Cisco Expands AI Capabilities with New Splunk Features

Cisco Systems has announced new Splunk AI features for self-managed environments, expanding its work with NVIDIA and AWS. The move allows customers to bring more AI, observability, and agentic SOC capabilities directly into their data centers.

This development could influence Cisco's mix of infrastructure, software, and security revenue as enterprises scale AI workloads on existing networks.

The investment narrative for Cisco Systems appeals to shareholders who buy into a story where AI networking, security, and observability gradually become a larger share of the company's business.

The new on-premises Splunk AI features support this narrative but do not radically change the near-term picture on their own. The biggest risk still sits in dependence on a small group of hyperscale buyers and pressure from lower-cost and open networking rivals.