Kevin Lin, the co-founder of Nimbus, discusses the rising costs of commercial observability tools such as Datadog and Honeycomb, highlighting that many companies find these tools to be significant financial burdens. While Honeycomb suggests that firms allocate 20-30% of their technology budgets to observability, Lin argues that internally-developed solutions could achieve effective observability at a much lower cost, around single-digit percentages of the budget. Nimbus addresses this issue by optimizing observability expenses, particularly when using Datadog, through methods like identifying common log patterns and aggregating similar log entries, which can reduce data volume by 80-90% without compromising data integrity. The Nimbus platform operates as an intermediary between customers and observability vendors, processing and optimizing data to help companies maintain visibility and insights while significantly lowering costs.