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Datadog, the AI-powered observability and security platform for cloud applications, has announced plans to establish a new data centre in the UK. This move comes as cloud adoption grows across regulated industries, with data governance and security requirements continuing to evolve. Datadog currently operates service locations in North America, Asia, and Europe, with the UK becoming the latest addition to its network.
The new data centre will enable Datadog to provide support to UK-based partners and their customers who require local storage of operational data. Keeping data within the region may reduce latency and allows organisations to use Datadog’s observability and security platform from a UK-resident environment. This can benefit sectors such as government, banking, healthcare, and higher education, where regulation requires strict data handling practices.
Steve Barrett, VP EMEA for Datadog, stated that the facility offers opportunities for local partners, particularly in public sector and regulated industries. The expansion also increases the market available for partners providing services with Datadog’s unified platform.
Barrett added that demand for observability and AI-integrated operations in the UK is growing. The company is investing in sales, training, and partner initiatives to support collaboration and facilitate joint opportunities.
Partners contribute expertise in navigating procurement and compliance processes, especially in regulated industries. As UK organisations expand cloud and AI workloads, partners play a role in ensuring observability and security solutions are implemented effectively from the outset.
Local data storage has gained attention alongside updates to the UK’s data governance policies. The Data (Use and Access) Act 2025, for example, highlights the importance of data storage location. LSEG reports that 82% of financial service firms in the UK operate in hybrid or multi-cloud environments.
Yanbing Li, Chief Product Officer at Datadog, said the UK data centre demonstrates the company’s continued investment in regional infrastructure. The facility allows customers, including those in the public sector and financial services, to use Datadog’s observability and security solutions while keeping data stored within the UK.
