Distributed Tracing on a Budget

📰 Dev.to · SoftwareDevs mvpfactory.io

Learn to set up a cost-effective observability pipeline for your startup's backend using OpenTelemetry Collector, Tempo, Loki, and Grafana, reducing storage costs to under $50/month

intermediate Published 28 Apr 2026
Action Steps
  1. Set up OpenTelemetry Collector with tail-based sampling policies to filter high-cardinality spans
  2. Configure Tempo for trace storage and Loki for correlated logs
  3. Implement the sampling decision engine to keep storage costs under $50/month at 10k RPM
  4. Create Grafana dashboards to visualize trace and log data
  5. Apply the trace-to-logs correlation pattern to replace expensive APM tools
Who Needs to Know This

This tutorial benefits backend engineers and DevOps teams at startups who need to monitor and troubleshoot their applications without breaking the bank. By following these steps, they can set up a complete observability pipeline and reduce storage costs

Key Insight

💡 Using OpenTelemetry Collector with tail-based sampling policies and Tempo for trace storage can significantly reduce storage costs while maintaining observability

Share This
🚀 Set up a cost-effective observability pipeline for your startup's backend with OpenTelemetry Collector, Tempo, Loki, and Grafana! 💸 Reduce storage costs to under $50/month 📊

Key Takeaways

Learn to set up a cost-effective observability pipeline for your startup's backend using OpenTelemetry Collector, Tempo, Loki, and Grafana, reducing storage costs to under $50/month

Full Article

Walk through setting up a complete observability pipeline for a startup's backend using OpenTelemetry Collector with tail-based sampling policies, Tempo for trace storage, Loki for correlated logs, and Grafana dashboards — covering the specific collector configuration for filtering high-cardinality spans, the sampling decision engine that keeps storage costs under $50/month at 10k RPM, and the trace-to-logs correlation pattern that replaces expensive APM tools
Read full article → ← Back to Reads

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