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Gartner Predicts 40 percent of Organizations Deploying AI Will Use AI Observability to Monitor Model Performance by 2028

BusinessManasi Praharaj12 May 2026

Sydney, Australia, May 12: Forty percent of organizations deploying AI will implement dedicated AI observability tools by 2028 to monitor model performance, bias and outputs, according to Gartner, Inc., a business and technology insights company.

AI is everywhere, but most organizations are still figuring out how to monitor and trust these systems,” said Padraig Byrne, VP Analyst at Gartner. “That visibility gap makes scaling risky and that’s why observability matters. Unlike traditional software, AI’s decision making is often hidden, making it hard to explain or trust, yet errors can cause substantial financial loss, reputational damage and regulatory scrutiny.”

Gartner analysts are exploring observability and AI trends at the Gartner IT Infrastructure, Operations & Cloud Strategies Conference in Sydney this week.

Gartner defines observability as the characteristic of software and systems that enables them to be understood based on their outputs and enables questions about their behavior to be answered. AI observability requires dedicated tools that manage and assess the behavior, decision-making and risks of an AI solution, such as model drift, bias and LLM logic.

“The shift to specialized AI observability tools is accelerating due to executive concern over risk management in complex AI models and agentic AI, not just for infrastructure or application health,” said Byrne. “There’s a growing need for predictive issue detection and real-time actionable insights in AI models. Failure to adopt these tools exposes organizations to significant governance risks.”

According to Gartner research, AI observability also includes the ability to monitor the availability, performance and accuracy of the AI platforms beyond risk and trust, which becomes essential as enterprises increasingly rely on AI-driven outcomes for decision-making.

“Without clear, standardized model telemetry, infrastructure and operations (I&O) teams face prolonged incident resolution times for AI applications, which will require complex manual efforts to trace and debug the behaviors of opaque deep learning models,” said Byrne. “Dedicated AI observability provides the necessary mechanisms to monitor and mitigate algorithmic risk, establishing the technical foundation for widespread enterprise AI trust and adoption.”

Gartner recommends I&O leaders factor the following steps into their AI platform strategies:

1.  Establish mandatory AI model monitoring policies for all production deployments, requiring continuous tracking of fairness, drift and data quality metrics.

2.  Standardize monitoring frameworks across data science, MLOps and engineering teams to ensure consistency and control. This mitigates organizational silos and streamlines issue resolution.

3.  Prioritize infrastructure capable of ingesting and analyzing high-volume model telemetry, focusing on specialized solutions that support distributed tracing of AI inference calls.

4.  Ensure IT strategies include provisions for future monitoring of AI platform performance, detection of shadow IT activity and cost management to address these challenges as the technology matures.

Gartner clients can read more in the report PredictsAI will unlock Observability at Scale.

Learn how to accelerate digital transformation by integrating AI, optimizing cloud costs and building a resilient infrastructure in the complimentary Gartner roadmap Boost Your I&O Leadership: Proven Tactics to Align CIO Priorities.

Gartner is the World Authority on AI

Gartner is the indispensable partner to C-Level executives and technology providers as they implement AI strategies to achieve their mission-critical priorities. The independence and objectivity of Gartner insights provide clients with the confidence to make informed decisions and unlock the full potential of AI. Clients across the C-Level are using Gartner's proprietary AskGartner AI tool to determine how to leverage AI in their business. With more than 2,500 business and technology experts, 6,000 written insights, as well as more than 4,000 AI use cases and case studies, Gartner is the world authority on AI

Gartner IT Infrastructure, Operations & Cloud Strategies Conference

Gartner analysts are presenting the latest insights on cloud strategies, infrastructure and operations trends at the Gartner IT Infrastructure, Operations & Cloud Strategies Conference in Sydney this week. Upcoming dates and locations are June 1-2 in Mumbai, November 16-17 in London, December 1-3 in Tokyo and December 8-10 in Las Vegas. Follow news and updates from these conferences on X and LinkedIn using #GartnerIO.

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