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Grafana Cloud

What it is

Grafana Cloud is a fully managed observability platform that provides unified monitoring for metrics, logs, traces, and application performance. It includes hosted versions of Prometheus, Loki, Tempo, and Grafana.

What problem it solves

It centralizes monitoring from disparate sources into a single dashboarding interface. For AI applications, it enables tracking of LLM latency, token usage, and error rates alongside traditional infrastructure metrics.

Where it fits in the stack

Infrastructure / Observability / Eval.

Typical use cases

  • Multi-source Dashboards: Combining AWS CloudWatch, Prometheus, and LLM logs into one view.
  • Alerting: Setting thresholds for AI response times or API error rates.
  • Log Aggregation: Using Loki to search through distributed agent logs.

Strengths

  • Open Standard Support: Native support for Prometheus and OpenTelemetry.
  • Rich Visualization: Industry-leading dashboarding capabilities.
  • Scalability: Managed infrastructure handles high volumes of telemetry data.

Limitations

  • Complexity: Setting up advanced dashboards and alerts requires significant knowledge of PromQL or LogQL.
  • Data Silos: Requires active effort to ensure all relevant data is being ingested.

When to use it

  • When you already use Grafana for infrastructure and want to add AI observability.
  • When you need high-performance, long-term storage for logs and metrics.

When not to use it

  • For simple applications where basic logging is sufficient.

Licensing and cost

  • Open Source: The core components (Grafana, Loki, etc.) are open source (AGPLv3); the Cloud service is proprietary.
  • Cost: Freemium (generous free tier, then usage-based).
  • Self-hostable: Yes (via the LGTM stack).

Getting started

Installation

Grafana Cloud doesn't require a local installation for the UI, but you typically need an agent like Grafana Alloy or Promtail to ship data from your infrastructure.

Example: Shipping Logs with Promtail (config.yaml)

server:
  http_listen_port: 9080
  grpc_listen_port: 0

positions:
  filename: /tmp/positions.yaml

clients:
  - url: https://<your_loki_user>:<your_loki_api_key>@logs-prod-us-central1.grafana.net/loki/api/v1/push

scrape_configs:
  - job_name: system
    static_configs:
    - targets:
        - localhost
      labels:
        job: varlogs
        __path__: /var/log/*.log

LLM Observability with OpenTelemetry

Grafana Cloud supports OpenTelemetry natively. You can use the OpenTelemetry SDK in Python to send AI metrics:

from opentelemetry import metrics
from opentelemetry.exporter.otlp.proto.http.metric_exporter import OTLPMetricExporter

exporter = OTLPMetricExporter(endpoint="https://otlp-gateway-prod-us-central1.grafana.net/v1/metrics")
# ... configure meter and instrument to track token usage

Sources / References

Contribution Metadata

  • Last reviewed: 2026-05-13
  • Confidence: high