Pulumi Neo is a specialized AI tool designed to manage and optimize infrastructure by being deeply integrated with an organization's specific infrastructure context, unlike generic large language models (LLMs) that offer broad advice based on internet patterns. Neo is trained on the actual state of an infrastructure, including programs, resource relationships, and deployment history, allowing it to generate precise fix plans and explanations grounded in reality rather than assumptions. This capability stems from its use of a "context lake," a structured repository that aggregates domain-specific knowledge, which enables Neo to understand and reason about infrastructure more effectively than traditional AI tools. While Neo enhances decision-making and observability in DevOps by automating the understanding of infrastructure states and dependencies, it complements rather than replaces human engineering judgment, creating a more efficient feedback loop between human expertise and AI understanding. This approach allows engineers to focus more on strategic reasoning and less on repetitive configuration tasks, thereby changing the nature of engineering work in the DevOps landscape.