We are all familiar with the "Observability cost crisis". We all know the horror stories of multi-million dollar bill shock and we all know the stats about the cost of observability exceeding the cost of cloud hosting. Vendors have responded to this with a number of solutions offering customers vast scale at low cost or with strategies such as pipelining and sampling. There is, however, a structural alternative that rewrites the rules altogether - BYOC.
Bring Your Own Cloud means retaining telemetry data within your own infrastructure. Rather than piping petabytes of telemetry to a vendor’s cloud, data remains local. The observability system operates as a processing and querying layer, decoupled from data storage. This yields two immediate benefits:
Additionally, BYOC allows organizations to apply consistent observability tooling across all environments. Many businesses can only afford full observability in production, leading to fragmented toolsets and a lack of parity between staging and prod. The cost benefits of BYOC can enable companies to deploy a consistent stack across all environments.
BYOC is not a new concept in IT, and it is not even a new concept in observability - vendors such as Groundcover and Parseable have already blazed a trail in this direction. For this discussion though, we are going to look at how BYOC observability has been re-imagined by Tsuga. In case you’re wondering, Tsuga is the Japanese name for the hemlock tree - which is valued for its medicinal and nutritional properties.
Although Tsuga is a new entrant in the observability space, CEO Gabriel-James Safar and CTO Sébastien Deprez have previously held senior roles at Datadog. The team behind them also boasts other Datadog alumni as well as recruits from big hitters such as Palantir, Cognition and Grafana. So they are a new kid that is no stranger to the observability block.
Tsuga’s architecture comprises two main components:
The in-cloud engine is designed to be lightweight, scalable, and cloud-agnostic. It consists of four core building blocks:
If you work in the Azure cloud, the equivalents would equate to Azure Load Balancer, AKS, Service Bus, and Blob Storage. Other clouds are equally supported, as the architecture is designed to integrate with any CNCF-compliant infrastructure.
This setup is provisioned by Tsuga engineers via infrastructure-as-code (IaC), ensuring consistency, security, and rapid deployment. The Tsuga Control Plane connects securely to your instance using mutual TLS, allowing the centralized UI to monitor and manage observability data without ever ingesting it directly.
The architecture is designed for resilience, with stateless components that can scale independently. Metrics, logs, and traces are collected and processed locally, filtered according to configurable rules, and routed to the appropriate backend for storage and querying.
Tsuga also maintains a dedicated operations control plane to provide remote support, monitor service health, and ensure compliance with SLAs.
A central debate in observability is whether to sample telemetry or store everything. Hyperscale vendors argue for full fidelity - retain every event for compliance and root-cause analysis. Others counter that 80% of telemetry is noise and can be safely discarded.
Tsuga’s position is pragmatic: as telemetry volumes grow exponentially - driven by LLMs, microservices, and automation - even aggressive sampling won't contain the flood. BYOC effectively renders the issue moot by removing vendor-side ingestion costs altogether.
Tsuga’s approach to observability starts with ingestion discipline. Every telemetry stream must be tagged with an ownership key, mapping data to a team. This enforces accountability and enables fine-grained filtering.
Key features of the system include:
The ingestion gateway supports inline transformation using WASM filters, allowing enterprises to shape and validate telemetry before it ever reaches storage. Teams can also define SLIs and SLOs directly in the control plane, helping enforce reliability practices across the organization.
Tsuga doesn’t enforce a single way of working - but it does provide clear guidelines to keep teams aligned.
One of BYOC’s most compelling advantages is composability. Data isn’t locked behind a proprietary API or usage tier. This gives you complete freedom to extract value from your data. You can:
For example, Tsuga includes a built-in integration to spin up a Databricks pipeline, pulling data directly from your S3 backend - enabling deeper analysis without vendor limitations.
BYOC observability, as exemplified by Tsuga, offers a way forward for reining in the juggernaut of runaway telemetry. It decouples data control from vendor dependency, enabling organizations to regain cost control, architectural integrity, and operational coherence.
That said, BYOC is not a universal fit. It requires organisations to feel comfortable with the deployment model. Tsuga takes care of the initial deployment of the cluster in less than two hours, operates the cluster (scale up and down the various services depending on needs) and deploys new versions several times a day, removing the management of the underlying infrastructure
BYOC particularly suits large enterprises, regulated industries, and teams with a strong DevOps culture. It aligns well with zero-trust architectures, privacy-conscious environments, and organizations seeking to eliminate egress costs and avoid vendor lock-in. However, for smaller teams or startups lacking infrastructure resources, traditional SaaS observability may still offer the lowest operational overhead.
As a model for enterprise architecture, BYOC probably still carries with itself an air of the shock of the new. Although it may seem to represent something of a paradigm shift, it is actually more of a relocation of processing and storage than a reinvention of the genre. For organisations that have the necessary in-house expertise, risks are minimal and the benefits can extend far beyond just reducing costs.
Tsuga is now generally available. If you want to see the system in action you can head to the Tsuga web site and sign up for a trial or request a demo.