diff --git a/x-pack/test_serverless/api_integration/test_suites/observability/ai_assistant/tests/public_complete/public_complete.spec.ts b/x-pack/test_serverless/api_integration/test_suites/observability/ai_assistant/tests/public_complete/public_complete.spec.ts
index a3134ab2e3014..3f4a31e92de91 100644
--- a/x-pack/test_serverless/api_integration/test_suites/observability/ai_assistant/tests/public_complete/public_complete.spec.ts
+++ b/x-pack/test_serverless/api_integration/test_suites/observability/ai_assistant/tests/public_complete/public_complete.spec.ts
@@ -49,7 +49,8 @@ export default function ApiTest({ getService }: FtrProviderContext) {
     },
   ];
 
-  describe('/api/observability_ai_assistant/chat/complete', function () {
+  // Failing: See https://github.com/elastic/kibana/issues/203408
+  describe.skip('/api/observability_ai_assistant/chat/complete', function () {
     // TODO: https://github.com/elastic/kibana/issues/192751
     this.tags(['skipMKI']);