Fix false ATVM failures from reporter txt fallback

atvm/docs/automation/run-learnings.md

@@ -392,3 +392,12 @@ This file stores run-specific examples only when a run produced a new learning r
   - Do not treat the presence of plugin-specific strings or code blocks in the generated `.ts` file as proof that those plugin steps will execute.
   - For plugin-specific questions, determine expected behavior from the template/runtime gate and only call it a mismatch if the runtime logic would execute the wrong plugin path.
   - Continue verifying that the requested VM set is present in the generated files and `specPattern`, but keep plugin-path validation separate from simple text-presence checks.
+
+## Run Learning: 2026-03-30 (Do not classify reporter TXT logs as failed from generic `error` words)
+- Observed failure mode:
+  - A completed `reboot-redhat8.10-iscsi` run actually passed in the launch log and `Cloud Run Finished` table, but the watcher saved it as failed.
+  - The TXT fallback matched generic strings such as `auth error encountered` and treated them as proof of host failure.
+- Action for future runs:
+  - Do not classify a reporter TXT artifact as failed just because it contains the word `error`.
+  - For TXT fallback, require explicit terminal failure markers such as `cy:command error`, `cy:task error`, or real `Error:`/`AssertionError:`/timeout text.
+  - Prefer the parent run summary when available, because it is less prone to false failure signals than raw per-step console text.

atvm/watcher-service/atvm_run_watcher.py

@@ -751,11 +751,13 @@ def parse_host_reporter_artifact(artifact_path: Path, host: str, kernels: Dict[s
     except OSError:
         text = ""
 
-    failures = 1 if re.search(r"\bTimed out!\b|\bAssertionError\b|\bFAIL\b|\berror\b", text, re.I) else 0
+    failure_detail = extract_failure_detail_from_text_blob(text)
+    structured_failure = re.search(r"^(?:cy:command|cy:task)\terror\t", text, re.I | re.M)
+    failures = 1 if failure_detail or structured_failure else 0
     status = "FAIL" if failures else "PASS"
     detail = "1 failures" if failures else "completed"
     if failures:
-        detail = append_failure_detail(detail, extract_failure_detail_from_text_blob(text))
+        detail = append_failure_detail(detail, failure_detail)
     return HostResult(
         host=host,
         kernel=kernels.get(host, "unknown"),