tech
ServiceNow pushes back on AI threats, reporting a 25% jump in subscription revenue
ServiceNow reports Q2 results, raises guidance, and says its AI business topped $1 billion in annual contract value.
TL;DR
- ServiceNow's subscription revenue increased by 25% to $3.9 billion, exceeding forecasts.
- Current remaining performance obligations reached $13.2 billion, also surpassing expectations.
- The company raised its full-year subscription revenue guidance.
- ServiceNow's AI business exceeded $1 billion in annual contract value in Q2.
- Customers with AI agent deployments have increased ninefold in nine months.
- ServiceNow signed 123 deals worth over $1 million in net new annual contract value, a 40% year-over-year increase.
- CEO Bill McDermott highlighted the need for software that governs AI systems, positioning ServiceNow's AI Control Tower as a solution.