My organization wants to run all of the future systems in Observe Mode (over 5000 systems) for an unlimited period of time...I am dead set against this mind you.
Your instinct here is correct. Trying to run that many in Observe mode will create a MASSIVE database (lots of Terabytes). Observe mode was create for the sole purpose of helping customers to discover what updaters to use. We never intended it to be run for any period of time on 5K machines. Can you technically run that many? Yes. Observe mode isn't a protective mode. You MUST get endpoints out of that and into full protection mode. If your copmany still thinks they should pursue this path then please contact your local Sales Engineer and ask for assistance on why this is an insane path.
Thank you for the quick response. I will make a note of this and pass it along to my management.