ServiceNow

ServiceNow's strategy of building industry-specific workflow clouds for healthcare, financial services, and manufacturing is smart positioning but it also means they're competing with Veeva, Guidewire, and various ERP vendors on their home turf. The platform generality that made ITSM a landgrab is harder to replicate when the buyer is a VP of Underwriting rather than a CIO.

Does anyone have a view on how ServiceNow's telecom service management product competes with Amdocs and Ericsson's OSS/BSS stack? I'm trying to understand whether the telco vertical is a real growth driver or more of a marketing story for the next few years.

How much of ServiceNow's new business growth is coming from expanding existing customers into new workflow categories versus landing net new logos? I'm trying to figure out whether the growth story is more land-and-expand or new market penetration at this point.

ServiceNow closed its acquisition of Moveworks earlier this year, bringing an enterprise AI assistant layer that competes directly with Microsoft Copilot for Teams and workplace search use cases. The deal was valued at around 2.85 billion dollars and is the largest acquisition in company history. Integration into the Now platform is expected to accelerate the employee experience product line.

ServiceNow's Now Assist generative AI features are showing up in real renewal conversations — customers are paying more per seat to unlock the AI SKUs and that's pure margin expansion on top of an already sticky platform. When your workflow automation tools become the operating system for enterprise IT, the upsell motion basically runs itself. The RPO growth last quarter was the real tell here.

The security operations and GRC modules are becoming must-haves as regulatory pressure around SOC 2, DORA in Europe, and SEC cyber disclosure rules forces enterprises to document and automate their compliance workflows. ServiceNow is positioned perfectly because the data is already sitting in their CMDB and ITSM tables — there's no new integration required to light up the compliance use case.

At 15x forward revenue ServiceNow is priced for a world where the federal government and large enterprise keep spending aggressively, but DOGE-related budget freezes are already hitting the public sector IT segment. The US federal business is not huge as a percentage of total revenue but it is a sentiment overhang the market is going to keep repricing.

ServiceNow announced expanded partnership with NVIDIA to integrate accelerated computing infrastructure into the Now platform, targeting agentic AI workflows that require low-latency inference at scale. The partnership is focused initially on IT operations use cases where AIOps can auto-remediate incidents without human intervention. This follows similar infrastructure-layer deals between NVIDIA and Salesforce and SAP.

Bill McDermott keeps talking about the path to 15 billion dollars in revenue but I want to see the operating margin story at that scale — sales and marketing is still running near 20% of revenue and professional services margins are thin because they rely heavily on partner SI ecosystems like Accenture and Deloitte. The rule of 40 math looks great until you model what sustaining 20% growth actually costs.