diff --git a/.dockerignore b/.dockerignore
new file mode 100644
index 00000000..da134a28
--- /dev/null
+++ b/.dockerignore
@@ -0,0 +1,7 @@
+.git
+infrastructure/aws/cdk.out
+.venv
+.mypy_cache
+.pytest_cache
+.ruff_cache
+
diff --git a/.github/actions/cdk-deploy/action.yml b/.github/actions/cdk-deploy/action.yml
index 2607a3d6..a965e4e7 100644
--- a/.github/actions/cdk-deploy/action.yml
+++ b/.github/actions/cdk-deploy/action.yml
@@ -36,15 +36,10 @@ runs:
       run: npm install -g aws-cdk@2
 
     - name: Install uv
-      uses: astral-sh/setup-uv@v3
+      uses: astral-sh/setup-uv@v7
       with:
         version: "0.5.*" 
 
-    - name: Set up Python
-      uses: actions/setup-python@v5
-      with:
-        python-version: '3.12'
-
     - name: Install dependencies
       shell: bash
       working-directory: ${{ inputs.dir }}
diff --git a/Dockerfile b/Dockerfile
index a29a01da..4b7c1e80 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -26,5 +26,5 @@ RUN if [ -z "$EARTHDATA_USERNAME" ] || [ -z "$EARTHDATA_PASSWORD" ]; then \
 # http://www.uvicorn.org/settings/
 ENV HOST 0.0.0.0
 ENV PORT 80
-CMD uv run uvicorn titiler.cmr.main:app --host ${HOST} --port ${PORT} --log-level debug --reload
+CMD uv run --no-dev uvicorn titiler.cmr.main:app --host ${HOST} --port ${PORT} --log-level debug --reload
 
diff --git a/README.md b/README.md
index e3aa465e..0e13cceb 100644
--- a/README.md
+++ b/README.md
@@ -90,7 +90,7 @@ The application will be available at this address: [http://localhost:8081/api.ht
 To run the application directly in your local environment, configure the application to access data over `HTTP` then run it using `uvicorn`:
 
 ```bash
-TITILER_CMR_S3_AUTH_ACCESS=external uv run uvicorn titiler.cmr.main:app --reload
+TITILER_CMR_S3_AUTH_ACCESS=external uv run uvicorn titiler.cmr.main:app --reload --log-level info
 ```
 
 The application will be available at this address: [http://localhost:8000/api.html](http://localhost:8000/api.html)
diff --git a/docs/examples/rasterio_backend_example.ipynb b/docs/examples/rasterio_backend_example.ipynb
index 769e9185..226922c1 100644
--- a/docs/examples/rasterio_backend_example.ipynb
+++ b/docs/examples/rasterio_backend_example.ipynb
@@ -41,10 +41,12 @@
    "outputs": [],
    "source": [
     "# titiler_endpoint = \"http://localhost:8081\"  # docker network endpoint\n",
+    "# titiler_endpoint = (\n",
+    "#     \"https://staging.openveda.cloud/api/titiler-cmr\"  # VEDA staging endpoint\n",
+    "# )\n",
     "titiler_endpoint = (\n",
-    "    \"https://staging.openveda.cloud/api/titiler-cmr\"  # VEDA staging endpoint\n",
-    ")\n",
-    "# titiler_endpoint = \"https://v4jec6i5c0.execute-api.us-west-2.amazonaws.com\"  # dev endpoint"
+    "    \"https://v4jec6i5c0.execute-api.us-west-2.amazonaws.com\"  # dev endpoint\n",
+    ")"
    ]
   },
   {
@@ -197,6 +199,7 @@
     "        (\"minzoom\", 8),\n",
     "        (\"maxzoom\", 13),\n",
     "    ),\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(r)"
@@ -260,6 +263,7 @@
     "        (\"minzoom\", 8),\n",
     "        (\"maxzoom\", 13),\n",
     "    ),\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "m = Map(location=(47.9221313337365, -91.65432884883238), zoom_start=r[\"maxzoom\"] - 1)\n",
@@ -337,7 +341,7 @@
     "        (\"bands\", \"B04\"),\n",
     "    ),\n",
     "    json=geojson,\n",
-    "    timeout=30,\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(json.dumps(r, indent=2))"
diff --git a/docs/examples/time_series_example.ipynb b/docs/examples/time_series_example.ipynb
index c560f7cb..b7480d05 100644
--- a/docs/examples/time_series_example.ipynb
+++ b/docs/examples/time_series_example.ipynb
@@ -178,6 +178,7 @@
     "        \"step\": \"P1W\",\n",
     "        \"temporal_mode\": \"point\",\n",
     "    },\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(json.dumps(response, indent=2))"
@@ -210,6 +211,7 @@
     "        \"step\": \"P1W\",\n",
     "        \"temporal_mode\": \"interval\",\n",
     "    },\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(json.dumps(response, indent=2))"
@@ -239,6 +241,7 @@
     "            [\"2024-10-01T00:00:01Z\", \"2024-10-07T00:00:01Z/2024-10-09T23:59:59Z\"]\n",
     "        ),\n",
     "    },\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(json.dumps(response, indent=2))"
diff --git a/docs/examples/xarray_backend_example.ipynb b/docs/examples/xarray_backend_example.ipynb
index 0f434f38..8cc3f8a6 100644
--- a/docs/examples/xarray_backend_example.ipynb
+++ b/docs/examples/xarray_backend_example.ipynb
@@ -184,6 +184,7 @@
     "        (\"rescale\", \"0,1\"),\n",
     "        (\"colormap_name\", \"blues_r\"),\n",
     "    ),\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(r)"
@@ -258,7 +259,7 @@
     "        (\"variable\", variable),\n",
     "    ),\n",
     "    json=geojson_dict,\n",
-    "    timeout=60,\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(json.dumps(r, indent=2))"
@@ -319,7 +320,7 @@
     "        (\"sel_method\", \"nearest\"),\n",
     "    ),\n",
     "    json=geojson_dict,\n",
-    "    timeout=60,\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(json.dumps(r, indent=2))"
@@ -354,7 +355,7 @@
     "        (\"sel_method\", \"nearest\"),\n",
     "    ),\n",
     "    json=geojson_dict,\n",
-    "    timeout=60,\n",
+    "    timeout=None,\n",
     ").json()\n",
     "\n",
     "print(json.dumps(r, indent=2))"
diff --git a/infrastructure/aws/cdk/app.py b/infrastructure/aws/cdk/app.py
index 0b0b728d..40ba7844 100644
--- a/infrastructure/aws/cdk/app.py
+++ b/infrastructure/aws/cdk/app.py
@@ -12,6 +12,7 @@
 from aws_cdk import aws_sns as sns
 from aws_cdk import aws_sns_subscriptions as subscriptions
 from aws_cdk.aws_apigatewayv2_integrations import HttpLambdaIntegration
+from aws_cdk.aws_ecr_assets import Platform
 from config import AppSettings, StackSettings
 from constructs import Construct
 
@@ -65,27 +66,32 @@ def __init__(
             **DEFAULT_ENV,
             "TITILER_CMR_ROOT_PATH": app_settings.root_path,
             "TITILER_CMR_S3_AUTH_STRATEGY": app_settings.s3_auth_strategy,
+            "TITILER_CMR_TELEMETRY_ENABLED": "TRUE",
+            "OTEL_PYTHON_DISABLED_INSTRUMENTATIONS": "aws-lambda,requests,urllib3,aiohttp-client",  # Disable aws-lambda auto-instrumentation (handled by otel_wrapper.py)
+            "OTEL_PROPAGATORS": "tracecontext,baggage,xray",
+            "OPENTELEMETRY_COLLECTOR_CONFIG_URI": "/opt/collector-config/config.yaml",
+            # AWS_LAMBDA_LOG_FORMAT not set - using custom JSON formatter in handler.py
+            "AWS_LAMBDA_EXEC_WRAPPER": "/opt/otel-instrument",  # Enable OTEL wrapper to avoid circular import
         }
 
         if app_settings.aws_request_payer:
             lambda_env["AWS_REQUEST_PAYER"] = app_settings.aws_request_payer
 
-        lambda_function = aws_lambda.Function(
+        lambda_function = aws_lambda.DockerImageFunction(
             self,
             f"{id}-lambda",
-            runtime=runtime,
-            code=aws_lambda.Code.from_docker_build(
-                path=os.path.abspath(context_dir),
+            code=aws_lambda.DockerImageCode.from_image_asset(
+                directory=os.path.abspath(context_dir),
                 file="infrastructure/aws/lambda/Dockerfile",
-                platform="linux/amd64",
+                platform=Platform.LINUX_AMD64,
             ),
-            handler="handler.handler",
             memory_size=memory,
             reserved_concurrent_executions=concurrent,
             timeout=Duration.seconds(timeout),
             environment=lambda_env,
             log_retention=logs.RetentionDays.ONE_WEEK,
             role=iam_reader_role,
+            tracing=aws_lambda.Tracing.ACTIVE,
         )
 
         for perm in permissions:
diff --git a/infrastructure/aws/lambda/Dockerfile b/infrastructure/aws/lambda/Dockerfile
index 8674f1c7..1627d8db 100644
--- a/infrastructure/aws/lambda/Dockerfile
+++ b/infrastructure/aws/lambda/Dockerfile
@@ -1,36 +1,80 @@
 ARG PYTHON_VERSION=3.12
 
-FROM --platform=linux/amd64 public.ecr.aws/lambda/python:${PYTHON_VERSION}
+# Stage 1: OTEL
+# Download the OpenTelemetry layer
+# ref: https://github.com/athewsey/opentelemetry-lambda-container/blob/98069d5eb6d812ccd28d5c80e2f9d6c8a8c76fb9/python-example/lambda-function/Dockerfile
+FROM public.ecr.aws/lambda/python:${PYTHON_VERSION} as otel-builder
+RUN <<EOF
+dnf install -y unzip wget
+wget https://github.com/aws-observability/aws-otel-python-instrumentation/releases/download/v0.12.1/layer.zip -O /tmp/layer.zip
+mkdir -p /opt-builder
+unzip /tmp/layer.zip -d /opt-builder/
+EOF
+
+# Stage 2: titiler-cmr application and dependencies
+FROM public.ecr.aws/lambda/python:${PYTHON_VERSION} AS builder
 COPY --from=ghcr.io/astral-sh/uv:latest /uv /uvx /bin/
 
-WORKDIR /tmp
+RUN dnf install -y gcc-c++ && dnf clean all
 
-RUN dnf install -y gcc-c++  
+WORKDIR /build
 
-COPY uv.lock .python-version pyproject.toml LICENSE README.md ./
+COPY README.md uv.lock .python-version pyproject.toml ./
 COPY titiler/ ./titiler/
 
-RUN uv export --locked --no-editable --no-dev --extra lambda --extra telemetry --format requirements.txt -o requirements.txt && \
-  uv pip install --compile-bytecode --no-binary pydantic --target /asset -r requirements.txt 
+RUN <<EOF
+uv export --locked --no-editable --no-dev --extra lambda --format requirements.txt -o requirements.txt
+uv pip install \
+  --compile-bytecode \
+  --no-binary pydantic \
+  --target /deps \
+  --no-cache-dir \
+  --disable-pip-version-check \
+  -r requirements.txt
+EOF
+
+# Aggressive cleanup to minimize size and optimize for Lambda container
+# Clean up app dependencies in /deps
+WORKDIR /deps
+SHELL ["/bin/bash", "-o", "pipefail", "-c"]
+RUN <<EOF
+# Convert .pyc files and remove source .py files for faster cold starts
+find . -type f -name '*.pyc' | while read -r f; do n="$(echo "$f" | sed 's/__pycache__\///' | sed 's/.cpython-[0-9]*//')"; cp "$f" "$n"; done
+find . -type d -a -name '__pycache__' -print0 | xargs -0 rm -rf
+find . -type f -a -name '*.py' -print0 | xargs -0 rm -f
+# Remove unnecessary files for Lambda runtime
+find . -type d -a -name 'tests' -print0 | xargs -0 rm -rf
+find . -type d -a -name 'test' -print0 | xargs -0 rm -rf
+rm -rf numpy/doc/ bin/ geos_license Misc/
+# Remove unnecessary locale and documentation files
+find . -name '*.mo' -delete
+find . -name '*.po' -delete
+find . -name 'LICENSE*' -delete
+find . -name 'README*' -delete
+find . -name '*.md' -delete
+# Strip debug symbols from shared libraries (preserve numpy.libs)
+find . -type f -name '*.so*' -not -path "*/numpy.libs/*" -exec strip --strip-unneeded {} \; 2>/dev/null || true
+EOF
 
-# copy libexpat.so.1 into /asset which is included in LD_LIBRARY_PATH
-RUN cp /usr/lib64/libexpat.so.1 /asset/
+# Stage 3: Final runtime stage - minimal Lambda image optimized for container runtime
+FROM public.ecr.aws/lambda/python:${PYTHON_VERSION}
 
-# Reduce package size and remove useless files
-RUN cd /asset && find . -type f -name '*.pyc' | while read f; do n=$(echo $f | sed 's/__pycache__\///' | sed 's/.cpython-[0-9]*//'); cp $f $n; done;
-RUN cd /asset && find . -type d -a -name '__pycache__' -print0 | xargs -0 rm -rf
-RUN cd /asset && find . -type f -a -name '*.py' -print0 | xargs -0 rm -f
-RUN find /asset -type d -a -name 'tests' -print0 | xargs -0 rm -rf
-RUN rm -rdf /asset/numpy/doc/ /asset/bin /asset/geos_license /asset/Misc
-RUN rm -rdf /asset/boto3*
-RUN rm -rdf /asset/botocore*
+ENV PYTHONUNBUFFERED=1 \
+  PYTHONDONTWRITEBYTECODE=1
 
-# Strip debug symbols from compiled C/C++ code (except for numpy.libs!)
-RUN cd /asset && \
-  find . -type f -name '*.so*' \
-  -not -path "./numpy.libs/*" \
-  -exec strip --strip-unneeded {} \;
+COPY --from=otel-builder /opt-builder/ /opt/
+COPY infrastructure/aws/lambda/collector-config.yaml /opt/collector-config/config.yaml
+COPY --from=builder /deps ${LAMBDA_RUNTIME_DIR}/
+COPY --from=builder /usr/lib64/libexpat.so.1 ${LAMBDA_RUNTIME_DIR}/
+COPY infrastructure/aws/lambda/handler.py ${LAMBDA_RUNTIME_DIR}/
 
-COPY infrastructure/aws/lambda/handler.py /asset/handler.py
+RUN <<EOF
+chmod 644 "${LAMBDA_RUNTIME_DIR}"/handler.py
+chmod -R 755 /opt/
+# Pre-compile the handler for faster cold starts
+python -c "import py_compile; py_compile.compile('${LAMBDA_RUNTIME_DIR}/handler.py', doraise=True)"
+# Create cache directories with proper permissions
+mkdir -p /tmp/.cache && chmod 777 /tmp/.cache
+EOF
 
-CMD ["echo", "hello world"]
+CMD ["handler.lambda_handler"]
diff --git a/infrastructure/aws/lambda/collector-config.yaml b/infrastructure/aws/lambda/collector-config.yaml
new file mode 100644
index 00000000..3d09f93e
--- /dev/null
+++ b/infrastructure/aws/lambda/collector-config.yaml
@@ -0,0 +1,38 @@
+extensions:
+  # AWS Proxy extension - forwards X-Ray segments to local X-Ray daemon via UDP
+  # This avoids the awsxray exporter making HTTPS API calls
+  awsproxy:
+    endpoint: 127.0.0.1:2000
+
+receivers:
+  otlp:
+    protocols:
+      grpc:
+        endpoint: localhost:4317
+      http:
+        endpoint: localhost:4318
+
+processors:
+  batch:
+    timeout: 1s
+    send_batch_size: 50
+
+exporters:
+  # Export to AWS X-Ray via local X-Ray daemon (UDP, no internet required)
+  # The awsproxy extension bridges the collector to the daemon at 127.0.0.1:2000
+  awsxray:
+    endpoint: http://127.0.0.1:2000
+    local_mode: true  # Use local X-Ray daemon instead of direct API calls
+    index_all_attributes: true
+
+  # Debug exporter to see traces in CloudWatch logs
+  debug:
+    verbosity: detailed
+
+service:
+  extensions: [awsproxy]
+  pipelines:
+    traces:
+      receivers: [otlp]
+      processors: [batch]
+      exporters: [debug, awsxray]
diff --git a/infrastructure/aws/lambda/handler.py b/infrastructure/aws/lambda/handler.py
index 0d2db502..b727ecb4 100644
--- a/infrastructure/aws/lambda/handler.py
+++ b/infrastructure/aws/lambda/handler.py
@@ -1,43 +1,25 @@
-"""AWS Lambda handler."""
+"""AWS Lambda handler optimized for container runtime with OTEL instrumentation."""
 
 import asyncio
 import logging
 import os
+import warnings
+from typing import Any, Dict
 
 import earthaccess
 from mangum import Mangum
-from opentelemetry import trace
-from opentelemetry.instrumentation.fastapi import FastAPIInstrumentor
-from opentelemetry.instrumentation.logging import LoggingInstrumentor
-from opentelemetry.sdk.resources import SERVICE_NAME, SERVICE_VERSION, Resource
-from opentelemetry.sdk.trace import TracerProvider
 
+from titiler.cmr.logger import configure_logging
 from titiler.cmr.main import app
 from titiler.cmr.settings import AuthSettings
 
-auth_config = AuthSettings()
-
-logging.getLogger("mangum.lifespan").setLevel(logging.ERROR)
-logging.getLogger("mangum.http").setLevel(logging.ERROR)
-
-
-LoggingInstrumentor().instrument(set_logging_format=True)
-FastAPIInstrumentor.instrument_app(app)
-
-resource = Resource.create(
-    {
-        SERVICE_NAME: "titiler-cmr",
-        SERVICE_VERSION: "0.1.0",
-    }
-)
+configure_logging()
 
-provider = TracerProvider(resource=resource)
+warnings.filterwarnings("ignore", category=UserWarning)
+warnings.filterwarnings("ignore", category=FutureWarning)
+logging.getLogger("numexpr").setLevel(logging.WARNING)
 
-# uses the OTEL_EXPORTER_OTLP_ENDPOINT env var
-# processor = BatchSpanProcessor(OTLPSpanExporter())
-# provider.add_span_processor(processor)
-
-trace.set_tracer_provider(provider)
+auth_config = AuthSettings()
 
 
 @app.on_event("startup")
@@ -49,8 +31,23 @@ async def startup_event() -> None:
         app.state.cmr_auth = None
 
 
-handler = Mangum(app, lifespan="off")
+handler = Mangum(
+    app,
+    lifespan="off",
+    api_gateway_base_path=None,
+    text_mime_types=[
+        "application/json",
+        "application/javascript",
+        "application/xml",
+        "application/vnd.api+json",
+    ],
+)
 
 if "AWS_EXECUTION_ENV" in os.environ:
     loop = asyncio.get_event_loop()
     loop.run_until_complete(app.router.startup())
+
+
+def lambda_handler(event: Dict[str, Any], context: Any) -> Dict[str, Any]:
+    """Lambda handler with container-specific optimizations and OTEL tracing."""
+    return handler(event, context)
diff --git a/infrastructure/aws/requirements-cdk.txt b/infrastructure/aws/requirements-cdk.txt
deleted file mode 100644
index 3508f3f7..00000000
--- a/infrastructure/aws/requirements-cdk.txt
+++ /dev/null
@@ -1,9 +0,0 @@
-# aws cdk
-aws-cdk-lib==2.99.1
-aws_cdk-aws_apigatewayv2_alpha==2.99.1a0
-aws_cdk-aws_apigatewayv2_integrations_alpha==2.99.1a0
-constructs>=10.0.0
-
-# pydantic settings
-pydantic~=2.0
-pydantic-settings~=2.0
diff --git a/pyproject.toml b/pyproject.toml
index ef6c486e..28d12d8e 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -54,9 +54,7 @@ lambda = [
     "mangum==0.19.0",
     "aiobotocore>=2.24.0,<2.24.2"
 ]
-telemetry = [
-    "titiler.core[telemetry]>=0.23.1,<0.24",
-]
+
 [dependency-groups]
 dev = [
     "folium>=0.17.0",
diff --git a/titiler/cmr/logger.py b/titiler/cmr/logger.py
index ed81b751..5038d1b3 100644
--- a/titiler/cmr/logger.py
+++ b/titiler/cmr/logger.py
@@ -1,5 +1,178 @@
 """titiler-cmr logger."""
 
+import json
 import logging
+import os
+from datetime import datetime, timezone
+
+
+class JSONFormatter(logging.Formatter):
+    """JSON log formatter for local development."""
+
+    def format(self, record):
+        """Format log record as JSON."""
+        log_entry = {
+            "timestamp": self.formatTime(record, "%Y-%m-%dT%H:%M:%S.%fZ"),
+            "level": record.levelname,
+            "logger": record.name,
+            "message": record.getMessage(),
+            "filename": record.filename,
+            "lineno": record.lineno,
+        }
+
+        # Add any extra fields passed via the extra parameter
+        if hasattr(record, "__dict__"):
+            for key, value in record.__dict__.items():
+                if key not in log_entry and not key.startswith("_"):
+                    # Only add if it's not a standard logging attribute
+                    if not hasattr(logging.LogRecord("", 0, "", 0, "", (), None), key):
+                        log_entry[key] = value
+
+        if record.exc_info:
+            log_entry["exception"] = self.formatException(record.exc_info)
+
+        return json.dumps(log_entry)
+
+
+def otel_trace_id_to_xray_format(otel_trace_id: str) -> str:
+    """
+    Convert OpenTelemetry trace ID to X-Ray format.
+
+    OTEL format: 32 hex chars (e.g., "68eeb2ec45b07caf760899f308d34ab6")
+    X-Ray format: "1-{first 8 chars}-{remaining 24 chars}" (e.g., "1-68eeb2ec-45b07caf760899f308d34ab6")
+
+    The first 8 hex chars represent the Unix timestamp, which is how X-Ray generates compatible IDs.
+    """
+    if len(otel_trace_id) == 32:
+        return f"1-{otel_trace_id[:8]}-{otel_trace_id[8:]}"
+    return otel_trace_id
+
+
+class XRayJsonFormatter(logging.Formatter):
+    """
+    Custom JSON formatter that includes X-Ray trace ID for log correlation.
+
+    This formatter outputs logs as JSON and includes:
+    - Standard log fields (timestamp, level, message, logger)
+    - X-Ray trace ID (converted from OTEL format)
+    - OTEL trace context fields (if present)
+    - Any extra fields passed via logger.info("msg", extra={...})
+    """
+
+    RESERVED_ATTRS = {
+        "name",
+        "msg",
+        "args",
+        "created",
+        "filename",
+        "funcName",
+        "levelname",
+        "levelno",
+        "lineno",
+        "module",
+        "msecs",
+        "message",
+        "pathname",
+        "process",
+        "processName",
+        "relativeCreated",
+        "thread",
+        "threadName",
+        "exc_info",
+        "exc_text",
+        "stack_info",
+        "taskName",
+    }
+
+    def format(self, record: logging.LogRecord) -> str:  # noqa: C901
+        """Format log record as JSON with X-Ray trace ID."""
+        log_object = {
+            "timestamp": datetime.fromtimestamp(record.created, tz=timezone.utc)
+            .isoformat()
+            .replace("+00:00", "Z"),
+            "level": record.levelname,
+            "message": record.getMessage(),
+            "logger": record.name,
+        }
+
+        xray_trace_id = None
+
+        trace_header = os.environ.get("_X_AMZN_TRACE_ID", "")
+        if trace_header:
+            for part in trace_header.split(";"):
+                if part.startswith("Root="):
+                    xray_trace_id = part.split("=", 1)[1]
+                    break
+
+        if not xray_trace_id and hasattr(record, "otelTraceID"):
+            xray_trace_id = otel_trace_id_to_xray_format(record.otelTraceID)
+
+        if xray_trace_id:
+            log_object["xray_trace_id"] = xray_trace_id
+
+        if record.exc_info:
+            log_object["exception"] = self.formatException(record.exc_info)
+
+        for attr in [
+            "otelSpanID",
+            "otelTraceID",
+            "otelTraceSampled",
+            "otelServiceName",
+        ]:
+            if hasattr(record, attr):
+                log_object[attr] = getattr(record, attr)
+
+        if hasattr(record, "aws_request_id"):
+            log_object["requestId"] = record.aws_request_id
+
+        for key, value in record.__dict__.items():
+            if key not in self.RESERVED_ATTRS and key not in log_object:
+                log_object[key] = value
+
+        return json.dumps(log_object)
+
+
+def configure_logging():
+    """
+    Configure logging for the application.
+
+    This should be called once at application startup.
+    Automatically detects the environment and configures appropriately:
+    - AWS Lambda: Uses XRayJsonFormatter with X-Ray trace correlation
+    - Local dev: Uses JSONFormatter for simple JSON logs
+
+    All log levels for application and third-party libraries are configured here.
+    """
+
+    logging.getLogger("titiler").setLevel(logging.INFO)
+    logging.getLogger("titiler-cmr").setLevel(logging.INFO)
+
+    logging.getLogger("botocore").setLevel(logging.WARNING)
+    logging.getLogger("aiobotocore").setLevel(logging.WARNING)
+    logging.getLogger("earthaccess").setLevel(logging.WARNING)
+    logging.getLogger("urllib3").setLevel(logging.WARNING)
+    logging.getLogger("numexpr").setLevel(logging.WARNING)
+
+    is_lambda = "AWS_EXECUTION_ENV" in os.environ
+
+    if is_lambda:
+        root_logger = logging.getLogger()
+        root_logger.setLevel(logging.WARN)
+
+        for log_handler in root_logger.handlers[:]:
+            root_logger.removeHandler(log_handler)
+
+        json_handler = logging.StreamHandler()
+        json_handler.setFormatter(XRayJsonFormatter())
+        root_logger.addHandler(json_handler)
+
+        logging.getLogger("mangum.lifespan").setLevel(logging.ERROR)
+        logging.getLogger("mangum.http").setLevel(logging.ERROR)
+    else:
+        formatter = JSONFormatter()
+        handler = logging.StreamHandler()
+        handler.setFormatter(formatter)
+        logging.root.addHandler(handler)
+
 
 logger = logging.getLogger("titiler-cmr")
diff --git a/titiler/cmr/main.py b/titiler/cmr/main.py
index 4b427309..dbf9f759 100644
--- a/titiler/cmr/main.py
+++ b/titiler/cmr/main.py
@@ -1,8 +1,5 @@
 """TiTiler+cmr FastAPI application."""
 
-import json
-import logging
-import os
 from contextlib import asynccontextmanager
 
 import earthaccess
@@ -14,12 +11,16 @@
 from titiler.cmr import __version__ as titiler_cmr_version
 from titiler.cmr.errors import DEFAULT_STATUS_CODES as CMR_STATUS_CODES
 from titiler.cmr.factory import Endpoints
+from titiler.cmr.logger import configure_logging
 from titiler.cmr.settings import ApiSettings, AuthSettings
 from titiler.cmr.timeseries import TimeseriesExtension
 from titiler.core.errors import DEFAULT_STATUS_CODES, add_exception_handlers
 from titiler.core.middleware import CacheControlMiddleware, LoggerMiddleware
 from titiler.mosaic.errors import MOSAIC_STATUS_CODES
 
+# Configure logging at application startup
+configure_logging()
+
 jinja2_env = jinja2.Environment(
     loader=jinja2.ChoiceLoader(
         [
@@ -34,58 +35,6 @@
 auth_config = AuthSettings()
 
 
-class JSONFormatter(logging.Formatter):
-    """JSON log formatter similar to AWS Lambda."""
-
-    def format(self, record):
-        """format log record in json"""
-        log_entry = {
-            "timestamp": self.formatTime(record, "%Y-%m-%dT%H:%M:%S.%fZ"),
-            "level": record.levelname,
-            "logger": record.name,
-            "message": record.getMessage(),
-            "filename": record.filename,
-            "lineno": record.lineno,
-        }
-
-        # Add any extra fields passed via the extra parameter
-        if hasattr(record, "__dict__"):
-            for key, value in record.__dict__.items():
-                if key not in log_entry and not key.startswith("_"):
-                    # Only add if it's not a standard logging attribute
-                    if not hasattr(logging.LogRecord("", 0, "", 0, "", (), None), key):
-                        log_entry[key] = value
-
-        if record.exc_info:
-            log_entry["exception"] = self.formatException(record.exc_info)
-
-        return json.dumps(log_entry)
-
-
-log_level = os.getenv("LOG_LEVEL", "INFO")
-
-# Configure logging format based on AWS_LAMBDA_LOG_FORMAT
-# Only use custom JSON formatter locally - AWS Lambda handles JSON formatting automatically
-formatter: JSONFormatter | logging.Formatter
-if "AWS_EXECUTION_ENV" not in os.environ:
-    formatter = JSONFormatter()
-else:
-    formatter = logging.Formatter(
-        "%(asctime)s - %(name)s - %(filename)s:%(lineno)d - %(levelname)s - %(message)s"
-    )
-
-handler = logging.StreamHandler()
-handler.setFormatter(formatter)
-
-logging.basicConfig(
-    level=getattr(logging, log_level),
-    handlers=[handler],
-)
-
-for module in ["botocore", "aiobotocore", "earthaccess"]:
-    logging.getLogger(module).setLevel("WARN")
-
-
 @asynccontextmanager
 async def lifespan(app: FastAPI):
     """FastAPI Lifespan."""
@@ -205,5 +154,6 @@ async def lifespan(app: FastAPI):
     title=settings.name,
     templates=templates,
     extensions=[TimeseriesExtension()],
+    enable_telemetry=settings.telemetry_enabled,
 )
 app.include_router(endpoints.router)
diff --git a/titiler/cmr/settings.py b/titiler/cmr/settings.py
index 00f12528..2604ea59 100644
--- a/titiler/cmr/settings.py
+++ b/titiler/cmr/settings.py
@@ -18,6 +18,7 @@ class ApiSettings(BaseSettings):
     time_series_max_image_size: float = 5.625e7
     time_series_statistics_max_total_size: float = 1.5e10
     time_series_image_max_total_size: float = 1e8
+    telemetry_enabled: bool = False
     debug: bool = False
 
     model_config = {
diff --git a/uv.lock b/uv.lock
index 3c9f2b0b..afa7e96c 100644
--- a/uv.lock
+++ b/uv.lock
@@ -189,15 +189,6 @@ wheels = [
     { url = "https://files.pythonhosted.org/packages/f8/ed/e97229a566617f2ae958a6b13e7cc0f585470eac730a73e9e82c32a3cdd2/arrow-1.3.0-py3-none-any.whl", hash = "sha256:c728b120ebc00eb84e01882a6f5e7927a53960aa990ce7dd2b10f39005a67f80", size = 66419, upload-time = "2023-09-30T22:11:16.072Z" },
 ]
 
-[[package]]
-name = "asgiref"
-version = "3.9.1"
-source = { registry = "https://pypi.org/simple" }
-sdist = { url = "https://files.pythonhosted.org/packages/90/61/0aa957eec22ff70b830b22ff91f825e70e1ef732c06666a805730f28b36b/asgiref-3.9.1.tar.gz", hash = "sha256:a5ab6582236218e5ef1648f242fd9f10626cfd4de8dc377db215d5d5098e3142", size = 36870, upload-time = "2025-07-08T09:07:43.344Z" }
-wheels = [
-    { url = "https://files.pythonhosted.org/packages/7c/3c/0464dcada90d5da0e71018c04a140ad6349558afb30b3051b4264cc5b965/asgiref-3.9.1-py3-none-any.whl", hash = "sha256:f3bba7092a48005b5f5bacd747d36ee4a5a61f4a269a6df590b43144355ebd2c", size = 23790, upload-time = "2025-07-08T09:07:41.548Z" },
-]
-
 [[package]]
 name = "asttokens"
 version = "3.0.0"
@@ -957,46 +948,6 @@ wheels = [
     { url = "https://files.pythonhosted.org/packages/f7/ec/67fbef5d497f86283db54c22eec6f6140243aae73265799baaaa19cd17fb/ghp_import-2.1.0-py3-none-any.whl", hash = "sha256:8337dd7b50877f163d4c0289bc1f1c7f127550241988d568c1db512c4324a619", size = 11034, upload-time = "2022-05-02T15:47:14.552Z" },
 ]
 
-[[package]]
-name = "googleapis-common-protos"
-version = "1.70.0"
-source = { registry = "https://pypi.org/simple" }
-dependencies = [
-    { name = "protobuf" },
-]
-sdist = { url = "https://files.pythonhosted.org/packages/39/24/33db22342cf4a2ea27c9955e6713140fedd51e8b141b5ce5260897020f1a/googleapis_common_protos-1.70.0.tar.gz", hash = "sha256:0e1b44e0ea153e6594f9f394fef15193a68aaaea2d843f83e2742717ca753257", size = 145903, upload-time = "2025-04-14T10:17:02.924Z" }
-wheels = [
-    { url = "https://files.pythonhosted.org/packages/86/f1/62a193f0227cf15a920390abe675f386dec35f7ae3ffe6da582d3ade42c7/googleapis_common_protos-1.70.0-py3-none-any.whl", hash = "sha256:b8bfcca8c25a2bb253e0e0b0adaf8c00773e5e6af6fd92397576680b807e0fd8", size = 294530, upload-time = "2025-04-14T10:17:01.271Z" },
-]
-
-[[package]]
-name = "grpcio"
-version = "1.74.0"
-source = { registry = "https://pypi.org/simple" }
-sdist = { url = "https://files.pythonhosted.org/packages/38/b4/35feb8f7cab7239c5b94bd2db71abb3d6adb5f335ad8f131abb6060840b6/grpcio-1.74.0.tar.gz", hash = "sha256:80d1f4fbb35b0742d3e3d3bb654b7381cd5f015f8497279a1e9c21ba623e01b1", size = 12756048, upload-time = "2025-07-24T18:54:23.039Z" }
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 name = "h11"
 version = "0.14.0"
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