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Customer Story

How PagerDuty and AWS are transforming digital operations with AI-powered resilience

by Scott Sieper, Director, Product Management for Generative AI, PagerDuty | 10 Apr 2025 | Thought Leadership

Overview

If you’ve had the privilege of attending AWS re:Invent, you know how invigorating it can be to meet with peers and experts who eat, sleep, and breathe technology. I’ve been to that event many times, and the one in late 2024 was no different—except for one exciting announcement from PagerDuty’s CEO, Jennifer Tejada. She shared new, innovative ways PagerDuty is strengthening its working relationship with Amazon Web Services (AWS) and how we partner to revolutionize digital operations management with generative AI. For fellow technology leaders focused on driving growth and operational excellence, this collaboration represents a significant leap forward in managing digital operations at scale. Here is our story.

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Our evolution

PagerDuty is a software company that helps businesses resolve IT incidents faster, build resilience, and ultimately automate work. What began 15 years ago as a solution for automating on-call management has evolved into PagerDuty Operations Cloud, our AI-first platform that serves as the central nervous system for digital operations. With integrations across more than 700 applications, we've become the trusted operations partner for over two-thirds of the Fortune 100 and half of the Fortune 500 companies.

PagerDuty’s success isn't just about scale – it's about reliability. We've maintained impressive gross margins above 80% while delivering enterprise-grade resilience. This achievement is particularly meaningful to me given the current focus on efficient growth and sustainable business models in the technology sector.

The AI revolution in operations management

One of our latest breakthroughs is enhancements to PagerDuty Advance, built with Amazon Bedrock, Anthropic Claude, and Amazon Q index. This combination addresses a critical challenge facing modern enterprises: the 43% increase in major incidents over the past year, with each incident disruption costing nearly $1 million USD.

If you’re a product or revenue leader, that statistic underscores the direct impact that incident response time can have on the bottom line. Our AI-powered solution offers:

  1. Deep Data & Domain Expertise: With 15 years of operational intelligence and billions of events and incidents, our AI is battle-tested and ready to take action when it matters most
  2. Enterprise-Grade Security: Trusted by Fortune 100 companies, PagerDuty delivers built-in guardrails to keep hallucinations in check so you can deploy with confidence
  3. Immediate Time-to-Value: Transform operations from day one—no training, no new infrastructure. Just real results powered by real-world data
  4. Unified AI Ecosystem: One intelligent platform. 750+ integrations. AI that doesn't just analyze—it acts, driving impact across your entire tech stack

Real business impact

Let me share a scenario: A global bank faces a critical authentication issue affecting customer access to their accounts. Traditional incident management might involve multiple teams, numerous communication channels, and hours of coordination. Our solution with AWS transforms this process into a streamlined operation, where AI immediately surfaces critical context that identifies the root cause, automated systems deploy fixes, stakeholders receive real-time updates, and customer service teams stay informed through native integrations.

Looking ahead

The future of digital operations lies in the intelligent combination of human expertise and AI capabilities. PagerDuty was the first incident management platform to integrate with Amazon Q Business, and PagerDuty will continue to expand the relationship. We plan to integrate within Amazon Q’s data accessor capability, which is expected to be available in early access in Q2 2025.

Businesses use over 100 SaaS applications on average, often creating data silos that hinder AI’s potential to drive true operational resilience. Bringing PagerDuty Advance together with Amazon Q will unlock those silos and make that data actionable. For example, using data accessible by Amazon Q, PagerDuty Advance could analyze a medical device company's customer trial data, flag an anomaly, identify the root cause, and recommend the replacement of a faulty component before mass production. This AI-driven, integrated approach to operational transparency and resiliency could prevent costly recalls, lawsuits, and regulatory fines while preserving customer trust and ensuring safety and compliance.

AI-powered operations management isn't just about solving technical problems – it's about protecting and growing business value in an increasingly digital world. Learn more about what AWS can do for your software or technology business.

About the author

Scott Sieper, Director, Product Management for Generative AI, PagerDuty

Scott is responsible for PagerDuty Advance, leading the development of Gen AI-powered solutions that transform incident response, operations, and automation. With deep expertise in AI, AI agents, SaaS, and enterprise automation, Scott is at the forefront of integrating agentic AI to modernize operations.

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