Enterprises are being stung by unexpected AI bills, and it’s disrupting IT budgets

Enterprises are being stung by unexpected AI bills, and it’s disrupting IT budgets

By Nicole Kobie
Publication Date: 2026-10-23 09:04:00



More than half of UK organizations have reported “surprise” bills for monitoring IT systems, according to new research from Cisco, and AI is a key factor behind surging costs.

In a new survey from the firm, 65% of respondents said their observability costs had exceeded infrastructure or operational costs this year, with half reporting surprise costs with telemetry data, and another third saying that led to reduced data coverage or retention.