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New Relic touts Microsoft partnership as bookings rise

New Relic touts Microsoft partnership as bookings rise

Tue, 2nd Jun 2026 (Yesterday)

New Relic highlighted its partnership with Microsoft at Build 2026, saying customer committed bookings through Microsoft Marketplace transactions grew by double digits over the past 12 months.

The observability software provider used the event to outline a series of product integrations with Microsoft Azure and GitHub, and to provide more detail on how the two companies are weaving monitoring and incident response tools into developers' daily workflows.

The growth figure relates to bookings through the Microsoft Azure Marketplace for the period ending March 31, 2026, reflecting continued customer demand for New Relic's products alongside Microsoft's cloud and developer platforms.

That commercial momentum accompanies a partnership that has spanned 14 years. Recent work has focused on helping software teams manage more complex environments as businesses deploy AI agents and increase their use of AI-generated code.

Azure link

Among the integrations described, New Relic said its Model Context Protocol Server is being used to place observability insights inside the Azure SRE Agent. It added that New Relic Monitoring for Microsoft Foundry collects logs and metrics from Azure and presents them in dashboards focused on application and agent performance.

These tools are intended to help teams detect incidents, identify root causes, and automate remediation. Target users include development, IT operations, DevOps, site reliability engineering, and platform engineering teams.

New Relic also pointed to work with GitHub. Its Security RX integration for GitHub Copilot uses runtime context to identify software vulnerabilities, assess them, and suggest remediation steps.

Another integration with GitHub Actions is designed to detect missing instrumentation during deployment, an issue that can leave gaps in monitoring and make troubleshooting harder once software is live.

A separate integration with GitHub Copilot's coding agent is intended to automate parts of change validation and incident response. The aim is to reduce manual work and improve reliability as software changes move into production.

Marketplace sales

Microsoft Marketplace has become an increasingly important route to market for software vendors selling to large enterprise customers. For buyers, marketplace deals can allow spending to count against existing Azure consumption commitments, simplifying procurement and budgeting.

New Relic said customers can use their Azure commitments to deploy its observability tools across their organisations through the marketplace. It also said New Relic Monitoring for SAP Solutions is available there, describing it as an agentless certified RISE with SAP observability product for Azure customers.

The relationship reflects a broader industry trend in which software companies are seeking deeper ties with hyperscale cloud providers not only for technical integration, but also for distribution. Marketplace channels have become a key part of that strategy because they can shorten purchasing cycles and place software products within existing cloud spending frameworks.

For New Relic, the Microsoft relationship also provides a route into two areas drawing sustained investment from corporate technology teams: cloud operations on Azure and software development inside GitHub. Demand for monitoring, security checks, and incident response tools is rising in both areas as companies introduce AI systems into production environments.

New Relic framed its latest work as an effort to bring observability data closer to where developers and reliability teams already work. Rather than requiring users to switch between separate tools, the integrations are designed to surface operational information inside Microsoft services used for coding, deployment, and site reliability tasks.

That matters because AI-generated code and autonomous agents can increase the volume and pace of software changes, raising the need for visibility into performance, errors, and security issues. Vendors across the monitoring and developer tools market are now trying to embed those insights directly into coding assistants, deployment pipelines, and cloud operations tools.

Thomas Lloyd, Chief Business and Operations Officer at New Relic, described the partnership in those terms. "Our strategic partnership with Microsoft is built on the shared goal of helping customers adopt AI at scale with confidence. At Build 2026, we are showcasing how New Relic and Microsoft are pushing the boundaries of software to drive truly actionable, autonomous intelligence," Lloyd said.

"By bringing together our AI-strengthened deep observability insights with a number of Microsoft's own AI agents, we're allowing customers to move beyond insights to independent, real-time action. This ongoing collaboration is about delivering together upon the future promises of AI with technology available to our joint customers, today," he added.