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Cisco Targets AI Reliability Gap in Planned Galileo Deal

The networking and software company plans to add Galileo’s AI observability and guardrail capabilities to Splunk Observability Cloud under the proposed deal.

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  • [Image source: Chetan Jha/MITSMR India]

    Cisco said it intends to acquire Galileo Technologies Inc., an AI observability startup, as it pushes deeper into tools that help enterprises monitor and control AI agents in production.

    Cisco plans to fold Galileo’s capabilities into Splunk Observability Cloud to strengthen AI agent monitoring, real-time visibility and guardrails.

    In a blog post, Kamal Hathi, Senior Vice-President and GM at Splunk (a Cisco company), framed the move against the rapid rise of AI agents across business functions.

    “AI is unlocking unprecedented opportunities while also driving unprecedented change,” he wrote, adding that organizations are increasingly embedding agentic AI into core processes. This, he noted, is giving rise to “a new agentic workforce” where AI systems act as “crucial digital coworkers” alongside humans.

    The move reflects a broader problem in enterprise AI: trust in AI outputs. 

    As companies deploy more agentic systems, they need more than traditional signals such as latency and error rates. They also need ways to track hallucinations, bias, security risks, and cost and usage metrics, Cisco said.

    Hathi emphasized that the “leaps in innovation with Agentic AI are only as powerful as the trust we are able to place in them, and the quality of their outputs.”

    Galileo’s platform is built to evaluate AI quality, detect failures before they reach users, and improve system behavior in production. 

    On its website, the company says its platform combines evaluation, observability, and production guardrails for AI applications and agents.

    Cisco said Galileo would extend Splunk’s reach across the full AI agent development lifecycle, from prompt optimization and model selection to deployment, monitoring and guardrail enforcement. 

    The deal is expected to close in the fourth quarter of Cisco’s fiscal 2026, and the two companies will continue operating independently until then.

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