Elastic acquires DeductiveAI for $85 million to automate bug detection in observability suite

Elastic is buying DeductiveAI, a CRV-backed startup, for up to $85 million. The acquisition adds machine learning-driven root-cause analysis to Elastic's observability platform—automating the manual work of correlating logs, traces, and metrics to identify system failures. The deal structure includes earnout provisions tied to integration milestones.