Daily Tech Digest - December 08, 2025


Quote for the day:

"You don't build business, you build people, and then people build the business." -- Zig Ziglar



CIOs shift from ‘cloud-first’ to ‘cloud-smart’

The cloud-smart trend is being influenced by better on-prem technology, longer hardware cycles, ultra-high margins with hyperscale cloud providers, and the typical hype cycles of the industry, according to McElroy. All favor hybrid infrastructure approaches. However, “AI has added another major wrinkle with siloed data and compute,” he adds. “Many organizations aren’t interested in or able to build high-performance GPU datacenters, and need to use the cloud. But if they’ve been conservative or cost-averse, their data may be in the on-prem component of their hybrid infrastructure.” These variables have led to complexity or unanticipated costs, either through migration or data egress charges, McElroy says. ... IT has parsed out what should be in a private cloud and what goes into a public cloud. “Training and fine-tuning large models requires strong control over customer and telemetry data,” Kale explains. “So we increasingly favor hybrid architectures where inference and data processing happen within secure, private environments, while orchestration and non-sensitive services stay in the public cloud.” Cisco’s cloud-smart strategy starts with data classification and workload profiling. Anything with customer-identifiable information, diagnostic traces, and model feedback loops are processed within regionally compliant private clouds, he says. ... “Many organizations are wrestling with cloud costs they know instinctively are too high, but there are few incentives to take on the risky work of repatriation when a CFO doesn’t know what savings they’re missing out on,” he says.


Harmonizing EU's Expanding Cybersecurity Regulations

Aligning NIS2, GDPR and DORA is difficult, since each framework approaches risks differently, which creates overlapping obligations for reporting, controls and vendor oversight, leading to areas that require careful interpretation. Given these overlapping requirements, organizations should establish an integrated governance model that consolidates risk management to report workflows and third-party oversight across all relevant EU frameworks. Strengthening internal coordination - especially between legal, compliance, cybersecurity and executive teams - helps ensure consistent interpretation of obligations and reduces fragmentation in implementation. ... Developers must build safeguards into AI systems, including adversarial testing, robust access controls and monitoring for unexpected behavior. Transparent development practices and collaboration with cybersecurity teams help prevent AI models from being exploited for malicious purposes. ... A trust-based ecosystem depends on transparency, consistent governance and strong cybersecurity practices across all stakeholders. Key elements still missing include harmonized standards, comprehensive regulatory guidance, and mechanisms to verify compliance and foster confidence among users and businesses. ... Ethical frameworks guide responsible decision-making by balancing societal impact, individual right and technological innovation. Organizations can apply them through policies, AI oversight and risk assessments that incorporate principles from deontology, utilitarianism, virtue ethics and care ethics into everyday operations and strategic planning.


Invisible IT is becoming the next workplace priority

Lenovo defines invisible IT as support that runs in the background and prevents problems before employees notice them. The report highlights two areas that bring this approach to life. The first is predictive and proactive support. Eighty three percent of leaders say this approach is essential, but only 21 percent have achieved it. With AI tools that monitor telemetry data across devices, support teams can detect early signs of failure and trigger automated fixes. If a fix requires human involvement, the repair can happen before the user experiences downtime. This reduces disruptions and shifts support teams away from repetitive tasks that slow down operations. The second area is hyper personalization. Many organizations personalize support by role or seniority, but the study argues this does not reflect how people work. AI systems can now create personas based on individual usage patterns. This lets support teams tailor responses and rollouts to real conditions rather than assumptions. ... Although interest in invisible IT is high, most companies are still using manual processes. Sixty five percent detect issues only when users contact support. Fifty five percent resolve them through manual interventions. Hyper personalization is also limited, with 51 percent of organizations offering standard support for all employees. Barriers are widespread. Fifty one percent cite fragmented systems as their top challenge. Another 47 percent point to cost concerns or uncertain return on investment. Limited AI capabilities and skills gaps also slow progress, along with slow upgrade cycles and a lack of time for planning.


Why AI coding agents aren’t production-ready: Brittle context windows, broken refactors, missing operational awareness

AI agents have demonstrated a critical lack of awareness regarding OS machine, command-line and environment installations. This deficiency can lead to frustrating experiences, such as the agent attempting to execute Linux commands on PowerShell, which can consistently result in ‘unrecognized command’ errors. Furthermore, agents frequently exhibit inconsistent ‘wait tolerance’ on reading command outputs, prematurely declaring an inability to read results before a command has even finished, especially on slower machines. ... Working with AI coding agents often presents a longstanding challenge of hallucinations, or incorrect or incomplete pieces of information (such as small code snippets) within a larger set of changesexpected to be fixed by a developer with trivial-to-low effort. However, what becomes particularly problematic is when incorrect behavior is repeated within a single thread, forcing users to either start a new thread and re-provide all context, or intervene manually to “unblock” the agent. ... Agents may not consistently leverage the latest SDK methods, instead generating more verbose and harder-to-maintain implementations. ... Despite the allure of autonomous coding, the reality of AI agents in enterprise development often demands constant human vigilance. Instances like an agent attempting to execute Linux commands on PowerShell, false-positive safety flags or introduce inaccuracies due to domain-specific reasons highlight critical gaps; developers simply cannot step away.


Offensive security takes center stage in the AI era

Now a growing percentage of CISOs see offensive security as a must-have and, as such, are building up offensive capabilities and integrating them into their security processes to ensure the information revealed during offensive exercises leads to improvements in their overall security posture. ... Mellen sees several buckets of activities involved in offensive security, starting with vulnerability management at the bottom end of the maturity scale, and then moving up to attack service management and penetration testing, to threat hunting and adversarial simulations, such as tabletop exercises. “Then there’s the concept of purple teaming where the organization looks at an attack scenario and what were the defenses that should have alerted but didn’t and how to rectify those,” he says. ... Many CISOs also have had team members with specific offensive security skills for many years. In fact, the Offensive Security Certified Professional (OSCP), the Offensive Security Experienced Penetration Tester (OSEP), and the Offensive Security Certified Expert (OSCE) certifications from OffSec are all credentials that have been in demand for years. ... Another factor that keeps CISOs from incorporating more offensive security into their strategies is concern about exposing vulnerabilities they don’t have the ability to address, Mellen adds. “They can’t unknow that they have those vulnerabilities if they’re not able to do something about them, although the hackers are going to find them whether or not you identify them,” he says.


Securing AI for Cyber Resilience: Building Trustworthy and Secure AI Systems

Attackers increasingly target the AI supply chain - poisoning training data, manipulating models, or exploiting vulnerabilities during deployment and operations. When an AI system or model is compromised, it can quietly skew decisions. This poses significant risks for autonomous systems or analytics engines. Thus, it is important that we embed security and resilience into our AI systems, ensuring robust protection from design to deployment and operations. ... Visibility is key. You can’t protect what you can’t see. Without visibility into data flows, model behavior and system interactions, threats can remain undetected until it is too late. Continuous validation and monitoring help surface anomalies and adversarial manipulations early, enabling timely interventions. Explainability is just as pivotal. Detecting an anomaly is one thing, but understanding why it happened drives true resilience. Explainability clarifies the reasoning behind AI systems and their decisions, helps verify threats, traces manipulations, makes AI systems auditable, and strengthens trust. Assurance must be continuous. ... Attackers are exploiting AI-specific security weaknesses, such as data poisoning, model inversion, and adversarial manipulations. As AI adoption accelerates, its threats will follow in equal sophistication and scale. The rapid proliferation of AI systems across industries not only drives innovation but also expands the attack surface, drawing the attention from both state-sponsored and criminal actors.


From silos to strategy: What the era of cloud 'coopetition' means for CIOs

This week, historic competitors AWS and Google Cloud announced the launch of a cross-cloud interconnect service, effectively tearing down the digital iron curtain that once separated their ecosystems. With Microsoft Azure expected to join this framework in 2026, the cloud industry is pivoting toward "coopetition"-- a strategic truce driven by the modern enterprise's embrace of multi-cloud. ... One of the primary drivers accelerating AWS and Google's cross-cloud interconnect service is AI. The potential of enterprise AI has been hampered by data silos, with fragmented pockets of information trapped in different systems, which then prevents the training of comprehensive models. MuleSoft's 2025 Connectivity Benchmark Report found that integration challenges are a leading cause of stalled AI initiatives, with nearly 95% of 1,050 IT leaders surveyed citing connectivity issues as a major hurdle. A cross-cloud partnership is a critical tool for dismantling these barriers -- one that could even eliminate the challenge of data silos, according to Ahuja. ... However, coopetition is not a silver bullet. It also introduces new friction points where the complexity of managing multiple environments can outweigh the benefits if not addressed properly. Peterson warned that there may not be sufficient value when workloads are "highly dependent and intertwined, requiring low-latency communication across different providers". 


Simplicity, speed & scalability are the key pillars of our AI strategy: Siddharth Sureka, Motilal Oswal Financial Services

AI is here to stay, and will transform all industries. Naturally, the BFSI sector tends to be on the leading edge of this journey, following closely behind pure technology companies. However, rather than viewing this purely through a technology lens, we approached it from an end-to-end organisational transformation lens. ... The first pillar is simplicity. To reach tier two, three, and four cities, we must make the financial experience intuitive. Simplicity is driven by personalisation, which means how we curate the information delivered to clients and ensure their digital journey is frictionless. The second pillar is speed. We are in the business of providing the right insights at the speed of the market. As an event occurs, we must be able to serve our clients with immediate insights. A prime example of this is our ‘News Agent’ product. As news arrives, the system measures the sentiment and analyses how it may impact the market, and then serves that insight directly to the client instantly. The third vertical is scalability. Once we have achieved simplicity and speed, our focus is to scale this architecture to reach the deeper pockets of the country. This scalability is essential for the financial inclusion journey we are embarked upon, ensuring that investors in tier three and four cities can take full advantage of the markets. ... In software engineering, you are delivering a deterministic output. However, when you move into the domain of AI, the outcomes become stochastic or probabilistic in nature. As leaders, we must understand the use cases we are working on and, crucially, the ‘cost of getting it wrong’.


Observability at the Edge: A Quiet Shift in Reliability Thinking

Most organizations still don’t really know what’s happening inside their own digital systems. A survey found that 84% of companies struggle with observability, the basic ability to understand if their systems are working as they should. The reasons are familiar: monitoring tools are expensive, their architectures clumsy, and when scaled across thousands of locations, the complexity often overwhelms the promise. The cost of that opacity is not abstract. Every minute of downtime is lost revenue. Every unnoticed glitch is a frustrated customer. And every delay in diagnosis erodes trust. In this sense, observability is not just a matter for engineers; it’s central to how modern businesses function. ... When systems fail, the speed of diagnosis becomes critical. In fact, organizations can lose an average of $1 million per hour during unplanned downtime, a striking testament to the high cost of delays. The standard approach, engineers combing through logs, traces, and deployment histories, often slows response when time is most precious. ... What stands out is not only the design of these solutions but their uptake elsewhere. The edge observability model first proven in retail has been mirrored in other industries, including banking. The Core Web Vitals approach has been picked up by financial services firms seeking to sharpen digital performance. And the Incident Copilot reflects a broader shift toward embedding AI into reliability practices. Industry peers have described the edge observability work as “innovative, cost-effective, and cloud-native.” 


2026 DevOps Predictions - Part 1

In 2026, software teams will begin challenging the rising complexity of their own development environments, shifting from simply executing work to questioning why that work exists in the first place. After years of accumulating tools, rituals, and dependencies, developers will increasingly pause to ask whether a feature, deadline, or workflow actually warrants the effort. ... Death of agile as we used to know it: Agile methodologies have dominated software development for the past 20+ years. However, most organizations still "do agile" rather than be agile: they have adopted the agile practices and rituals that foster team collaboration and have become somewhat faster in both executing and reacting to changes. Meanwhile, AI agents have entered the stage. The speed of getting things done is multiplying and a single developer can sometimes replace a whole team. This means on one hand that the traditional human-centered agile practices become less relevant and on the other hand, that agile may become easier to scale. The death of Agile as we used to know it is a positive thing: now we become agile rather than keep doing agile. ... The momentum is shifting from "shift left" to what's becoming known as "shift down": instead of placing specialized responsibilities on developers, organizations are building development platforms that present opinionated paths and implement best practices by default. That change in momentum is bound to accelerate in 2026.

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