How to integrate Datadog MCP with Pydantic AI

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Introduction

This guide walks you through connecting Datadog to Pydantic AI using the Composio tool router. By the end, you'll have a working Datadog agent that can create downtime for nightly maintenance window, list all monitors tracking cpu usage, create synthetic api test for login endpoint, get details of production dashboard through natural language commands.

This guide will help you understand how to give your Pydantic AI agent real control over a Datadog account through Composio's Datadog MCP server.

Before we dive in, let's take a quick look at the key ideas and tools involved.

TL;DR

Here's what you'll learn:
  • How to set up your Composio API key and User ID
  • How to create a Composio Tool Router session for Datadog
  • How to attach an MCP Server to a Pydantic AI agent
  • How to stream responses and maintain chat history
  • How to build a simple REPL-style chat interface to test your Datadog workflows

What is Pydantic AI?

Pydantic AI is a Python framework for building AI agents with strong typing and validation. It leverages Pydantic's data validation capabilities to create robust, type-safe AI applications.

Key features include:

  • Type Safety: Built on Pydantic for automatic data validation
  • MCP Support: Native support for Model Context Protocol servers
  • Streaming: Built-in support for streaming responses
  • Async First: Designed for async/await patterns

What is the Datadog MCP server, and what's possible with it?

The Datadog MCP server is an implementation of the Model Context Protocol that connects your AI agent and assistants like Claude, Cursor, etc directly to your Datadog account. It provides structured and secure access to your monitoring and observability platform, so your agent can perform actions like creating dashboards, managing monitors, scheduling downtimes, and tracking key events on your behalf.

  • Custom dashboard creation and management: Direct your agent to build new dashboards or retrieve detailed information about existing dashboards for unified infrastructure and application monitoring.
  • Monitor setup and deletion: Easily have your agent create new monitors to track critical metrics or remove outdated ones to keep your alerting system relevant.
  • Automated downtime scheduling: Let your agent schedule maintenance windows by creating downtimes that suppress alerts during planned outages or deployments.
  • Event tracking and logging: Ask your agent to create and log significant events—like deployments or configuration changes—so your team always stays informed.
  • Service level objectives and synthetic testing: Instruct your agent to define SLOs or set up synthetic API tests for continuous reliability and performance tracking.

Supported Tools & Triggers

Tools
Create DashboardCreate a dashboard in datadog.
Create downtimeCreates a new downtime in datadog to suppress alerts during maintenance windows or planned outages.
Create eventCreates a new event in datadog.
Create monitorCreates a new datadog monitor to track metrics, logs, or other data sources with configurable alerting thresholds and notifications.
Create SLOCreate a service level objective (slo) in datadog.
Create Synthetic API TestCreate a synthetic api test in datadog.
Create WebhookCreate a webhook in datadog.
Delete DashboardDelete a dashboard in datadog.
Delete monitorDeletes a datadog monitor permanently.
Get DashboardGet a specific dashboard from datadog.
Get monitorRetrieves detailed information about a specific datadog monitor, including its current state, configuration, and any active downtimes.
Get Service DependenciesGet service dependency mapping from datadog apm.
Get Synthetics LocationsTool to retrieve all available public and private locations for synthetic tests in datadog.
Get host tagsRetrieves all tags associated with a specific host in datadog.
Get Trace by IDGet detailed information about a specific trace by its id.
Get usage summaryRetrieves usage summary information from datadog including api calls, hosts, containers, and other billable usage metrics.
List All TagsList all tags from datadog.
List API KeysList api keys in datadog.
List APM ServicesList apm services from datadog.
List AWS IntegrationList aws integrations in datadog.
List dashboardsLists all datadog dashboards with basic information.
List eventsLists events from datadog within a specified time range.
List hostsLists all hosts in your datadog infrastructure with detailed information including metrics, tags, and status.
List IncidentsList incidents from datadog.
List Log IndexesTool to retrieve a list of all log indexes configured in datadog.
List monitorsGet all monitor details.
List RolesList roles from datadog organization.
List service checksLists service checks from datadog.
List SLOsList service level objectives (slos) from datadog.
List Synthetics TestsList synthetics tests from datadog.
List UsersList users from datadog organization.
List WebhooksList webhooks from datadog.
Mute MonitorMute a monitor in datadog.
Query metricsQueries datadog metrics and returns time series data.
Search logsSearches datadog logs with advanced filtering capabilities.
Search Spans AnalyticsSearch and analyze span data with aggregations in datadog.
Search TracesSearch for traces in datadog apm.
Submit metricsSubmits custom metrics to datadog.
Unmute MonitorUnmute a monitor in datadog.
Update DashboardUpdate a dashboard in datadog.
Update host tagsUpdates tags for a specific host in datadog.
Update monitorUpdates an existing datadog monitor with new configuration, thresholds, or notification settings.

What is the Composio tool router, and how does it fit here?

What is Tool Router?

Composio's Tool Router helps agents find the right tools for a task at runtime. You can plug in multiple toolkits (like Gmail, HubSpot, and GitHub), and the agent will identify the relevant app and action to complete multi-step workflows. This can reduce token usage and improve the reliability of tool calls. Read more here: Getting started with Tool Router

The tool router generates a secure MCP URL that your agents can access to perform actions.

How the Tool Router works

The Tool Router follows a three-phase workflow:

  1. Discovery: Searches for tools matching your task and returns relevant toolkits with their details.
  2. Authentication: Checks for active connections. If missing, creates an auth config and returns a connection URL via Auth Link.
  3. Execution: Executes the action using the authenticated connection.

Step-by-step Guide

Prerequisites

Before starting, make sure you have:
  • Python 3.9 or higher
  • A Composio account with an active API key
  • Basic familiarity with Python and async programming

Getting API Keys for OpenAI and Composio

OpenAI API Key
  • Go to the OpenAI dashboard and create an API key. You'll need credits to use the models, or you can connect to another model provider.
  • Keep the API key safe.
Composio API Key
  • Log in to the Composio dashboard.
  • Navigate to your API settings and generate a new API key.
  • Store this key securely as you'll need it for authentication.

Install dependencies

bash
pip install composio pydantic-ai python-dotenv

Install the required libraries.

What's happening:

  • composio connects your agent to external SaaS tools like Datadog
  • pydantic-ai lets you create structured AI agents with tool support
  • python-dotenv loads your environment variables securely from a .env file

Set up environment variables

bash
COMPOSIO_API_KEY=your_composio_api_key_here
USER_ID=your_user_id_here
OPENAI_API_KEY=your_openai_api_key

Create a .env file in your project root.

What's happening:

  • COMPOSIO_API_KEY authenticates your agent to Composio's API
  • USER_ID associates your session with your account for secure tool access
  • OPENAI_API_KEY to access OpenAI LLMs

Import dependencies

python
import asyncio
import os
from dotenv import load_dotenv
from composio import Composio
from pydantic_ai import Agent
from pydantic_ai.mcp import MCPServerStreamableHTTP

load_dotenv()
What's happening:
  • We load environment variables and import required modules
  • Composio manages connections to Datadog
  • MCPServerStreamableHTTP connects to the Datadog MCP server endpoint
  • Agent from Pydantic AI lets you define and run the AI assistant

Create a Tool Router Session

python
async def main():
    api_key = os.getenv("COMPOSIO_API_KEY")
    user_id = os.getenv("USER_ID")
    if not api_key or not user_id:
        raise RuntimeError("Set COMPOSIO_API_KEY and USER_ID in your environment")

    # Create a Composio Tool Router session for Datadog
    composio = Composio(api_key=api_key)
    session = composio.create(
        user_id=user_id,
        toolkits=["datadog"],
    )
    url = session.mcp.url
    if not url:
        raise ValueError("Composio session did not return an MCP URL")
What's happening:
  • We're creating a Tool Router session that gives your agent access to Datadog tools
  • The create method takes the user ID and specifies which toolkits should be available
  • The returned session.mcp.url is the MCP server URL that your agent will use

Initialize the Pydantic AI Agent

python
# Attach the MCP server to a Pydantic AI Agent
datadog_mcp = MCPServerStreamableHTTP(url, headers={"x-api-key": COMPOSIO_API_KEY})
agent = Agent(
    "openai:gpt-5",
    toolsets=[datadog_mcp],
    instructions=(
        "You are a Datadog assistant. Use Datadog tools to help users "
        "with their requests. Ask clarifying questions when needed."
    ),
)
What's happening:
  • The MCP client connects to the Datadog endpoint
  • The agent uses GPT-5 to interpret user commands and perform Datadog operations
  • The instructions field defines the agent's role and behavior

Build the chat interface

python
# Simple REPL with message history
history = []
print("Chat started! Type 'exit' or 'quit' to end.\n")
print("Try asking the agent to help you with Datadog.\n")

while True:
    user_input = input("You: ").strip()
    if user_input.lower() in {"exit", "quit", "bye"}:
        print("\nGoodbye!")
        break
    if not user_input:
        continue

    print("\nAgent is thinking...\n", flush=True)

    async with agent.run_stream(user_input, message_history=history) as stream_result:
        collected_text = ""
        async for chunk in stream_result.stream_output():
            text_piece = None
            if isinstance(chunk, str):
                text_piece = chunk
            elif hasattr(chunk, "delta") and isinstance(chunk.delta, str):
                text_piece = chunk.delta
            elif hasattr(chunk, "text"):
                text_piece = chunk.text
            if text_piece:
                collected_text += text_piece
        result = stream_result

    print(f"Agent: {collected_text}\n")
    history = result.all_messages()
What's happening:
  • The agent reads input from the terminal and streams its response
  • Datadog API calls happen automatically under the hood
  • The model keeps conversation history to maintain context across turns

Run the application

python
if __name__ == "__main__":
    asyncio.run(main())
What's happening:
  • The asyncio loop launches the agent and keeps it running until you exit

Complete Code

Here's the complete code to get you started with Datadog and Pydantic AI:

python
import asyncio
import os
from dotenv import load_dotenv
from composio import Composio
from pydantic_ai import Agent
from pydantic_ai.mcp import MCPServerStreamableHTTP

load_dotenv()

async def main():
    api_key = os.getenv("COMPOSIO_API_KEY")
    user_id = os.getenv("USER_ID")
    if not api_key or not user_id:
        raise RuntimeError("Set COMPOSIO_API_KEY and USER_ID in your environment")

    # Create a Composio Tool Router session for Datadog
    composio = Composio(api_key=api_key)
    session = composio.create(
        user_id=user_id,
        toolkits=["datadog"],
    )
    url = session.mcp.url
    if not url:
        raise ValueError("Composio session did not return an MCP URL")

    # Attach the MCP server to a Pydantic AI Agent
    datadog_mcp = MCPServerStreamableHTTP(url, headers={"x-api-key": COMPOSIO_API_KEY})
    agent = Agent(
        "openai:gpt-5",
        toolsets=[datadog_mcp],
        instructions=(
            "You are a Datadog assistant. Use Datadog tools to help users "
            "with their requests. Ask clarifying questions when needed."
        ),
    )

    # Simple REPL with message history
    history = []
    print("Chat started! Type 'exit' or 'quit' to end.\n")
    print("Try asking the agent to help you with Datadog.\n")

    while True:
        user_input = input("You: ").strip()
        if user_input.lower() in {"exit", "quit", "bye"}:
            print("\nGoodbye!")
            break
        if not user_input:
            continue

        print("\nAgent is thinking...\n", flush=True)

        async with agent.run_stream(user_input, message_history=history) as stream_result:
            collected_text = ""
            async for chunk in stream_result.stream_output():
                text_piece = None
                if isinstance(chunk, str):
                    text_piece = chunk
                elif hasattr(chunk, "delta") and isinstance(chunk.delta, str):
                    text_piece = chunk.delta
                elif hasattr(chunk, "text"):
                    text_piece = chunk.text
                if text_piece:
                    collected_text += text_piece
            result = stream_result

        print(f"Agent: {collected_text}\n")
        history = result.all_messages()

if __name__ == "__main__":
    asyncio.run(main())

Conclusion

You've built a Pydantic AI agent that can interact with Datadog through Composio's Tool Router. With this setup, your agent can perform real Datadog actions through natural language. You can extend this further by:
  • Adding other toolkits like Gmail, HubSpot, or Salesforce
  • Building a web-based chat interface around this agent
  • Using multiple MCP endpoints to enable cross-app workflows (for example, Gmail + Datadog for workflow automation)
This architecture makes your AI agent "agent-native", able to securely use APIs in a unified, composable way without custom integrations.

How to build Datadog MCP Agent with another framework

FAQ

What are the differences in Tool Router MCP and Datadog MCP?

With a standalone Datadog MCP server, the agents and LLMs can only access a fixed set of Datadog tools tied to that server. However, with the Composio Tool Router, agents can dynamically load tools from Datadog and many other apps based on the task at hand, all through a single MCP endpoint.

Can I use Tool Router MCP with Pydantic AI?

Yes, you can. Pydantic AI fully supports MCP integration. You get structured tool calling, message history handling, and model orchestration while Tool Router takes care of discovering and serving the right Datadog tools.

Can I manage the permissions and scopes for Datadog while using Tool Router?

Yes, absolutely. You can configure which Datadog scopes and actions are allowed when connecting your account to Composio. You can also bring your own OAuth credentials or API configuration so you keep full control over what the agent can do.

How safe is my data with Composio Tool Router?

All sensitive data such as tokens, keys, and configuration is fully encrypted at rest and in transit. Composio is SOC 2 Type 2 compliant and follows strict security practices so your Datadog data and credentials are handled as safely as possible.

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Letta
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HubSpot
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Altera
DataStax
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ASU
Letta
glean
HubSpot
Agent.ai
Altera
DataStax
Entelligence
Rolai

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