diff --git a/containers/alloy/default.nix b/containers/alloy/default.nix
index d4b100c..6692424 100644
--- a/containers/alloy/default.nix
+++ b/containers/alloy/default.nix
@@ -40,11 +40,12 @@ let
     pname = "alloy-go-modules";
     inherit src version;
 
-    nativeBuildInputs = with pkgs; [ go git cacert ];
+    nativeBuildInputs = with pkgs; [ go_1_26 git cacert ];
 
     buildPhase = ''
       export GOPATH=$TMPDIR/go
       export GOFLAGS=-modcacherw
+      export GOTOOLCHAIN=local
       # Download modules for all three go.mod files
       go mod download
       cd syntax && go mod download && cd ..
@@ -65,7 +66,7 @@ let
     pname = "alloy";
 
     nativeBuildInputs = with pkgs; [
-      go
+      go_1_26
       git
       gnumake
       cacert
@@ -77,6 +78,7 @@ let
       export HOME=$TMPDIR
       export GOPATH=$TMPDIR/go
       export GOFLAGS=-modcacherw
+      export GOTOOLCHAIN=local
 
       # Populate module cache from pre-fetched modules
       mkdir -p $GOPATH/pkg
diff --git a/docs/changelog.d/alloy-v1.16.0.infra.md b/docs/changelog.d/alloy-v1.16.0.infra.md
new file mode 100644
index 0000000..cd9a1ef
--- /dev/null
+++ b/docs/changelog.d/alloy-v1.16.0.infra.md
@@ -0,0 +1,5 @@
+Upgrade Grafana Alloy v1.14.0 → v1.16.0 across all four service deployments
+(alloy-k8s, alloy-ringtail, alloy-tracing-ringtail on k8s; alloy native on
+indri). Pulls in stable database observability (v1.15) and the OTel Collector
+v0.147.0 bump. Container build also migrated from Dockerfile to native Dagger
+`container.py` per the build-container-image migration playbook.
diff --git a/service-versions.yaml b/service-versions.yaml
index f4f4a6a..42f9c77 100644
--- a/service-versions.yaml
+++ b/service-versions.yaml
@@ -72,22 +72,22 @@ services:
 
   - name: alloy-tracing-ringtail
     type: argocd
-    last-reviewed: 2026-03-13
-    current-version: "v1.14.0"
+    last-reviewed: 2026-04-30
+    current-version: "v1.16.0"
     upstream-source: https://github.com/grafana/alloy/releases
     notes: Privileged DaemonSet with Beyla eBPF for HTTP tracing on ringtail
 
   - name: alloy-ringtail
     type: argocd
-    last-reviewed: 2026-03-13
-    current-version: "v1.14.0"
+    last-reviewed: 2026-04-30
+    current-version: "v1.16.0"
     upstream-source: https://github.com/grafana/alloy/releases
     notes: DaemonSet on ringtail for host metrics and pod logs
 
   - name: alloy-k8s
     type: argocd
-    last-reviewed: 2026-03-13
-    current-version: "v1.14.0"
+    last-reviewed: 2026-04-30
+    current-version: "v1.16.0"
     upstream-source: https://github.com/grafana/alloy/releases
 
   - name: tailscale-operator
@@ -338,8 +338,8 @@ services:
 
   - name: alloy
     type: ansible
-    last-reviewed: 2026-03-13
-    current-version: "v1.14.0"
+    last-reviewed: 2026-04-30
+    current-version: "v1.16.0"
     upstream-source: https://github.com/grafana/alloy/releases
     notes: Built from source on indri