Datadog On-Call vs PagerDuty - Seat Billing and Integration

Decide whether to keep paying for PagerDuty or consolidate onto Datadog On-Call, based on how seat billing works and the shape of the integration. The unit for both is one seat per person; Datadog On-Call has three contract forms, annual, monthly, and on-demand, while PagerDuty is tiered from Free to Enterprise.

Conclusion - Both Charge One Seat per Person; the Difference Is the Number of Tiers and Where It Lives

Pricing for both is determined by headcount. Datadog On-Call is a monthly price per seat, with three contract forms whose unit price rises in the order annual contract, monthly contract, on-demand (Source: Datadog Pricing). PagerDuty is tiered into Free, which is free for up to 5 users, Professional and Business, priced monthly per user, and Enterprise on a custom quote; Professional and Business also differ in unit price between annual contract and monthly billing (as of September 2026, Source: PagerDuty Incident Management Pricing). Since the unit is the same, the two axes are "who needs a seat" and "what is included in a seat". On the Datadog side, a seat is needed by anyone who is in a schedule, an escalation policy, or the notification settings for receiving pages; viewing alone does not require one (Source: Incident Response Billing). This article explains how billing works. For current unit prices and plans, refer to each vendor's official pricing page.

Comparison of seat billing structure (one seat per person)
Product and planBilling unitContract formsNotes
Datadog On-Call standaloneMonthly per seatThree tiers: annual contract / monthly contract / on-demand (unit price rises in this order)Seat for on-call duty and paging
Datadog Incident Response bundleMonthly per seatThree tiers: annual contract / monthly contract / on-demandBundles On-Call and Incident Management. Cheaper than the sum of the two standalone seats
PagerDuty FreeFree-Up to 5 users
PagerDuty ProfessionalMonthly per userAnnual contract / monthly billingLabeled "Standardize incident management" on the page
PagerDuty BusinessMonthly per userAnnual contract / monthly billingLabeled "Automate incident management" on the page
PagerDuty EnterpriseCustom quote-Labeled "Custom pricing" on the page
Sources: Datadog Pricing and PagerDuty Incident Management Pricing (as of September 2026). Check the unit price of each tier on each vendor's pricing page

Build the Feature Correspondence Table from Names

Lining up the names reveals the correspondence. The building blocks of Datadog On-Call are five: Pages, Teams, Routing rules, Escalation policies, and Schedules, and when a notification occurs a Page is sent to the responsible Team (as of September 2026, Source: On-Call). There are four notification channels: push notification, email, SMS, and phone, and for a high-urgency Page to someone with no notification settings, it falls back to email (Source: Notification Preferences). PagerDuty's pricing page lists feature names such as On-call Schedules, Escalation policies, Routing Rules, and Status Pages, and Free includes a fixed number of SMS / phone notifications per month. For the four systems of schedules, escalation, routing, and notification channels, both vendors have parts with the same role; the differences are in how status pages are handled and what each tier unlocks.

Feature name correspondence (only names appearing on both vendors' official pages)
RoleDatadog On-CallPagerDuty (as labeled on the pricing page)
ScheduleSchedulesOn-call Schedules
Staged pagingEscalation policiesEscalation policies
RoutingRouting rules (urgency, support hours)Routing Rules, Alert Severity
Notification channelsPush notification, email, SMS, phoneEmail and push notifications, SMS/Phone notifications
Status pageAvailable to paid customers. Unlimited + custom domain with committed seats, otherwise 1 pageExternal / Internal / Private Status Pages. Status Pages are billed separately according to subscriber count
Source: On-Call, Notification Preferences, and Incident Response Billing (as of September 2026) / PagerDuty Incident Management Pricing (as of September 2026). The absence of a name from the pricing page does not mean the feature does not exist

The Integration Pattern - Keep PagerDuty and Call It from Datadog Monitors

The pattern of keeping PagerDuty works through the integration. When you write the @pagerduty-[serviceName] handle in the notification destination of a Monitor, the corresponding PagerDuty service pages the responder when a threshold is exceeded. The notification body is limited to 1,024 characters (as of September 2026, Source: PagerDuty Integration). Severity is determined automatically from the monitor state (ALERT and NODATA are error, WARNING is warning, OK and others are info) and cannot be changed. If the handle is also present in the recovery message, the PagerDuty side is resolved automatically, and it does not work if the handle is written only inside {{#is_alert}}. Pages can also be sent directly from Incident Management, and the handle can be used as a destination for notification rules and Automations. Compared with building your own with a generic Webhook, the value of this integration is that severity mapping and automatic resolution come built in.

  • A monitor enters the alert state
  • Sent to the @pagerduty-[serviceName] written in the notification (body up to 1,024 characters)
  • The corresponding PagerDuty service pages the responder (severity is mapped automatically, e.g. ALERT to error)
  • The monitor returns to OK, and if the handle is also in the recovery message, the PagerDuty side is resolved automatically
Flow of the integration pattern (as of September 2026, Source: PagerDuty Integration)

Three Situations That Justify Replacement

The path to choosing between coexistence and replacement is left to the On-Call explainer; here we narrow down to the three situations where the seat numbers matter. The first is when the same people hold both a Datadog Incident Management seat and a PagerDuty seat. Consolidating onto the Incident Response bundle eliminates the PagerDuty seats, and the reduction is simply the number of people holding both × the PagerDuty seat price. The second is when the features you use fit within schedules, escalation, and SMS and phone notifications; if you can confirm parts with the same role in the previous section's correspondence table, you can move without filling gaps. The third is when the sources of pages are concentrated in Datadog monitors, incidents, and security signals. Because On-Call Pages originate from these, the migration surface is small (Source: On-Call). For organizations that match none of these, it is safer to leave the integration pattern as is.

  • Situation 1: The same people hold both a Datadog seat and a PagerDuty seat - consolidate onto the bundle and eliminate one
  • Situation 2: The features used fit within schedules / escalation / SMS and phone - confirm the parts with the same name in the correspondence table and move
  • Situation 3: Page sources are concentrated in Datadog monitors and incidents - the migration surface is small
  • None of the above - leave the integration pattern as is
Three situations for the replacement decision (this article's own classification; estimate the reduction as the number of people holding both × the seat price)

Where PagerDuty Wins

First, Free is free of charge for up to 5 users and includes a fixed number of SMS / phone notifications per month (as of September 2026, Source: PagerDuty Incident Management Pricing). Because Datadog On-Call starts from a paid seat, PagerDuty has a practical benefit if you run 5 or fewer people for free. Next is being an aggregation point regardless of monitoring tool. The pricing page lists Datadog, CloudWatch, Splunk, and SumoLogic as integration examples, which helps organizations that want to receive multiple monitoring tools in a single schedule. Third is status pages: there are three kinds (External / Internal / Private), expandable through separate billing according to subscriber count. Finally, as a Datadog constraint, On-Call cannot delete pages, escalation policies, or schedules for history retention, so a separate organization is needed for trials (Source: On-Call).

  • Free seats: Free is free of charge for up to 5 users + a fixed number of SMS / phone notifications per month
  • A receiver regardless of monitoring tool: Datadog, CloudWatch, Splunk, and SumoLogic listed as integration examples
  • Status page lineup: External / Internal / Private with separate billing according to subscriber count (Datadog is 1 page and no custom domain without committed seats)
  • Datadog-side constraint: pages / escalation policies / schedules cannot be deleted (for history retention)
Source: PagerDuty Incident Management Pricing (as of September 2026) / On-Call and Incident Response Billing (as of September 2026)

How to Compare Against the Incident Response Bundle

Datadog seats come in three forms: On-Call standalone, Incident Management standalone, and the Incident Response bundle that includes both, and the bundle's seat price is set lower than the sum of the two standalone seats (Source: Datadog Pricing). An Incident Management seat is needed by people who edit or delete incidents, add to the timeline, or assign tasks and roles; declaring, viewing, and commenting in Slack alone do not require one (as of September 2026, Source: Incident Response Billing). On the PagerDuty side, the tier that extends to automating incident management is Business, labeled "Automate incident management" (this article does not judge the correspondence of features). Since both use the same unit, a monthly price per seat, the axis of judgment shifts from the size of the unit price to whether the paging and incident records remain on the same screen as the monitors.

Comparison of tiers that include incident response (monthly per seat, annual contract)
ConfigurationPosition of the unit priceWhat it includes (official wording)
Datadog On-Call standaloneThe lowest seatOn-call duty and paging
Datadog Incident Management standaloneHigher than the On-Call standalone seatRecords from declaration to retrospective
Datadog Incident Response bundleLower than the sum of the two standalone seatsBundles On-Call and Incident Management
PagerDuty ProfessionalLower paid tier"Standardize incident management"
PagerDuty BusinessUpper paid tier"Automate incident management"
Sources: Datadog Pricing and PagerDuty Incident Management Pricing (as of September 2026). Check the unit price of each tier and the breakdown of included features on each vendor's pricing page

How to Build a Configuration That Does Not Pay Twice

There are three configurations. The first is integration only: put schedules and escalation in PagerDuty, and Datadog only calls it from the monitor handle. Since the conditions requiring an On-Call seat are three, schedules, escalation policies, and notification settings, this configuration has zero On-Call seats (as of September 2026, Source: Incident Response Billing). The second is staged migration; how to consolidate team by team is left to the On-Call explainer. The only point to hold onto here is that if the same people remain in both, seats are doubled. The third is replacement: unify onto the Incident Response bundle and cancel PagerDuty. Since the seat price differs between the annual contract and the monthly contract, the tactic of trying on a monthly contract only during the migration period can use the thinking in the article on annual contracts and on-demand. Overall pricing is covered in How to Decode the Pricing Structure.

References

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