"ServiceNow President and CFO Gina Mastantuono stated that the company is targeting more than $30 billion in subscription revenue by 2030, indicating a significant growth trajectory from an expected $15.7 billion in 2026."
"Despite concerns about AI eroding profit margins, ServiceNow reported that AI reasoning accounts for less than 10% of its cost to serve, allowing it to maintain gross margins above 80%."
"The Now Assist product has shown impressive growth, surpassing $600 million in annual contract value in 2025 and exceeding $750 million as of the first quarter of 2026, with expectations to top $1.5 billion by the end of 2026."
ServiceNow is targeting more than $30 billion in subscription revenue by 2030, up from an expected $15.7 billion in 2026. The company maintains gross margins above 80% despite rising AI usage, with AI reasoning accounting for less than 10% of service costs. ServiceNow forecasts operating margin and free cash flow margin expansion of 100 basis points in 2027. The Now Assist product has surpassed $750 million in annual contract value and is expected to exceed $1.5 billion by the end of 2026, reinforcing AI's role in driving growth.
Read at www.businessinsider.com
Unable to calculate read time
Collection
[
|
...
]