PagerDuty Operations Cloud Enables Customers to Drive Operational Transformation Through Intelligent Automation and Generative AI

PagerDuty, Inc. (NYSE:PD), a global leader in digital operations management, today announced new AIOps and automation capabilities for the PagerDuty Operations Cloud^SM, enabling customers to accelerate and optimize their critical operations in service of business transformation. The PagerDuty Operations Cloud Fall 2023 release includes event orchestration, runbook automation and updates around its recently announced generative AI (GenAI) use cases, helping organizations cut operating costs, accelerate innovation, and mitigate risk of operational failures.

According to a recent survey conducted by IDC, more than 53% of organizations say an hour of downtime on a revenue-generating service costs them a minimum of $100,000, with nearly 20% of respondents saying it costs them $250,000 per hour or more.¹ In another IDC survey, 36.7% of respondents said the average time it takes to restore a service when a production outage occurs is between one hour and one day, with 31.5% of respondents in the same survey saying their average restoration time is between one day and one week.²

By using the PagerDuty Operations Cloud, enterprises are able to ensure up to 75% less downtime³. This can equate to millions of dollars saved or revenue preserved in a single year. To optimize digital experiences and reduce costly downtime, enterprise CEOs and CIOs are seeking integrated platforms like PagerDuty that go beyond patchwork solutions and leverage AI and automation across their entire product portfolio. To help customers remain competitive, retain and expand customers, and accelerate innovation in a resource-constrained environment, the PagerDuty Operations Cloud offers next-generation AI and automation to quickly resolve issues, minimize interruptions, reduce tool sprawl, and build more automation faster.

Do more with less at scale with event-driven automation to trigger intelligent remediation:

• Event Orchestration Variables empower organizations to build intelligent automation that helps inform other tools and processes for faster, more targeted incident response that can be standardized across the organization for better cross-team collaboration.
• Runbook Automation Add-On allows customers looking to automate actions triggered by AIOps, incident responders, or customer service representatives to benefit from capabilities of both Automation Actions and Runbook Automation on a single SKU. This provides a more powerful solution for gathering deeper information from a customer's environment for triage and diagnosis and running remediation changes to resolve incidents. Leveraging the synergies of Runbook Automation Add-On and AIOps helps resolve incidents up to 95% faster⁴ by allowing the delegation of repetitive tasks to incident responders while also freeing up specialists' time. With the Runbook Automation Add-On, customers can also reduce planned downtime by 85%⁵ and support costs by 55%⁶.

Increase team productivity and time for innovation with AI and AIOps:

• Global Alert Grouping reduces interruptions by grouping event data across all your services for teams to gain a better understanding of the incident scope when you need to coordinate with other teams to quickly resolve issues. Whether you need to curb noise on one or multiple services, PagerDuty allows you to customize how event data is grouped. On average, customers using PagerDuty AIOps are able to reduce the overall number of incidents by 87%⁷, minimizing unnecessary interruptions and keeping teams in flow.
• AI-Generated Incident Postmortems enable teams to save hours?and in some cases, days?of effort, removing toil and improving accuracy associated with post-incident analysis. PagerDuty automatically creates a draft postmortem using GenAI to empower teams to focus on refining their learnings and action items for improving their operational processes. With the click of a button, PagerDuty triangulates and collates incident data to help generate comprehensive summaries of what happened, when, how it was resolved, and key action items. This ensures that incident analysis is timely and relevant, and enables a continuous loop of learning. The feature is now in beta?interested customers should sign up for the waitlist.
• AI-Generated Status Updates remove manual work associated with stakeholder management during incident response to keep teams focused on resolution. Early customer feedback of AI-Generated Status Updates has shown that some companies designate as many as three responders to handle stakeholder communication. With AI-Generated Status Updates, drafting the message only takes one click, making it easier for the responder to review, edit and send updates to keep internal stakeholders and executives in the loop. This can potentially cut down the number of responders needed from three to one, saving costs and helping scale your workforce. The feature is now in beta?interested customers should sign up for the waitlist.

Improve operational resilience with a platform that fits with the way you work:

• Google Cloud Personalized Service Health Integration sends proactive, customized and detailed alerts about Google service disruptions to get ahead of customer impacting issues. The PagerDuty and Google Cloud partnership offers a vital platform for efficient cloud operations, aiding customers in responding to disruptions and ensuring smooth digital experiences.
• Slack/Chat as a Contact Method allows chat app users to elect to use chat apps as a contact method for incident response, adding to an already comprehensive integrated experience for customers using PagerDuty with Slack.

Supporting quotes:

"PagerDuty Operations Cloud is the single source of truth of what's actually happening at any given time," said Yasin Quareshy, Head of Cloud Technology at TUI. "On average, the time to recover from an incident is at least 30% quicker. With automated recovery it can be 90% quicker. If TUI already knows a scenario, PagerDuty learns and responds by executing automated scripts to recover from service disruptions. Customers don't even notice that we've had an issue. The business impact is in the millions of dollars saved."

"Organizations today can quickly become overwhelmed by interruptions and data, but by leaning into the power of automation and generative AI, there's an opportunity to reduce the amount of noise and turn passive data into actionable insight," said Sean Scott, Chief Product Development Officer at PagerDuty. "PagerDuty is giving teams the ability to do their jobs even more efficiently so they can focus on delighting their customers and building the next generation of innovative technology."

Additional information

• To learn more about PagerDuty's recent announcement, visit https://www.pagerduty.com or booth #638 at Gartner IT Symposium/Xpo^SM 2023 October 16-19.

About PagerDuty Inc.

PagerDuty, Inc. (NYSE:PD) is a global leader in digital operations management. The PagerDuty Operations Cloud revolutionizes how critical work gets done, and powers the agility that drives digital transformation. Customers rely on the PagerDuty Operations Cloud to compress costs, accelerate productivity, win revenue, sustain seamless digital experiences, and earn customer trust. More than half of the Fortune 500 and more than two thirds of the Fortune 100 trust PagerDuty including Cisco, Cox Automotive, DoorDash, Electronic Arts, Genentech, Shopify, Zoom and more. To learn more and try PagerDuty for free, visit www.pagerduty.com. Follow our blog and connect with us on LinkedIn, X, YouTube and Facebook. We're also hiring, visit https://www.careers.pagerduty.com/ to learn more.

The PagerDuty Operations Cloud

The PagerDuty Operations Cloud is the platform for mission-critical, time-critical operations work in the modern enterprise. Through the power of AI and automation, it detects and diagnoses disruptive events, mobilizes the right team members to respond, and streamlines infrastructure and workflows across your digital operations. The Operations Cloud is essential infrastructure for revolutionizing digital operations to compete and win as a modern digital business.

Forward-Looking Statements

This press release contains forward-looking statements, including statements regarding the expected availability of new functionality, including any anticipated benefits, results and future opportunities related thereto. These forward-looking statements are not guarantees of future performance and involve significant risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from results, performance or achievements expressed or implied by the forward-looking statements contained in this release. For a complete list and description of such risks and uncertainties, see the company's Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission ("SEC" on March 16, 2023), in particular in the section entitled Risk Factors, and in PagerDuty's other filings with the SEC.

¹IDC, AIOps and Observability Survey Results: Leadership Drives Trust and Expansion, Stephen Elliot & Snow Tempest, January 2023
²IDC, DevOps Practices, Tooling, and Perceptions Survey, Katie Norton & Jim Mercer, January 2023
³PagerDuty internal calculation based off of product metrics.
⁴"PagerDuty Process Automation Delivers Results for RESULTSCX." PagerDuty, 10 Apr. 2023, www.pagerduty.com/customer/resultscx/.
⁵"Australian Bank Supercharges Deployments and Automates Compliance Measures with Pagerduty." PagerDuty, 28 Feb. 2023, www.pagerduty.com/customer/australian-bank/.
⁶PagerDuty. "Ticketmaster: Customer Story." Rundeck, www.rundeck.com/ticketmaster. Accessed 20 Sept. 2023.
⁷PagerDuty internal calculation based off of product metrics.