Application Performance Monitoring (APM) is a comprehensive approach to observing and optimizing software application performance, extending beyond mere system availability and response times to enhance user experiences at scale. APM utilizes monitoring software and telemetry data to track key performance metrics, identify and resolve issues, and improve application reliability and efficiency. It integrates components such as Digital Experience Monitoring and AI-driven diagnostics to provide insights into application dependencies, user interactions, and performance bottlenecks. APM tools and platforms offer solutions for monitoring infrastructure, networks, databases, and user experiences to maintain optimal performance in complex, cloud-native environments. The distinction between APM tools and platforms lies in their scope: while tools often address specific issues, platforms provide a holistic, integrated solution for continuous full-stack monitoring and analysis. The use of AI and automation is crucial in managing the vast telemetry data generated by modern applications, ensuring swift problem resolution and resource optimization. As the complexity of cloud-native applications grows, APM solutions must adapt to provide precise, context-aware analysis, enabling organizations to maintain application performance and improve business outcomes.