The Internet Is Breaking. New Relic Wants to Fix It.

Only 16 months after CrowdStrike brought the digital world to a standstill, and just a month after the global AWS outage, this week another key player in the cybersecurity space—Cloudflare—suffered a global disruption. Websites across the world, including Spotify, ChatGPT, X, and others, were hit with error messages as the outage rippled through the internet’s backbone.

These failures are million-dollar events.

According to the 2025 Observability Forecast, high-impact outages can cost Indian organisations between $1 million and $3 million per hour in lost revenue. And with the world entering peak Black Friday season, the hit is likely even worse.

Rob Newell, Senior Vice President and General Manager, Asia Pacific & Japan at New Relic, framed the moment bluntly, and told AIM: “With global outages becoming more common, observability is no longer an engineering tool, it is a business-critical practice.”

In an exclusive conversation on Front Page by AIM Network, New Relic CEO Ashan Willy pointed out that during the recent global AWS outage, New Relic’s engineers identified the issue 27 minutes before AWS informed its customers, giving teams a crucial early window to stabilise systems, isolate failures and protect revenue.

Against this backdrop of cascading outages, New Relic announced one of its most consequential integrations yet.

Azure Gets an Observability Boost

New Relic introduced new agentic AI integrations with Microsoft Azure, bringing its intelligent observability insights directly into the Azure SRE Agent and Microsoft Foundry. Powered by New Relic’s AI model context protocol (MCP) server and Azure Monitor, the integration embeds observability inside the workflow of developers, ITOps, DevOps, SREs and platform engineers — exactly where AI-driven troubleshooting now happens.

“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 New Relic chief product officer Brian Emerson.

“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.”

Microsoft reinforced the importance of this shift.

“Microsoft Azure helps IT teams and developers build AI-powered solutions that scale and inspire,” said Julia Liuson, president, Developer Division at Microsoft.

“These teams deserve a seamless workflow without switching between tools. Our latest integrations with New Relic mean that teams receive intelligent insights from Azure’s AI agents within their workflows so they understand exactly what’s going on during incidents. We’re driving an accelerated time to value and helping teams do more, faster.”

With the integration, the Azure SRE Agent can now tap New Relic’s MCP Server whenever an alert fires or a deployment happens, pulling the observability intelligence required to automate incident detection, root-cause analysis, and remediation across an organisation’s environment, from backend systems to mobile and browser experiences.

Inside Microsoft Foundry, New Relic’s telemetry is said to become a native part of how teams design, build and manage AI apps. Logs, metrics, deployment impacts, dependency graphs and configuration changes flow seamlessly into one real-time picture, giving teams clarity over how AI agents behave in complex, non-deterministic environments.

A Unified View in a Fragmented, Failure-Prone World

New Relic Azure Autodiscovery now claims to allow platform engineers to view entire service dependency maps and overlay configuration changes directly on performance graphs, making it possible to identify root causes in minutes instead of hours. And with New Relic Monitoring for SAP Solutions now available on the Microsoft Marketplace, the team said that the Azure customers can unify SAP and non-SAP systems without deploying agents inside SAP or disrupting mission-critical workflows.

As global outages increase in frequency, complexity, and financial impact, the message from New Relic is unmistakable: observability is not an option anymore. By wiring itself directly into Azure’s agentic ecosystem, New Relic is positioning its platform at the centre of how AI-driven incidents will be detected, understood, and resolved in real time.

“The world is seeing a dramatic rise in failure modes across the stack. Companies that treat observability as optional will pay for it—sometimes in minutes, sometimes in millions,” concluded Ashan Willy, CEO of New Relic, capturing the urgency perfectly.
 

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