Product Signals, Without Paying for the Noise
Today we are announcing our investment in Coralogix.
Log files have been around since the advent of the modern computer — a form of systematic, meticulous record-keeping that tells an intricate story — about a network’s performance, its users’ behavior, errors and anomalies, as well as suspicious activity. Logs are at the core of every software product and integral to a company’s production environment.
As the pace of digitization gains speed and companies generate increasingly vast amounts of data, effective log monitoring and management have become key components of running a growing business. But these processes have largely remained unchanged and the costs associated with managing their sheer amount and complexity is skyrocketing. The global logs management market is taking off rapidly, now valued at nearly $2 billion and growing at an almost 15% rate per year.
Currently, most logging solutions offer data indexing and visualization, but they can be hard to manage as companies grow and are inadequate for real-time retrieval and analysis — so important for applications like navigation, on-demand delivery, telemedicine, and so many other new things we’re doing every day. With the advent of cloud computing, there are more opportunities for storage at scale but two main stumbling blocks remain: visibility into the sea of data, and cost, which can become prohibitive — upwards of millions of dollars a year in cases where companies either run their own data centers or use traditional commercial solutions.
A relative newcomer into the log monitoring and analytics subsector of software engineering, Coralogix has come in and essentially changed the equation. That is not something we see every day. Founded in 2015 by veterans of the Israeli military’s Intelligence Corps, Coralogix built a smart, machine learning-powered log analytics platform to help companies make sense of their log data and offer them better observability into their delivery and maintenance processes. Crucially, Coralogix delivers out-of-the-box automated and actionable insights to help their customers solve production issues quickly, efficiently, and at a fraction of the cost (up to 70 percent less). As software development shifts toward automation and streamlined processes, Coralogix is uniquely positioned to become a leader in this space, offering high-performance, advanced features, and cost-effective pricing due to tech disruption.
And we at Red Dot are proud backers of this vision.
Coralogix’s senior leadership — CEO Ariel Assaraf, CTO Yoni Farin and COO Matt Handler- essentially flipped the script on current log management solutions, and built a platform exclusively for logs and the unique structure in which they are built. Most traditional solutions are built on an open-source service like Elasticsearch, a full-text database search engine, based on the Lucene library, that made its debut over a decade ago. The Coralogix team re-engineered the Elasticsearch engine while keeping the original ELK syntax untouched, and as a result are able to dramatically reduce the cost of ownership. Coralogix now offers users the ability to prioritize their logs and define how the data is routed and stored according to function and importance, relieving customers from paying premium storage fees for logs that they only need for compliance or monitoring purposes.
Many early-stage companies build their log systems on ELK, but begin looking to outsource their log monitoring once they reach growth stage with commercial services such as DataDog and Sumo Logic on cloud infrastructures like Amazon (AWS) or Google Cloud. Elasticsearch is a first-rate, reliable data search engine, but it is not suited for delving into logs. Companies looking to pull log data or run the simplest algorithm to examine an issue can spend long minutes and even hours waiting for answers, potentially hampering their ability to take mission-critical action or provide services.
Coralogix’s SaaS platform, based on its unique solution, not only delivers on standard log analytics — ingesting, parsing, visualizing, alerting and searching for log data — it also uses proprietary algorithms to offer tools that allows teams to quickly drill down into the data and recognize patterns and trends. The solution overcomes yet another industry obstacle — the ability of companies to retrieve their data in real-time. With Coralogix, over 1,000 customers, including leading brands such as Monday.com, Fiverr, and Postman can gain clear insights from their log data every day because they have access and run analyses every day.
Among DevOps and R&D teams looking to enhance their CI/CD (continuous integration and continuous delivery) pipeline, Coralogix’s star is already quickly rising. The company receives consistent, outstanding feedback from clients and prospective customers on the technology, the team, the product, and the vision. Its case studies have shown how use of its platform led to a significant reduction in production errors for a leading online fashion brand, helped a major cybersecurity company get a handle on its ever-growing trove of log data to better identify bugs, and got a gaming company to reduce its error ratio to nearly zero.
Recently, Coralogix entered the lucrative cybersecurity market with an integrated security information and event management solution (SIEM) and intrusion detection system built exclusively for cyber teams.
The company’s strong, expanding vision combined with an exceptional founding team and a superior product position it well to become a leader in a growing market in real need of better, more innovative logs solutions.