ServiceNow has acquired Israeli artificial intelligence startup Traceloop in a deal estimated between US$60 million and US$80 million, expanding its artificial intelligence arsenal.
Known for its open-source technology OpenLLMetry, the Israeli startup will become an integral part of ServiceNow’s “AI Control Tower.” With this acquisition, ServiceNow intends to offer enterprises greater control over the reliability and performance of their AI models.
Traceloop was founded two and a half years ago by Nir Gazit and Gal Kleinman, who had spent years building ML pipelines at Google and at Fiverr. Their goal was simple: to open the black box of Large Language Models (LLMs).
With a single line of code, their technology provides complete observability for production AI applications. Open-source framework for LLM applications OpenLLMetry was quickly adopted by IBM, Microsoft and dozens of other organizations.
Traceloop’s technology will be deployed within ServiceNow’s AI Control Tower. This platform serves as the nerve center for enterprises scaling AI from experiments to mission-critical workflows.
“AI observability isn’t optional. It’s foundational, says co-founder Nir Gazit. As enterprises deploy more AI agents, more models, and more complex workflows, the need for visibility and governance only grows. “Inside ServiceNow, we’ll have the platform, the reach, and the resources to build the observability and evaluation layer that enterprise AI demands. Together, the combination of Traceloop and ServiceNow AI Control Tower will power deeper observability to drive intelligent governance workflows.”
Despite the acquisition, OpenLLMetry will remain open source. ServiceNow and the Traceloop team have committed to continuing to contribute to the OpenTelemetry ecosystem. Existing Traceloop customers can expect continued service, while any changes to the product roadmap will be communicated in advance.
