diff --git a/homeassistant/components/datadog/__init__.py b/homeassistant/components/datadog/__init__.py
index 606f34c9ae0..219f3afe4e2 100644
--- a/homeassistant/components/datadog/__init__.py
+++ b/homeassistant/components/datadog/__init__.py
@@ -75,7 +75,9 @@ async def async_setup_entry(hass: HomeAssistant, entry: DatadogConfigEntry) -> b
     prefix = options[CONF_PREFIX]
     sample_rate = options[CONF_RATE]
 
-    statsd_client = DogStatsd(host=host, port=port, namespace=prefix)
+    statsd_client = DogStatsd(
+        host=host, port=port, namespace=prefix, disable_telemetry=True
+    )
     entry.runtime_data = statsd_client
 
     initialize(statsd_host=host, statsd_port=port)
diff --git a/homeassistant/components/datadog/config_flow.py b/homeassistant/components/datadog/config_flow.py
index 876b79b6019..a2ad74e2c57 100644
--- a/homeassistant/components/datadog/config_flow.py
+++ b/homeassistant/components/datadog/config_flow.py
@@ -58,7 +58,6 @@ class DatadogConfigFlow(ConfigFlow, domain=DOMAIN):
                         CONF_RATE: user_input[CONF_RATE],
                     },
                 )
-
         return self.async_show_form(
             step_id="user",
             data_schema=vol.Schema(
@@ -107,7 +106,26 @@ class DatadogOptionsFlowHandler(OptionsFlow):
         options = self.config_entry.options
 
         if user_input is None:
-            user_input = {}
+            return self.async_show_form(
+                step_id="init",
+                data_schema=vol.Schema(
+                    {
+                        vol.Required(
+                            CONF_PREFIX,
+                            default=options.get(
+                                CONF_PREFIX, data.get(CONF_PREFIX, DEFAULT_PREFIX)
+                            ),
+                        ): str,
+                        vol.Required(
+                            CONF_RATE,
+                            default=options.get(
+                                CONF_RATE, data.get(CONF_RATE, DEFAULT_RATE)
+                            ),
+                        ): int,
+                    }
+                ),
+                errors={},
+            )
 
         success = await validate_datadog_connection(
             self.hass,
diff --git a/homeassistant/components/datadog/const.py b/homeassistant/components/datadog/const.py
index e9e5d80eeba..7c9a0311228 100644
--- a/homeassistant/components/datadog/const.py
+++ b/homeassistant/components/datadog/const.py
@@ -4,7 +4,7 @@ DOMAIN = "datadog"
 
 CONF_RATE = "rate"
 
-DEFAULT_HOST = "localhost"
+DEFAULT_HOST = "127.0.0.1"
 DEFAULT_PORT = 8125
 DEFAULT_PREFIX = "hass"
 DEFAULT_RATE = 1
diff --git a/homeassistant/components/datadog/manifest.json b/homeassistant/components/datadog/manifest.json
index 815446b9ab4..798a314e307 100644
--- a/homeassistant/components/datadog/manifest.json
+++ b/homeassistant/components/datadog/manifest.json
@@ -7,5 +7,5 @@
   "iot_class": "local_push",
   "loggers": ["datadog"],
   "quality_scale": "legacy",
-  "requirements": ["datadog==0.15.0"]
+  "requirements": ["datadog==0.52.0"]
 }
diff --git a/requirements_all.txt b/requirements_all.txt
index 93663598733..8c68449f7d4 100644
--- a/requirements_all.txt
+++ b/requirements_all.txt
@@ -759,7 +759,7 @@ crownstone-sse==2.0.5
 crownstone-uart==2.1.0
 
 # homeassistant.components.datadog
-datadog==0.15.0
+datadog==0.52.0
 
 # homeassistant.components.metoffice
 datapoint==0.12.1
diff --git a/requirements_test_all.txt b/requirements_test_all.txt
index 268d263220a..0f2cf2c491e 100644
--- a/requirements_test_all.txt
+++ b/requirements_test_all.txt
@@ -662,7 +662,7 @@ crownstone-sse==2.0.5
 crownstone-uart==2.1.0
 
 # homeassistant.components.datadog
-datadog==0.15.0
+datadog==0.52.0
 
 # homeassistant.components.metoffice
 datapoint==0.12.1
diff --git a/tests/components/datadog/test_init.py b/tests/components/datadog/test_init.py
index 3c22aaeee8f..7ab9e0cb97a 100644
--- a/tests/components/datadog/test_init.py
+++ b/tests/components/datadog/test_init.py
@@ -46,7 +46,7 @@ async def test_datadog_setup_full(hass: HomeAssistant) -> None:
 
         assert mock_dogstatsd.call_count == 1
         assert mock_dogstatsd.call_args == mock.call(
-            host="host", port=123, namespace="foo"
+            host="host", port=123, namespace="foo", disable_telemetry=True
         )
 
 
@@ -65,7 +65,7 @@ async def test_datadog_setup_defaults(hass: HomeAssistant) -> None:
 
         assert mock_dogstatsd.call_count == 1
         assert mock_dogstatsd.call_args == mock.call(
-            host="localhost", port=8125, namespace="hass"
+            host="localhost", port=8125, namespace="hass", disable_telemetry=True
         )