Generative AI Needs Observability. Observability Needs Generative AI.

By Peter Pezaris

I’ve been working as a technology founder and entrepreneur for 30 years. During that time, I’ve seen just three technologies that I would describe as truly disruptive: the launch of the internet in the 1990s; the release of the first iPhone in the mid-2000s; and the sudden arrival of OpenAI 's ChatGPT earlier this year.?

We’ve all read countless analyses and think pieces on the meaning and potential impact of generative AI, but it’s not an exaggeration to put this technology on the same level as the internet or the smartphone. It took ChatGPT just two months to reach 100 million users, compared to more than two years for the iPhone app store and seven years for the World Wide Web. ChatGPT is far and away the fastest-growing app in history.

The reason why these three technologies specifically have defined and shaped my career in technology is because they offer limitless opportunities for follow-on innovation. The closer you look at a tool like the internet or the iPhone, the more potential you see for new innovations and use cases. It’s the same for generative AI: regardless of the business, industry, or geography, ChatGPT and tools like it have the potential to completely disrupt the status quo.

Observability is no different. Our work at New Relic, and the way our customers use our products, will be completely transformed in the coming months and years by generative AI. But there’s a key difference between observability and other technology areas at this turning point: yes, generative AI will be essential for observability; but observability will also be essential for generative AI.

Here’s why.

The exploding need for observability

By now we’re used to the idea that every company is a software company. Within months, we should expect every company to also be a generative AI company. Just as leading tech companies had to respond to the rise of smartphones by creating mobile solutions, it will now become mission-critical for tech companies to develop and implement their own generative AI solutions. Companies can’t walk blindly into this transformation—observability will be essential for the long-term success of generative AI initiatives. Observability will make it possible for organizations to maintain the strong performance and exceptional response rates necessary to support their new AI-powered applications. What’s more, observability will play a crucial role in monitoring and maintaining budgets. The majority of tech companies will have to rely on third-party vendors like OpenAI or Google to supply their generative AI solutions; observability can ensure that companies limit unnecessary expenses and maximize ROI on those investments.

The technology components that make up generative AI—most notably the large language models that drive text prediction and generation—require speed and scale to function properly. Observability has historically played an essential role in helping organizations maintain the speed and scale of their technology stacks. Generative AI will be no different, and companies that are only now beginning to experiment with Copilot or ChatGPT should take the time to ensure these tools are properly monitored before they grow beyond the organization’s existing capabilities.

Observability's Generative AI Evolution

Like many industries, observability vendors have yet to fully integrate generative AI into their tools. Companies using generative AI typically need to switch contexts between their existing tools and a general assistant like ChatGPT or Google Bard.?

The next phase of generative AI's integration into observability will make tools like New Relic more powerful and more accessible for a broader range of users. A domain-specific assistant, built into the observability platform, will already have access to the information it needs within the pipeline. The targeted GenAI tool will be able to deliver immediate insights without requiring any extra context or input.?

We can imagine how the combination of GenAI and observability will function in practice. Modern observability tools are accessible, but they require some domain expertise from the user. An AI-enabled observability solution will be able to respond to natural language questions posed by anyone, regardless of experience or knowledge. "Why isn't my application working?" "Why is our service slower today?" The AI-backed tool will respond instantly, basing its answer on the data housed within the system.?

Growing Together

We can no longer imagine a world without the internet or smartphones. Likewise in two years, we will no longer be able to imagine a world without generative AI. In boardrooms and Slack channels around the world, companies are deciding how they’re going to integrate AI into their operations and product offerings. There’s no turning back.

Observability's evolution won't just be empowered by generative AI; it will be intertwined with AI. The two tools will need each other to function and grow. Generative AI is like an onramp to the Autobahn—no limits to the potential for acceleration and speed. Observability is your seatbelt and airbag, ensuring you remain safe and in control as you step on the gas.

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The views expressed on this blog are those of the author and do not necessarily reflect the views of New Relic. This blog may contain links to content on third-party sites. By providing such links, New Relic does not adopt, guarantee, approve or endorse the information, views or products available on such sites.

Forward-looking statements

This blog contains “forward-looking” statements, as that term is defined under the federal securities laws, including but not limited to statements regarding the expected impacts of generative AI on the observability industry, and the anticipated impacts and benefits related to the use of observability with generative AI. The achievement or success of the matters covered by such forward-looking statements are based on New Relic’s current assumptions, expectations, and beliefs and are subject to substantial risks, uncertainties, assumptions, and changes in circumstances that may cause New Relic’s actual results, performance, or achievements to differ materially from those expressed or implied in any forward-looking statement. Further information on factors that could affect New Relic’s financial and other results and the forward-looking statements in this press release is included in the filings New Relic makes with the SEC from time to time, including in New Relic’s most recent Form 10-Q, particularly under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Copies of these documents may be obtained by visiting New Relic’s Investor Relations website at https://ir.newrelic.com or the SEC's website at www.sec.gov. New Relic assumes no obligation and does not intend to update these forward-looking statements, except as required by law.