Datadog, Inc. (DDOG) Risk Factors

Recent key developments

Concrete developments — dated events, named agreements and instruments, legal proceedings — that Datadog, Inc. surfaced in its latest filing.

• Incurred a net loss of $(50.2) million in the year ended December 31, 2022.December 31, 2022
• AI-native cohort, including our largest customer, contributed high single digit percentage points to total Company year-over-year revenue growth for the quarter ended June 30, 2026.June 30, 2026
• Beginning in the third quarter of 2026, our largest customer reduced their usage.2026
• In April 2025, Datadog notified customers of unauthorized access to source code repositories from compromised employee account credentials.April 2025
• In March 2023, our platform experienced widespread outages across multiple products and regions, substantially resolved in approximately a day.March 2023
• The European Union's Artificial Intelligence Act, which came into effect in August 2024, imposes numerous requirements and significant monetary fines and applies beyond the EU's borders.August 2024
• CPRA, effective January 1, 2023, gives California residents the ability to limit use of sensitive personal information and adds penalties for violations involving minors under 16.January 1, 2023
• Approximately $340.2 million of federal NOL carryforwards as of December 31, 2025.December 31, 2025
• Approximately $474.2 million of state NOL carryforwards as of December 31, 2025.December 31, 2025
• State NOLs begin to expire in 2028 if not utilized.2028
• Supreme Court ruling in South Dakota v. Wayfair, Inc. et al allows states to require online sellers to collect sales and use tax without physical presence.
• OECD administrative guidance released January 5, 2026 may exempt U.S. operations from certain global minimum tax rules effective for fiscal years beginning on or after January 1, 2026.January 5, 2026
• Revenue from regions outside North America was 27% and 29% for the six months ended June 30, 2026 and 2025, respectively, based on customer billing address.June 30, 2026
• As of June 30, 2026, approximately 45% of full-time employees were located outside the United States, with 33% of those in France.June 30, 2026
• As of June 30, 2026, Class B common stock represented approximately 42% of the voting power.June 30, 2026
• Issued the 2029 Notes in a private placement in December 2024.December 2024
• Entered into capped call transactions with option counterparties covering the number of shares of Class A common stock initially underlying the 2029 Notes.