In this episode, Paul Appleby, CEO of Virtana, discusses the critical gap between massive AI infrastructure investments and the governance needed to manage them effectively. Drawing from Virtana's AI Factory Reality Check study, the conversation reveals that most enterprises lack the ability to automatically diagnose AI workload failures, leading to significant operational risks. Appleby explains how his company's observability platform captures thousands of metrics per second to provide real-time insights, and he offers a sobering perspective on the true costs of scaling AI systems.