Daily Tech Digest - April 19, 2025


Quote for the day:

"Good things come to people who wait, but better things come to those who go out and get them." -- Anonymous



AI Agents Are Coming to Work: Are Organizations Equipped?

The promise of agentic AI is already evident in organizations adopting it. Fiserv, the global fintech powerhouse, developed an agentic AI application that autonomously assigns merchant codes to businesses, reducing human intervention to under 1%. Sharbel Shaaya, director of AI operations and intelligent automation at Fiserv, said, "Tomorrow's agentic systems will handle this groundwork natively, amplifying their value." In the automotive world, Ford Motor Company is using agentic AI to amplify car design. Bryan Goodman, director of AI at Ford Motor Company, said, "Traditionally, Ford's designers sculpt physical clay models, a time-consuming process followed by lengthy engineering simulations. One computational fluid dynamics run used to take 15 hours, which AI model predicts the outcome in 10 seconds." ... In regulated industries, compliance adds complexity. Ramnik Bajaj, chief data and analytics officer at United Services Automobile Association, sees agentic AI interpreting requests in insurance but insists on human oversight for tasks such as claims adjudication. "Regulatory constraints demand a human in the loop," Bajaj said. Trust is another hurdle - 61% of organizations cite concerns about errors, bias and data quality. "Scaling AI requires robust governance. Without trust, pilots stay pilots," Sarker said.


Code, cloud, and culture: The tech blueprint transforming Indian workplaces

The shift to hybrid cloud infrastructure is enabling Indian enterprises to modernise their legacy systems while scaling with agility. According to a report by EY India, 90% of Indian businesses believe that cloud transformation is accelerating their AI initiatives. Hybrid cloud environments—which blend on-premise infrastructure with public and private cloud—are becoming the default architecture for industries like banking, insurance, and manufacturing. HDFC Bank, for example, has adopted a hybrid cloud model to offer hyper-personalised customer services and real-time transaction capabilities. This digital core is helping financial institutions respond faster to market changes while maintaining strict regulatory compliance. ... No technological transformation is complete without human capability. The demand for AI-skilled professionals in India has grown 14x between 2016 and 2023, and the country is expected to need over one million AI professionals by 2026. Companies are responding with aggressive reskilling strategies. ... The strategic convergence of AI, SaaS, cloud, and human capital is rewriting the rules of productivity, innovation, and global competitiveness. With forward-looking investments, grassroots upskilling efforts, and a vibrant startup culture, India is poised to define the future of work, not just for itself, but for the world.


Bridging the Gap Between Legacy Infrastructure and AI-Optimized Data Centers

Failure to modernize legacy infrastructure isn’t just a technical hurdle; it’s a strategic risk. Outdated systems increase operational costs, limit scalability, and create inefficiencies that hinder innovation. However, fully replacing existing infrastructure is rarely a practical or cost-effective solution. The path forward lies in a phased approach – modernizing legacy systems incrementally while introducing AI-optimized environments capable of meeting future demands. ... AI’s relentless demand for compute power requires a more diversified and resilient approach to energy sourcing. While Small modular reactors (SMRs) present a promising future solution for scalable, reliable, and low-carbon power generation, they are not yet equipped to serve critical loads in the near term. Consequently, many operators are prioritizing behind-the-meter (BTM) generation, primarily gas-focused solutions, with the potential to implement combined cycle technologies that capture and repurpose steam for additional energy efficiency. ... The future of AI-optimized data centers lies in adaptation, not replacement. Substituting legacy infrastructure on a large scale is prohibitively expensive and disruptive. Instead, a hybrid approach – layering AI-optimized environments alongside existing systems while incrementally retrofitting older infrastructure – provides a more pragmatic path forward.


Why a Culture of Observability Is Key to Technology Success

A successful observability strategy requires fostering a culture of shared responsibility for observability across all teams. By embedding observability throughout the software development life cycle, organizations create a proactive environment where issues are detected and resolved early. This will require observability buy-in across all teams within the organization. ... Teams that prioritize observability gain deeper insights into system performance and user experiences, resulting in faster incident resolution and improved service delivery. Promoting an organizational mindset that values transparency and continuous monitoring is key. ... Shifting observability left into the development process helps teams catch issues earlier, reducing the cost of fixing bugs and enhancing product quality. Developers can integrate observability into code from the outset, ensuring systems are instrumented and monitored at every stage. This is a key step toward the establishment of a culture of observability. ... A big part is making sure that all the stakeholders across the organization, whether high or low in the org chart, understand what’s going on. This means taking feedback. Leadership needs to be involved. This means communicating what you are doing, why you are doing it and what the implications are of doing or not doing it.


Why Agile Software Development is the Future of Engineering

Implementing iterative processes can significantly decrease time-to-market for projects. Statistics show that organizations using adaptive methodologies can increase their release frequency by up to 25%. This approach enables teams to respond promptly to market changes and customer feedback, leading to improved alignment with user expectations. Collaboration among cross-functional teams enhances productivity. In environments that prioritize teamwork, 85% of participants report higher engagement levels, which directly correlates with output quality. Structured daily check-ins allow for quick problem resolution, keeping projects on track and minimizing delays. Frequent iteration facilitates continuous testing and integration, which reduces errors early in the process. According to industry data, teams that deploy in short cycles experience up to 50% fewer defects compared to traditional methodologies. This not only expedites delivery but also enhances the overall reliability of the product. The focus on customer involvement significantly impacts product relevance. Engaging clients throughout the development process can lead to a 70% increase in user satisfaction, as adjustments are made in real time. Clients appreciate seeing their feedback implemented quickly, fostering a sense of ownership over the final product.


Why Risk Management Is Key to Sustainable Business Growth

Recent bank collapses demonstrate that a lack of effective risk management strategies can cause serious consequences for financial institutions, their customers, and the economy. A comprehensive risk management strategy is a tool to help banks protect assets, customers, and larger economic problems. ... Risk management is heavily driven by data analytics and identifying patterns in historical data. Predictive models and machine learning can forecast financial losses and detect risks and customer fraud. Additionally, banks can use predictive analytics for proactive decision-making. Data accuracy is of the utmost importance in this case because analysts use that information to make decisions about investments, customer loans, and more. Some banks rely on artificial intelligence (AI) to help detect customer defaults in more dynamic ways. For example, AI could be used in training cross-domain data to better understand customer behavior, or it could be used to make real-time decisions by incorporating real-time changes in the market data. It also improves the customer experience by offering answers through highly trained chatbots, thereby increasing customer satisfaction and reducing reputation risk. Enterprises are training generative AI (GenAI) to be virtual regulatory and policy experts to answer questions about regulations, company policies, and guidelines. 


How U.S. tariffs could impact cloud computing

Major cloud providers are commonly referred to as hyperscalers, and include Amazon Web Services (AWS), Microsoft Azure, and Google Cloud. They initially may absorb rising cloud costs to avoid risking market share by passing them on to customers. However, tariffs on hardware components such as servers and networking equipment will likely force them to reconsider their financial models, which means enterprises can expect eventual, if not immediate, price increases. ... As hyperscalers adapt to increased costs by exploring nearshoring or regional manufacturing, these shifts may permanently change cloud pricing dynamics. Enterprises that rely on public cloud services may need to plan for contract renegotiations and higher costs in the coming years, particularly as hardware supply chains remain volatile. The financial strain imposed by tariffs also has a ripple effect, indirectly affecting cloud adoption rates. ... Adaptability and agility remain essential for both providers and enterprises. For cloud vendors, resilience in the supply chain and efficiency in hardware will be critical. Meanwhile, enterprise leaders must balance cost containment with their broader strategic goals for digital growth. By implementing thoughtful planning and proactive strategies, organizations can navigate these challenges and continue to derive value from the cloud in the years ahead.


CIOs must mind their own data confidence gap

A lack of good data can lead to several problems, says Aidora’s Agarwal. C-level executives — even CIOs — may demand that new products be built when the data isn’t ready, leading to IT leaders who look incompetent because they repeatedly push back on timelines, or to those who pass burden down to their employees. “The teams may get pushed on to build the next set of things that they may not be ready to build,” he says. “This can result in failed initiatives, significantly delayed delivery, or burned-out teams.” To fix this data quality confidence gap, companies should focus on being more transparent across their org charts, Palaniappan advises. Lower-level IT leaders can help CIOs and the C-suite understand their organization’s data readiness needs by creating detailed roadmaps for IT initiatives, including a timeline to fix data problems, he says. “Take a ‘crawl, walk, run’ approach to drive this in the right direction, and put out a roadmap,” he says. “Look at your data maturity in order to execute your roadmap, and then slowly improve upon it.” Companies need strong data foundations, including data strategies focused on business cases, data accessibility, and data security, adds Softserve’s Myronov. Organizations should also employ skeptics to point out potential data problems during AI and other data-driven projects, he suggests.


AI has grown beyond human knowledge, says Google's DeepMind unit

Not only is human judgment an impediment, but the short, clipped nature of prompt interactions never allows the AI model to advance beyond question and answer. "In the era of human data, language-based AI has largely focused on short interaction episodes: e.g., a user asks a question and the agent responds," the researchers write. "The agent aims exclusively for outcomes within the current episode, such as directly answering a user's question." There's no memory, there's no continuity between snippets of interaction in prompting. "Typically, little or no information carries over from one episode to the next, precluding any adaptation over time," write Silver and Sutton. However, in their proposed Age of Experience, "Agents will inhabit streams of experience, rather than short snippets of interaction." Silver and Sutton draw an analogy between streams and humans learning over a lifetime of accumulated experience, and how they act based on long-range goals, not just the immediate task. ... The researchers suggest that the arrival of "thinking" or "reasoning" AI models, such as Gemini, DeepSeek's R1, and OpenAI's o1, may be surpassed by experience agents. The problem with reasoning agents is that they "imitate" human language when they produce verbose output about steps to an answer, and human thought can be limited by its embedded assumptions.


Understanding API Security: Insights from GoDaddy’s FTC Settlement

The FTC’s action against GoDaddy stemmed from the company’s inadequate security practices, which led to multiple data breaches from 2019 to 2022. These breaches exposed sensitive customer data, including usernames, passwords, and employee credentials. ... GoDaddy did not implement multi-factor authentication (MFA) and encryption, leaving customer data vulnerable. Without MFA and robust checks against credential stuffing, attackers could easily exploit stolen or weak credentials to access user accounts. Even with authentication, attackers can abuse authenticated sessions if the underlying API authorization is flawed. ... The absence of rate-limiting, logging, and anomaly detection allowed unauthorized access to 1.2 million customer records. More critically, this lack of deep inspection meant an inability to baseline normal API behavior and detect subtle reconnaissance or the exploitation of unique business logic flaws – attacks that often bypass traditional signature-based tools. ... Inadequate Access Controls: The exposure of admin credentials and encryption keys enabled attackers to compromise websites. Strong access controls are essential to restrict access to sensitive information to authorized personnel only. This highlights the risk not just of credential theft, but of authorization flaws within APIs themselves, where authenticated users gain access to data they shouldn’t.

No comments:

Post a Comment