SLA commitments.

Stop paying to monitor costs.
Start reducing them.

Book a 30-minute demo. We'll show you what your OpenAI spend looks like through Preto — and what we'd recommend cutting first.

Book a Demo →

Or email gaurav@preto.ai