New Relic boosts AI observability with Microsoft Azure tie-in
New Relic has announced new integrations with Microsoft Azure, aiming to embed its intelligent observability capabilities directly within the Azure SRE Agent and Microsoft Foundry. The move is designed to help engineering teams reduce mean time to resolution (MTTR) and boost productivity by enabling automated incident management processes across applications and infrastructure.
Integration details
Through its AI Model Context Protocol (MCP) Server, New Relic provides Azure customers with access to observability data and insights without the need to switch between platforms. The Azure SRE Agent now links to New Relic's MCP Server to deliver real-time observability inputs for incident detection, root cause analysis, and remediation. This covers a wide range of environments, including services, browsers and mobile applications across the Azure customer base.
Operational efficiency
New Relic's integration addresses a common challenge faced by development and operations teams: the need to coordinate across multiple monitoring and deployment systems. By bringing telemetry and intelligent analytics directly into Azure workflows, the company seeks to eliminate fragmentation and streamline critical operational tasks.
"AI agents are poised to transform how IT and development teams work, but leaders and practitioners need intelligent observability within their workflows to realise the full potential of agentic AI," said Brian Emerson, Chief Product Officer, New Relic.
Microsoft partnership
With the rise in cloud and AI adoption, technical teams are seeking solutions that enable seamless management of increasingly complex applications. The integration with Microsoft Foundry is aimed at teams who build, customise, and monitor AI-powered applications across platforms such as GitHub, Visual Studio, Copilot Studio, and Microsoft Fabric. These users will now have access to telemetry and monitoring data within their existing Azure environments, supporting pragmatic and timely decision-making.
"Microsoft Azure helps IT teams and developers build AI-powered solutions that scale and inspire," said Julia Liuson, President, Developer Division, Microsoft.
Unified visibility
The introduction of New Relic Azure Autodiscovery expands visibility for site reliability engineers (SREs) and platform engineers by displaying detailed dependency maps and overlaying configuration changes onto performance graphs. This is intended to enable identification of root causes within minutes by providing a real-time, unified view of service health and infrastructure metrics.
The integration allows engineers to detect unmonitored resources and incorporate them into their observability processes, aiming to reduce blind spots and shorten response times for incident resolution.
SAP monitoring
New Relic Monitoring for SAP Solutions is now available through the Microsoft Marketplace. This tool provides telemetry and performance insights across SAP and non-SAP systems without requiring software agents inside the SAP environment. The product is intended to minimise disruptions to business processes and make incident resolution more efficient for Azure customers using SAP.
Industry analysts project global AI spending will rise to approximately USD $2 trillion in 2026, reflecting demand for integrated observability as organisations adopt more cloud and data-driven operations. Microsoft Azure itself reported 33% revenue growth in the first quarter of 2025, underscoring the rapid uptake of cloud services in the marketplace.
"With our new integrations, we bring our AI-strengthened observability directly into Microsoft Azure products and services so teams can automate workflows and surface actionable insights, without having to context-switch. Together with Microsoft, we are helping more businesses harness the power of AI for growth," said Emerson.
