Observability platforms handle some of the most sensitive data in your infrastructure. Logs capture customer requests with personally identifiable information. Traces contain API keys and authentication tokens. Metrics reveal business performance patterns. RUM tracks user behavior across applications.

Yet most observability vendors haven't pursued federal security certifications. Datadog doesn't offer FIPS validation. New Relic doesn't have it. The established SaaS platforms dominating the market haven't prioritized security standards required by regulated industries.

This creates an impossible choice for enterprises in defense, healthcare, finance, and government contracting: comprehensive observability or compliance requirements. You shouldn't have to choose.

We built FIPS validation in Kloudfuse 3.5 to eliminate this trade-off.

Why FIPS Validation Matters

FIPS 140-2 and 140-3 define federal standards for cryptographic modules. These standards specify how cryptographic functions protecting data—both at rest and in transit—must be implemented, tested, and validated.

For organizations in regulated sectors, FIPS validation isn't optional. Defense contractors working with classified systems require it. Healthcare technology companies processing patient data need it for certain federal contracts. Financial services firms serving government agencies must have it. It appears as a contractual requirement in RFPs across regulated industries.

The technical requirement is specific: validated cryptographic modules throughout the platform. Not just using approved algorithms. Full validation of the cryptographic implementations protecting data at every layer—ingestion, storage, queries, and API access.

Major observability vendors haven't pursued this certification. Their multi-tenant SaaS architectures and go-to-market strategies prioritize other markets. This leaves a gap for enterprises where FIPS validation is non-negotiable.

The Validation Challenge

FIPS validation isn't a checkbox. It requires validated cryptographic modules across your entire stack. Every component that encrypts data, generates keys, or performs cryptographic operations needs validation.

For Kloudfuse, this meant validating cryptographic modules throughout the platform. Data ingestion pipelines receiving telemetry over TLS connections. Storage systems encrypting data at rest in the unified data lake. Query engines decrypting data for analysis. API endpoints handling authentication and authorization. Control plane components managing cluster operations and configuration.

Implementing FIPS 140-3 compliance required significant architectural changes. We migrated all external dependencies from third-party repositories to internal registries specifically for FIPS hardening and improved security posture. This ensures that every cryptographic library and dependency meets validation requirements.

For customers deploying Kloudfuse, FIPS mode can be enabled through Helm configuration by setting global.fips.enabled: true. This activates FIPS-validated cryptographic modules across the entire platform stack.

Each module requires independent validation. Each validation involves months of testing, documentation, and third-party assessment. The scope extends beyond application code to underlying cryptographic libraries and their integration points.

Cryptographic Protection Layers

FIPS validation extends across multiple protection layers in Kloudfuse's architecture.

Data in Transit: Kloudfuse requires trusted communication protocols like HTTPS/TLS for all data ingestion. Users can configure TLS on the Kloudfuse Ingress or opt for TLS termination, ensuring cryptographic integrity from the moment telemetry data enters the platform. This mandatory encryption protects observability data as it flows from instrumented applications to the platform.

Data at Rest: Storage systems use FIPS-validated encryption modules to protect data in the unified data lake. Metrics, logs, traces, events, and RUM data all receive the same cryptographic protection, meeting government requirements for data at rest.

Control Plane Security: Configuration data, including TLS certificates and secrets for SSO/SAML integration, are stored securely via Kubernetes secrets. FIPS-hardened cryptographic libraries protect these sensitive configurations, ensuring the control plane managing the observability platform maintains the same security standards as the data plane.

Kloudfuse ensures data security through built-in filtering, masking, and encryption capabilities. These features enable organizations to protect sensitive information like PII, API keys, and authentication tokens at multiple layers—during ingestion, at rest, and during analysis—meeting data minimization requirements across regulatory frameworks.

Building the FedRAMP Pathway

FIPS validation provides the cryptographic foundation, but federal agencies and regulated enterprises need more. They need a clear path to FedRAMP authorization.

FedRAMP (Federal Risk and Authorization Management Program) standardizes security assessment for cloud services used by federal agencies. Authorization requires implementing NIST 800-53 security controls—over 400 controls covering access control, audit logging, incident response, vulnerability management, and continuous monitoring.

Kloudfuse 3.5 establishes a clear FedRAMP authorization pathway. The platform implements these security controls systematically. FIPS-validated cryptography protects data. Comprehensive audit logging creates compliance trails. Stream-specific RBAC enables granular access control. Continuous monitoring tracks security posture. Automated compliance reporting simplifies authorization maintenance.

Kloudfuse also maintains SOC 2 Type II compliance, demonstrating commitment to security, availability, and confidentiality controls that extend beyond federal requirements to industry-standard certifications.

This positions Kloudfuse for federal agency adoption while creating a compliance foundation that benefits any enterprise with similar security requirements. Healthcare organizations meeting HIPAA standards. Financial services firms maintaining PCI compliance. Any enterprise operating under strict regulatory frameworks.

Self-SaaS Amplifies Security

FIPS validation becomes even more powerful in Kloudfuse's Self-SaaS deployment model. The data plane runs entirely in your VPC. Observability data never leaves your infrastructure.

This creates defense in depth. FIPS-validated cryptography protects data in transit and at rest. Stream-specific RBAC controls application-level access. Security is further enhanced through SSO/SAML integration for simplified access controls and user authentication. VPC deployment ensures data never transits public networks. Infrastructure-level controls prevent unauthorized storage access. Your cloud provider's security controls add another layer.

For regulated enterprises, this combination addresses multiple compliance requirements simultaneously. Complete data sovereignty—you control where data lives. Federal security certifications—FIPS validation provides required cryptographic protection. Comprehensive audit trails—all access and configuration changes are logged. Granular access control—RBAC policies limit data visibility.

Traditional SaaS observability vendors can't offer this model. Your data lives in their infrastructure. Their security posture becomes your security posture. Their compliance certifications become dependencies. Their data retention policies constrain yours. Their multi-tenant architecture means your data shares infrastructure with other customers.

Self-SaaS eliminates these dependencies. You control data location, retention, access, and protection. FIPS validation makes those controls auditable and compliant.

What This Enables

FIPS validation in Kloudfuse 3.5 opens opportunities in regulated industries where observability has been challenging.

Healthcare technology companies can deploy observability platforms meeting HIPAA requirements and patient privacy regulations. Defense contractors can monitor classified systems with FIPS-validated cryptography and controlled data residency. Financial services companies can observe payment systems while maintaining PCI compliance and data sovereignty. Government agencies can adopt observability platforms with clear FedRAMP authorization pathways.

Beyond real-time monitoring, Kloudfuse provides specialized mechanisms for archiving pre-processed logs into longer-term storage with separate hydration capabilities. This enables examining historical data for compliance, legal, or regulatory requirements—critical for industries where audit trails must extend years into the past.

These organizations need observability as much as any technology company. Critical systems require monitoring. Incidents need investigation. Performance requires optimization. Security certifications shouldn't be barriers to comprehensive observability.

They're foundations for operating with confidence.

What We Built

FIPS validation in Kloudfuse 3.5 delivers:

• FIPS 140-3 validated cryptographic modules throughout the platform

• Helm-configurable FIPS mode for streamlined deployment

• Mandatory TLS/HTTPS for data in transit with configurable ingestion security

• Built-in data filtering, masking, and encryption capabilities

• Clear FedRAMP authorization pathway with NIST 800-53 security controls

• SOC 2 Type II compliance certification

• Compliance archiving with long-term storage and hydration for regulatory requirements

• Self-SaaS deployment ensuring complete data sovereignty

• Defense-in-depth security combining cryptography, RBAC, SSO/SAML, and infrastructure isolation

Security certifications shouldn't force trade-offs between comprehensive observability and compliance requirements. Kloudfuse 3.5 makes secure, compliant observability possible for enterprises operating under the strictest regulatory frameworks.

Learn more about security and compliance capabilities in Kloudfuse 3.5 in our launch announcement.