Observo is an AI-powered Observability Pipeline designed for Security, IT, and DevOps data. Going beyond static, rules-based observability pipelines, Observo offers a dynamic, continually learning solution that adapts to the user's data over time. Its key capabilities include data optimization and reduction, smart routing, anomaly detection, a searchable low-cost data lake, data enrichment, and sensitive data discovery. In terms of data optimization and reduction, it significantly cuts log volumes, leading to substantial reductions in the total cost of observability. The smart routing feature avoids vendor lock-ins by appropriately routing data where it adds the most value. Observo's anomaly detection reduces the mean time to resolution (MTTR) of incidents, and it provides a searchable, cost-effective data lake for flexible data retention. The system additionally adds context to data for quicker searches and mitigation of alert fatigue, while facilitating the securing of personally identifiable information (PII) for better compliance. Observo provides users with control and flexibility over their observability data by enabling easy connection between sources and destinations, applying transformations, and routing data for optimal business outcomes. Feedback from industry leaders suggests that Observo assists in cost reductions and enhances incident detection & response capabilities.