How Integrated Network Visibility Protects State IT from Shadow AI Threats

Combating Shadow AI With Network Visibility

In 2025, many states have taken steps to identify and block access to software or websites considered security or data privacy risks on state devices and networks. This includes foreign-owned AI tools like DeepSeek. As a result, IT departments at the state and local government level face a new challenge: shadow AI, which refers to the unauthorized use of AI tools by employees without governance.

When employees use unsanctioned AI tools, it creates security risks involving the movement of unapproved information. The lack of visibility for IT departments makes it difficult to detect or control these activities. This raises a critical question: how can state and local governments defend against unauthorized AI use? The answer lies in powerful, integrated network solutions that provide comprehensive visibility and allow IT teams to monitor banned AI tools effectively, ensuring policy enforcement within their environments.

AI Bans Require Integrated Networking Platforms

The surge of AI tools, both authorized and unauthorized, puts additional pressure on state government networks. Cyberattacks have grown more advanced, with attackers leveraging AI to steal credentials and target state and local governments. These entities are increasingly targeted by nation-state groups aiming to influence public policy amid geopolitical tensions. For example, earlier this year, Alabama experienced a cyberattack that disrupted state services after employee personal data was compromised.

Despite these growing threats, many state IT teams remain under-resourced. Over a third of government technology and security professionals report stress due to staffing shortages, and many say their cybersecurity budgets are insufficient. Now, on top of these challenges, they must manage and enforce bans on popular AI tools.

The solution is a powerful, integrated network equipped with built-in security and analytics. Such a platform delivers the visibility needed to monitor shadow AI and detect cyber intrusions without increasing workloads for IT staff. In fact, AI itself may soon be deployed to monitor unauthorized AI usage, creating a proactive defense mechanism.

One common issue is the separation of network management from other IT infrastructure components. Modern IT environments often include multicloud setups, data centers, campuses, and numerous devices—wired, wireless, SD-WAN, and IoT. Managing these with separate tools leads to information silos and blind spots that create vulnerabilities.

According to Extreme Networks’ State of Cloud Networking 2025 report, nearly 80% of CISOs and 87% of IT VPs say the inability to view network information in a single location complicates security integration. The only way to avoid these gaps is by combining networking, AI, and security into a single integrated platform. Almost nine out of ten executives, including CIOs and CISOs, prefer this platform approach.

Network Monitoring Can Enhance AI Observability

Network monitoring is essential to observing and controlling banned AI tools. While AI offers many benefits, not all tools should be allowed within government IT environments due to risks like data leakage, misuse, and regulatory issues.

Simple application monitoring can detect unauthorized AI use, but more advanced systems may leverage AI to monitor AI activity—a likely future direction. AI agents can identify unusual patterns, such as access to banned sites or applications, and alert administrators proactively.

This approach reduces the manual workload on IT staff, allowing them to enforce AI bans more efficiently. With over a dozen states already banning certain AI tools and others considering similar steps, state IT teams must prepare by adopting modern networking technologies that offer advanced visibility and integrated analytics.

By doing so, governments can secure their systems against shadow AI and maintain compliance without stretching their already limited resources.