What’s the Right Balance in Regulating AI?

I don’t normally do politics content, but Bethany Andres-Beck’s team reached out to me. After a brief screening conversation, I thought it would be an interesting opportunity to talk about AI, regulation, and politics.

Bethany has worked as a software engineer at BAE Systems, TripAdvisor, Twitter, and more. They also served as the tech lead for building Hillary for America’s donation platform. Beth is a well-known figure in the Agile/Extreme Programming world and helped coin frameworks like Forest and Desert. While most politicians seem to have very little understanding of AI—or technology in general—Beth has been working in it for years and has a more considered stance than the knee-jerk anti-AI positions that have been a staple of recent campaigns. — Read More

#governance

7 lessons for IT leaders on using observability to monitor AI applications

Over six months, the Elastic IT team ran internal AI applications that returned $2.5 million in operational time to the business.1 A conversational support assistant moved us from zero digital resolution, where anything complex became a ticket, to 30% of support interactions closing without one.

We can put those numbers in front of a finance team because we measured them from day one at the level of individual usage events. For each use case, we assigned a conservative time-saving goal and validated it with the teams doing the work. For example, a support case summary saves about five minutes. And, using a simple formula (events*minutes saved*a standard burden), the ROI of the application is now a real-time KPI rather than simply assuming that it might be valuable because the application uses generative AI. The hours came back to support engineers who had been searching for answers and went toward work on the roadmap.

Most organizations are not in that position yet. In our Landscape of Observability survey of 500 IT decision-makers, 85% said they planned to enable observability for their large language model (LLM) applications. Only 8% had done it. Teams see the value, they just don’t seem to be prioritizing it. — Read More

#performance

What an Enterprise Context Layer Actually Is

I have had some version of the same conversation with a CIO almost every day this year. It usually starts the same way. Their team has read about context layers, or seen the term in a Gartner note. They know it matters. They know it sits somewhere underneath the agents they are trying to put into production.

… So here’s the question I actually want to answer, when you strip away the branding, what is a context layer made of, and how do you tell a real one from a catalog with a new coat of paint? — Read More

#architecture

The enterprise AI bottleneck is about context, not capability

Nearly four years after the generative AI wave began, enterprise deployments have settled into a familiar pattern: models are capable, pilots are convincing, but production rollouts plateau on accuracy, drift on outputs, and fail to compound productivity gains the way anyone expected. The diagnosis is increasingly consistent: The bottleneck is the context layer.

… Managing Director Lonne Jaffe sat down with Prukalpa Sankar, cofounder and co-CEO of Atlan, to work through the fundamentals: What context actually means in an enterprise setting, what it takes to build a layer that AI agents can reliably consume, and why the hardest part of all may have nothing to do with technology. — Read More

#strategy

Agentic brand drift: How AI-orchestrated organizations will lose their identity and how to get it back

Agentic AI is reshaping how organizations operate. As autonomous systems take over pricing, content, personalization, and supply chain decisions, the human choices that historically built brand identity are progressively displaced. We term the result agentic brand drift: the gradual, unintended divergence between a firm’s intended brand identity and the emergent brand character produced by its AI-orchestrated operations. Unlike brand inconsistency or deliberate identity change, agentic brand drift is internally generated, has no triggering event, and co-occurs with improving performance metrics, making it invisible to conventional monitoring. Critically, this failure mode falls outside the scope of existing AI governance frameworks such as NIST AI RMF and ISO/IEC 42001, which govern system behavior rather than meaning coherence. A firm executing those frameworks flawlessly will still experience agentic brand drift. We theorize three mechanisms, Decision Diffusion, Temporal Collapse, and Accountability Dissolution, operating as a causal sequence, and derive two complementary frameworks, CORE and GUARD, that give organizations capabilities existing governance does not provide: identifying which decisions carry identity stakes, supplying agents with organizational reasoning behind past brand choices, and monitoring output patterns for identity coherence over time. — Read More

#performance

Agentic Transaction: Towards ACID-Compliant Agent Systems

Large language model (LLM) agents are evolving from conversational assistants into autonomous systems that execute long-horizon tasks through reasoning, tool use, code generation, and workspace manipulation. As agents increasingly operate over persistent environments and multi-step workflows, they face challenges analogous to those addressed by transactional database systems: reliable execution, consistent outcomes, safe concurrency, and durable state management. We introduce the concept of an agentic transaction and propose an ACID-compliant agent system framework that reinterprets the classical ACID properties for agent execution through four semantic guarantees: Semantic AtomicitySemantic ConsistencySemantic Isolation, and Semantic Durability. Together, these properties provide a principled foundation for building reliable agent systems despite model uncertainty and dynamic execution environments. To instantiate this framework, we develop an ACID-compliant data agent that realizes these guarantees through transactional exploration-execution-validation cycles, transactional skill hubs, confidence divergence-based validation, semantic dependency-aware isolation, and transaction-aware semantic state management. Experimental results on widely used benchmarks show that our system achieves a 10.6% improvement over state-of-the-art agents, including Claude Code. This work opens a broader research agenda on extending transactional principles and system architectures toward building trustworthy, scalable, and self-evolving AI agent systems. — Read More

#architecture