ServiceNow Acquires AI Firm Moveworks for $2.85 Billion in Major AI Expansion Move

Why ServiceNow Stock Tumbled by Almost 8% Today | The Motley Fool

Many stocks declined during the market's rout on Monday, but business software company ServiceNow (NOW -7.85%) lost more than most. On news of yet another acquisition, investors traded out of the specialty tech stock, leaving with a loss of just under 8% on the day. That was a steeper fall than the S&P 500 index's 2.7% decline. ServiceNow announced that it has signed a definitive agreement to purchase Moveworks, a privately held artificial intelligence (AI) solutions developer that targets large enterprises. The acquirer said that it will combine Moveworks' front-end AI assistant and search technology with its native AI technology. For its new asset, ServiceNow is to pay $2.85 billion in a combination of cash and stock. The company did not get specific about the mix. In the press release heralding the deal, ServiceNow wrote that combining the pair "will redefine the value of how to put AI to work, setting a new standard for the future of employee engagement with a powerful universal AI assistant, along with more perceptive AI‑based enterprise search, to find fast answers to requests, automate and complete everyday tasks, and increase productivity." Moveworks certainly has an impressive client list. On its website, it lists such familiar (and diverse) names as Spotify, Broadcom, and Unilever. The investor reaction to the news was in contrast to ServiceNow's announcement at the end of February that it had acquired Quality 360, a manufacturing industry software platform, from Swedish peer Advania. The stock popped on that development. The sour reaction to this one could have something to do with the price tag -- $2.85 billion is nearly the total non-GAAP (adjusted) net income the company booked for full-year 2024 and isn't far from its less than $3.5 billion free cash flow for the year. Meanwhile, investors have grown concerned that the heavy spending by some tech companies on AI won't sufficiently pay off in the great AI gold rush we're experiencing now.

ServiceNow to Buy AI Firm Moveworks for $2.9 Billion to Tap New Customers

(Reuters) - ServiceNow said on Monday it would buy artificial intelligence company Moveworks for $2.85 billion, marking the software maker's largest-ever acquisition as it looks to expand its product portfolio and attract more customers. The cash and stock deal for privately-owned Moveworks comes as enterprises are increasingly adopting AI and investing in automating their IT operations to improve productivity. Moveworks, which offers agentic AI solutions to assist clients, counts chipmaker Broadcom, cybersecurity company Palo Alto Networks and social media platform Pinterest as its customers. The transaction is expected to close in the second half of 2025, the company said. ServiceNow's "Now Assist" competes with Moveworks' AI chatbot, but they take different approaches. Moveworks focuses on using AI to understand and resolve employee issues through chat. Its chatbot can be integrated with various platforms such as that of ServiceNow, Salesforce's Slack and Microsoft's SharePoint. On the other hand, ServiceNow integrates AI into its entire service management platform, aiming to streamline workflows and improve overall efficiency. In 2021, Moveworks closed a $200 million in Series C funding round, which took its total funding to $315 million, with a valuation of $2.1 billion. (Reporting by Jaspreet Singh in Bengaluru; Editing by Leroy Leo)

ServiceNow to buy AI firm Moveworks in record $2.9 billion deal to tap new customers

March 10 (Reuters) - ServiceNow said on Monday it would buy artificial intelligence firm Moveworks for $2.85 billion, marking the software maker's largest-ever acquisition at a time when enterprises are spending heavily to enhance their IT operations. The cash-and-stock deal for privately owned Moveworks is expected to close in the second half of 2025. Moveworks, which offers agentic AI solutions to assist clients, counts chipmaker Broadcom, cybersecurity company Palo Alto Networks and social media platform Pinterest among its customers. Shares of Santa Clara, California-based ServiceNow were down 2.4% in early trading. They have risen about 15% over the past 12 months. ServiceNow's "Now Assist" competes with Moveworks' AI chatbot, but they take different approaches. Moveworks focuses on using AI to understand and resolve employee issues through chat. Its chatbot can be integrated with various platforms such as that of ServiceNow, Salesforce's Slack and Microsoft's SharePoint. ServiceNow integrates AI into its entire service management platform, aiming to streamline workflow and improve overall efficiency. In 2021, Moveworks closed a $200 million in Series C funding round, which took its total funding to $315 million, with a valuation of $2.1 billion. Bloomberg News on Sunday first reported about the companies nearing a deal, citing people familiar with the matter. (Reporting by Jaspreet Singh in Bengaluru; Editing by Leroy Leo and Shilpi Majumdar)

ServiceNow to Acquire Moveworks for USD 2.85 Billion to Expand AI-Powered Automation

The acquisition aligns with ServiceNow's strategy to expand AI-powered customer service, HR, and IT automation. ServiceNow announced on Monday that it has reached a definitive agreement to acquire enterprise AI assistant provider Moveworks for USD 2.85 billion. The acquisition aims to enhance employee experiences by integrating Moveworks' AI assistant and enterprise search capabilities with ServiceNow's agentic AI automation. Also Read: ServiceNow to Acquire AI Conversation Insights Platform Cuein "Following closing, together with Moveworks, ServiceNow - with thousands of AI agents already deployed - will continue to drive use of its agentic AI ServiceNow Platform to accelerate enterprise adoption and innovation across key growth areas including CRM," the companies said in a joint announcement on March 10. ServiceNow and Moveworks aim to redefine enterprise AI by improving self-service experiences and intelligent search capabilities. Their combined technologies will enable employees to quickly find answers to requests, automate and complete routine tasks, and boost productivity. According to ServiceNow, most of Moveworks' current customer deployments already rely on ServiceNow as a key system of action for accessing enterprise AI, data, and workflows. "With the acquisition of Moveworks, ServiceNow will take another giant leap forward in agentic AI-powered business transformation," said Amit Zavery, president, chief operating officer, and chief product officer at ServiceNow. "As agentic AI and enterprise-grade search forever change how we work, ServiceNow moved early to empower employees through AI. Moveworks' talented team and elegant AI-first experience, combined with ServiceNow's powerful AI-driven workflow automation, will supercharge enterprise-wide AI adoption and deliver game-changing outcomes for employees and their customers." "Becoming part of ServiceNow presents an incredible opportunity to accelerate our innovation and deliver on our promise through their AI agent-fueled platform to redefine the user experience for employees and customer service teams," said Bhavin Shah, co-founder and CEO of Moveworks. ServiceNow reported that it has nearly 1,000 AI customers and has surpassed USD 200 million in annual contract value (ACV) for its Pro Plus AI solution as of December 31, 2024. Also Read: BT Group and ServiceNow Expand Partnership to Enhance Customer Experience Moveworks' AI solutions currently serve companies such as Hearst, Instacart, Siemens, Toyota, and Unilever. With its new agentic platform expanding to nearly 5 million employee users in just 18 months -- and nearly 90 percent of its customers deploying the technology company-wide -- Moveworks' front-end AI agent and enterprise search services will extend ServiceNow's reach to every requestor in an organisation, according to the official release. The acquisition aligns with ServiceNow's existing tuck-in strategy. In the initial integration phase, ServiceNow and Moveworks will deliver a unified, end-to-end search and self-service experience for all employee requestors across every workflow. Moveworks' AI assistant streamlines HR, CRM, finance, and IT processes, automating tasks such as contract renewals, customer support insights, payroll queries, and recruitment workflows. According to the official release, routine payroll tasks and compensation-related questions can be handled automatically through AI-powered chat interactions. The Moveworks AI assistant can also simplify the recruiting process by quickly surfacing open job positions, enabling employees to refer candidates via chat, and suggesting interview questions aligned with company values and priorities. Also Read: Wipro Unveils TelcoAI360 to Transform Telecom Operations with AI: MWC25 ServiceNow plans to further integrate solutions such as CRM and customer service, tailored to specific customer personas, to create a cohesive selling, fulfill, and service experience on a single platform. By integrating Moveworks' capabilities even further, ServiceNow said it will accelerate its AI-powered solutions to improve customer interactions. Under the terms of the agreement, ServiceNow will acquire Moveworks for USD 2.85 billion, subject to customary purchase price adjustments, payable in a combination of cash and stock. The transaction is expected to close in the second half of 2025.

ServiceNow stock falls following Moveworks acquisition announcement By Investing.com

Investing.com -- Shares of ServiceNow (NYSE: NYSE:NOW) dropped 5.5% as the company announced its definitive agreement to acquire AI firm Moveworks for $2.85 billion. The decline reflects investor concerns over the significant cash and stock deal, which aims to integrate Moveworks' AI assistant and enterprise search technology with ServiceNow's existing AI and automation capabilities. The acquisition is a strategic move to enhance employee engagement and productivity by leveraging the combined technologies. ServiceNow, known for its AI-driven business transformation solutions, has been experiencing robust growth in its AI customer base, boasting nearly 1,000 AI customers and over $200 million in annual contract value for its Pro Plus AI solution as of December 31, 2024. Despite ServiceNow's strong gross profit margins of 79.18% and a revenue increase of 22.44% over the past twelve months to $10.98 billion, the stock's downturn suggests investor skepticism surrounding the deal's valuation and the immediate impact on the company's financials. The market's reaction may also be influenced by the anticipated closure of the transaction in the second half of 2025, which introduces a level of uncertainty regarding the regulatory approvals and closing conditions. Moveworks has been recognized for its AI expertise and has seen significant adoption among Fortune 500 and Global 2000 companies. The acquisition is expected to drive further utilization of ServiceNow's AI platform across various sectors, including CRM, by simplifying employee interactions with enterprise systems. ServiceNow's executive, Amit Zavery, expressed optimism about the transformative potential of the acquisition, stating that the combination of Moveworks' AI-first experience with ServiceNow's platform will "supercharge enterprise-wide AI adoption." The transaction, which is payable in a mix of cash and stock, is being advised by J.P. Morgan Securities LLC and Tidal Partners LLC. As the deal progresses towards completion, investors will be watching closely for its impact on ServiceNow's financial performance and market positioning in the increasingly competitive field of enterprise AI.

ServiceNow Stock Is Sliding Monday: What's Going On? - ServiceNow (NYSE:NOW)

ServiceNow Inc NOW shares are trading lower. The company on Monday announced a deal to acquire Moveworks. What Happened: ServiceNow announced that it signed a definitive agreement to acquire Moveworks for $2.85 billion. The deal brings together ServiceNow's agentic AI and automation strengths with Moveworks' front-end AI assistant and enterprise search technology. The acquisition is expected to help the company create a powerful universal AI assistant and introduce more perceptive AI-based enterprise search. The combined offering is expected to drive use of the company's agentic AI ServiceNow Platform to accelerate enterprise adoption and innovation, including across customer relationship management. "With the acquisition of Moveworks, ServiceNow will take another giant leap forward in agentic AI-powered business transformation," said Amit Zavery, president, chief operating officer and chief product officer at ServiceNow. "As agentic AI and enterprise-grade search forever change how we work, ServiceNow moved early to empower employees through AI. Moveworks' talented team and elegant AI-first experience, combined with ServiceNow's powerful AI-driven workflow automation, will supercharge enterprise-wide AI adoption and deliver game-changing outcomes for employees and their customers." Under terms of the agreement, ServiceNow will pay Moveworks $2.85 billion through a combination of cash and stock. The transaction is expected to close in the second half of 2025. It's worth noting that some of the selloff in ServiceNow shares is likely tied to broader market weakness. The tech-heavy Nasdaq was leading declines at last check on fears of a potential recession due to tariffs from the Trump administration. See Also: Cisco, Nvidia, Arista Tackle Tariff Turmoil: Who's Best Positioned? NOW Price Action: ServiceNow shares were down 6.2% at $797.41 at the time of publication Monday, according to Benzinga Pro. Photo: Shutterstock. NOWServiceNow Inc$795.40-6.49%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum67.25Growth52.51Quality77.36Value8.14Price TrendShortMediumLongOverviewMarket News and Data brought to you by Benzinga APIs

ServiceNow to acquire agentic AI platform Moveworks in $2.9B deal - SiliconANGLE

ServiceNow to acquire agentic AI platform Moveworks in $2.9B deal ServiceNow Inc. announced today it will acquire Moveworks Inc., a generative artificial intelligence platform that builds AI automation tools and enterprise AI agents designed to streamline employee workflows. ServiceNow will pay $2.85 billion for Moveworks, payable in a combination of cash and stock. The arrangement is expected to close during the second half of 2025 subject to regulatory approval and other conditions. After a 2021 $200 million funding round co-led by Tiger Global and Alkeon Capital, Moveworks was valued at $2.1 billion. "With the acquisition of Moveworks, ServiceNow will take another giant leap forward in agentic AI‑powered business transformation," said Amit Zavery, president, chief operating officer and chief product officer at ServiceNow. "As agentic AI and enterprise‑grade search forever change how we work, ServiceNow moved early to empower employees through AI." Zavery said the Moveworks team will be combined with ServiceNow to integrate its agentic AI capabilities with the company's existing AI agent capabilities. AI agents are a type of artificial intelligence that is capable of taking actions with very little human supervision, processing data from multiple sources, including text, voice and video, and acting as preemptive virtual assistants. In the industry, the trend of agentic AI is being embraced for its capability of AI to automate rote tasks for employees to allow them to focus on more creative knowledge work. Moveworks has built its own agentic AI assistant that can assist employees with automation for sales, customer relationship management, finance and human resources. Because the company's AI agents have full access to all enterprise data in real-time, they can easily keep salespeople up-to-date when working on an account. They can also help draft emails, do research and provide instant insights when interacting with potential contacts. The company's AI search and automation capabilities have been adopted across industries including customers such as Hearst Communications Inc., Instacart, Palo Alto Networks Inc., Siemens AG, Toyota Motor Corp. and Unilever PLC. "Moveworks hides the complexity employees face at work by giving them an intuitive, engaging starting place to search and drive action across any enterprise system," said co-founder and Chief Executive Bhavin Shah. "Becoming part of ServiceNow presents an incredible opportunity to accelerate our innovation and deliver on our promise through their AI agent‑fueled platform to redefine the user experience for employees and customer service teams." ServiceNow said that its buildout of agentic AI services has become its fastest-growing offering, with nearly 1,000 AI customers leading to more than $200 million annualized contract value for its Pro Plus AI solution as of the end of last year. Bloomberg Intelligence analysts Anurag Rana and Andrew Girard wrote in a report that the Moveworks acquisition could help ServiceNow hold its strong sales growth in the competitive cloud software market. "We expect its positioning in process optimization to lead to more demand stability vs. peers this year," Rana and Girard said. "ServiceNow's solid performance through uncertain economic conditions reinforces our expectation that the company could exceed $15 billion in subscription revenue by 2026."

ServiceNow to Acquire Moveworks for $2.85 Billion in Cash and Stock

ServiceNow agreed to acquire Moveworks for $2.85 billion in a cash and stock deal, part of a greater focus on artificial intelligence within the company. ServiceNow, the cloud-based software company, said the deal will combine its agentic AI and automation strengths with Moveworks' front-end AI assistant and enterprise search technology. ServiceNow said it plans to further integrate solutions such as customer relationship management and customer service. The deal is expected to close in the second half of this year. ServiceNow in January expanded roles of several members of its leadership team in response to opportunities with AI. Among the changes were Chief Customer Officer Chris Bedi being tapped as special adviser to the chairman for AI transformation, while Chief People Officer Jacqui Canney became chief people and AI enablement officer.

ServiceNow Nears $3 Billion Acquisition of AI Firm Moveworks

Founded in 2016, Moveworks specialises in AI-driven employee assistance tools used by major companies such as Unilever, GitHub, and Broadcom. ServiceNow is reportedly finalising a deal to acquire AI assistant provider Moveworks in what could be its largest acquisition to date, according to a report by Bloomberg. The deal, expected to be announced in the coming days, may value Moveworks at nearly $3 billion. While discussions are in advanced stages, there remains a possibility of delays or a breakdown in negotiations, sources said. Founded in 2016, Moveworks specialises in AI-driven employee assistance tools used by major companies such as Unilever, GitHub, and Broadcom. The company, backed by investors including Kleiner Perkins, Lightspeed Venture Partners, and Bain Capital Ventures, was valued at $2.1 billion in a 2021 funding round. Led by CEO Bill McDermott, ServiceNow develops software that helps businesses streamline IT and personnel operations. The Santa Clara-based firm has been increasingly integrating generative AI into its products. In January, ServiceNow and Google Cloud expanded their partnership to integrate AI-driven enterprise technology. The ServiceNow Platform will launch on Google Cloud Marketplace, allowing businesses to connect their workflow solutions with Google Cloud's AI, data analytics, and productivity tools. Speaking with AIM earlier, ServiceNow India MD Sumeet Mathur explained why everyone wants to partner with ServiceNow instead of competing with them. For context, most Indian IT companies, the big techs of the world, and even companies like Databricks and Snowflake have partnered with the company in recent years. ServiceNow has been actively working in AI for over a decade, making the transition to GenAI an incremental step rather than a leap. Three years ago, ServiceNow acquired Element AI, which laid the foundation for its advancements in LLMs. "Our GenAI offerings are persona-focused," Mathur explained, emphasising tailored solutions for employees, agents, and developers.

ServiceNow CFO: Moveworks Buy 'Extends Our Leadership In Agentic AI'

'At the end of the day, ServiceNow has been and will continue to be an agentic AI-first mover. The acquisition of Moveworks really extends our leadership in agentic AI in ways that we believe are really going to redefine the value of AI at work for every employee,' says ServiceNow President and CFO Gina Mastantuono. Digital transformation and workplace automation technology developer ServiceNow's planned $2.85 billion acquisition of Moveworks, which develops front-end AI assistant and enterprise search technology, is expected to become a major component of ServiceNow's AI-focused Now platform. ServiceNow wants to combine Moveworks' technology with its own AI capabilities to drive agentic AI adoption across enterprise business clients. ServiceNow President and CFO Gina Mastantuono, in an exclusive meeting with CRN, said that ServiceNow has been and will continue to be an agentic AI-first mover. [Related: ServiceNow CEO Bill McDermott: 'We're Putting AI To Work For People'] "The acquisition of Moveworks really extends our leadership in agentic AI in ways that we believe are really going to redefine the value of AI at work for every employee," Mastantuono said Moveworks is a pure play agentic AI employee experience with a powerful front-end AI assistant for employees that's in use by over 5 million employees in some of the world's largest organizations, Mastantuono said. "Think of a ChatGPT-like interface connecting all parts of the enterprise and all employees to answer any question about anything, and then when connected with ServiceNow having the ability to get it done right," she said. "Moveworks has an elegant front-end employee experience, plus really great enterprise search capabilities." ServiceNow's acquisition of Moveworks helps shed light on the future of AI and agentic AI. To learn more, read CRN's full discussion with Mastantuono, which has been lightly edited for clarity.

Why ServiceNow Stock Is Soaring Today | The Motley Fool

Shares of ServiceNow Inc. (NOW 3.13%) are surging on Tuesday. The company's stock gained 4.5% as of 2:50 p.m. ET and was up as much as 5.6% earlier in the day. The rise comes as the S&P 500 is up 0.2% and the Nasdaq Composite is up 1%. The artificial intelligence (AI)-driven cloud computing and automation provider announced a major acquisition to bolster its AI capabilities. ServiceNow announced it would acquire Moveworks, a business automation company for $2.85 billion in cash and stock. The deal aims to enhance ServiceNow's own automation offerings and help the company compete in agentic AI -- AI that can perform tasks with some level of autonomy. Moveworks' sophisticated AI agent technology, integrated into ServiceNow's platform, will allow the company to offer a universal AI assistant that is designed to boost employee engagement by automating routine tasks and providing rapid responses to queries. The transaction, expected to conclude in the latter half of 2025, is part of ServiceNow's broader strategy to expand its AI offerings and better compete in the market. While recession fears and valuation concerns have dragged down many tech stocks, investors appear to view the deal as enough of a positive long-term growth catalyst. ServiceNow remains pricey, however, with a price-to-earnings (P/E) ratio north of 100. Still, much of its competition carries similar multiples, and ServiceNow has a clear path to grow its earnings, especially after this deal.

ServiceNow Set to Accelerate AI Adoption With Moveworks Acquisition | Investing.com UK

ServiceNow (NYSE:NOW), a prominent player in the field of AI-driven business solutions, has announced a significant move to acquire Moveworks for $2.85 billion. This acquisition is intended to bolster ServiceNow's capabilities in artificial intelligence by integrating Moveworks' advanced AI assistant and enterprise search technology. The collaboration is poised to enhance ServiceNow's existing strengths in AI and automation, particularly within customer relationship management systems. By combining their platforms, the companies aim to improve employee engagement through a universal AI assistant, which will boost productivity by automating tasks and swiftly addressing requests. The deal is a part of ServiceNow's broader strategy to expand its AI offerings and seize market opportunities, with the transaction anticipated to conclude in the latter half of 2025.

ServiceNow Eyes $3 Billion AI Deal, Targets Boost From Moveworks Chatbot Tech - ServiceNow (NYSE:NOW)

ServiceNow Inc NOW is nearing a deal to snap artificial intelligence firm Moveworks. The purchase could value Moveworks at close to $3 billion, Bloomberg reports. Moveworks provides companies like Broadcom Inc AVGO with AI assistants to handle employee requests. Also Read: AMD Closing Competitive GPU Gap With Nvidia, Gains Market Share From Intel In Client And Server Markets: Analyst The company, backed by Kleiner Perkins and Lightspeed Venture Partners, was worth $2.1 billion in a 2021 funding round. ServiceNow makes applications that help firms organize and automate their personnel and information technology operations. Last week, ServiceNow and Nvidia Corp NVDA launched AI agents for telecom service improvements. ServiceNow reported fourth-quarter revenue of $2.96 billion, up 21%, which aligns with the consensus estimate. The company reported fourth-quarter adjusted earnings of $3.67 per share, which aligns with analyst estimates. ServiceNow expects first-quarter subscription revenue of $2.995 billion-$3 billion. ServiceNow held $5.76 billion in cash and equivalents as of December 31, 2024. Price Action: NOW stock is down 3.26% at $822.87 premarket at last check Monday. Also Read: Salesforce Is Trading Below 200-DMA, But Goldman Sachs Sees Huge Stock Upside After Agentforce 2dx Unveil Image Via Shutterstock NOWServiceNow Inc$827.00-2.78%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum80.87Growth52.68Quality80.03Value7.80Price TrendShortMediumLongOverviewAVGOBroadcom Inc$187.33-3.91%NVDANVIDIA Corp$109.16-3.13%Market News and Data brought to you by Benzinga APIs

ServiceNow to buy Moveworks for $2.85B to grow its AI portfolio | TechCrunch

ServiceNow said on Monday that it has agreed to acquire Moveworks, which develops enterprise-focused automation and AI tools. ServiceNow will pay $2.85 billion for Moveworks in a mix of cash and stock. The former expects the deal to close in the second half of 2025. Bloomberg reported the deal late on Sunday night. As of June 2021, Moveworks was valued at $2.1 billion. "With the acquisition of Moveworks, ServiceNow will take another giant leap forward in agentic AI-powered business transformation," ServiceNow president and COO Amit Zavery said in a press release. "Moveworks' talented team and elegant AI-first experience, combined with ServiceNow's powerful AI-driven workflow automation, will supercharge enterprise-wide AI adoption and deliver game-changing outcomes for employees and their customers." Zavery said the deal made sense for ServiceNow because it and Moveworks already have a number of mutual customers, and the two companies' product offerings are tightly integrated. By folding Moveworks into its corporate family, ServiceNow has an opportunity to build a platform that "[combines] ServiceNow's agentic AI and automation strengths with Moveworks' [...] AI assistant and enterprise search technology," Zavery said. Moveworks was founded in 2016 by Bhavin Shah, Vaibhav Nivargi, Varun Singh and Jiang Chen. Shah previously co-founded Refresh, an app that surfaced insights about people in users' extended social networks (LinkedIn acquired it in 2015). Nivargi built a business analytics platform called ClearStory, while Singh was a lead product manager at Meta overseeing Facebook feature development. Chen came to Moveworks by way of Yahoo, Google and Airbnb. Mountain View-based Moveworks came out of stealth in 2019 with an application to help enterprise customers automate high-level IT support. Over the years, the startup expanded its product portfolio to address various lines of business, including HR, finance and facilities management. The company's clients include Unilever, Instacart, Siemens and Toyota, per its website. Prior to the ServiceNow acquisition, Moveworks managed to raise just over $300 million from backers including Tiger Global, Iconiq Growth and Kleiner Perkins. It has more than 500 employees. "Moveworks hides the complexity employees face at work by giving them an intuitive, engaging starting place to search and drive action across any enterprise system," Shah said in a statement. "Becoming part of ServiceNow presents an incredible opportunity to accelerate our innovation and deliver on our promise through their AI agent-fueled platform to redefine the user experience for employees and customer service teams." The deal solidifies ServiceNow's strategy to embrace emerging AI technologies. In January, the company acquired Cuein, an "AI-native" conversation data analysis platform, to enhance its data processing capabilities. ServiceNow claims its newest AI solutions are the fastest-growing in its history. The company said it had nearly 1,000 "AI customers" as of December 2024, and around $200 million in annual contract value for its "Pro Plus" AI tier. In its most recent fiscal quarter (Q4 2024), Santa Clara-based ServiceNow reported $2.96 billion in subscription revenues, driven in part by AI adoption.

ServiceNow To Buy Moveworks In Bet On Enterprise Agentic AI

ServiceNow, which has been on the leading edge of bringing agentic AI to enterprise users via its ServiceNow Now platform, is advancing its capabilities with its planned $2.85 billion acquisition of Moveworks, which develops front-end AI assistant and enterprise search technology. Digital transformation and workplace automation technology developer ServiceNow Monday unveiled a definitive agreement to acquire Moveworks, which develops front-end AI assistant and enterprise search technology. Once complete, ServiceNow plans to combine Moveworks' technology with its own AI capabilities to drive agentic AI adoption across enterprise business clients. Moveworks is being acquired for a combination of cash and stock totaling $2.85 billion. The acquisition is slated to close in the second half of 2025. [Related: ServiceNow CEO Bill McDermott: 'We're Putting AI To Work For People'] Agentic AI is AI that can autonomously make decisions without continual human interaction. It does so by combining machine learning, natural language processing, and automation to make those decisions. According to the Harvard Business Review, "agentic AI systems promise to transform many aspects of human-machine collaboration, especially in areas of work that were previously insulated from AI-led automation, such as proactively managing complex IT systems to pre-empt outages; dynamically re-configuring supply chains in response to geopolitical or weather disruptions; or engaging in realistic interactions with patients or customers to resolve issues." ServiceNow has been making AI the focus of its Now platform since its Now Platform Vancouver release in the fall of 2023, and has since pushed to make AI agents ubiquitous across the ServiceNow platform and across its customers, including pre-built, ready-to-deploy AI agents for every workflow. This includes its release earlier this year of ServiceNow AI Agent Studio, a new low-code/no-code tool for businesses looking to build their own AI agents. The company in January launched a major focus on agentic AI with an emphasis on three components: AI agents, workflows where Now Assist is embedded, and its Workflow Data Fabric data layer based on its RaptorDB database. Mountain View, Calif.-based Moveworks provides advanced agentic AI support for enterprise teams, with support for over 100 different languages. Moveworks, on its website, claims to have over 350 enterprises using its technology to support over 5 million employees worldwide Moveworks also says it is the only agentic AI platform in the FedRAMP Marketplace. Moveworks customers include Toyota, HP Inc, Nutanix, Spotify, Micron, Databricks, GitHub, Unilever, Marriott, Snowflake, and Broadcom. ServiceNow executives were not immediately available to discuss the acquisition. However, Amit Zavery, president, chief operating officer, and chief product officer at ServiceNow, said in a statement that the acquisition of Moveworks is another "giant leap forward" in ServiceNow's agentic AI-powered business transformation. "As agentic AI and enterprise-grade search forever change how we work, ServiceNow moved early to empower employees through AI. Moveworks' talented team and elegant AI-first experience, combined with ServiceNow's powerful AI-driven workflow automation, will supercharge enterprise-wide AI adoption and deliver game-changing outcomes for employees and their customers," Zavery said. Moveworks is ServiceNow's second AI-focused acquisition in 2025. The company in January unveiled plans to acquire Cuein, a developer of AI-native conversation data analysis and insights.

ServiceNow to acquire Moveworks for $2.85 billion - bridging the gap between AI enterprise search and execution

ServiceNow has announced its acquisition of Moveworks for $2.85 billion, signaling a strategic move to connect AI-driven search capabilities with ServiceNow's workflow automation engine. The deal, expected to close in the second half of 2025, aims to allow employees to not only find information but also complete tasks across departmental boundaries. At the heart of the deal is a fundamental challenge in enterprise AI: systems that can help users find information often struggle to transition from discovery to task completion. Amit Zavery, ServiceNow's president, COO, and chief product officer, highlighted this as the primary rationale for the acquisition: We definitely have a very powerful fulfilment engine. We can complete all the tasks, which a lot of companies struggle with today. [Moveworks] can provide the front-end, but they can't finish the full intent of the user and complete the task. Therefore, by integrating Moveworks' enterprise search capabilities with ServiceNow's workflow automation platform, the company aims to create a complete platform that understands user intent and carries tasks through to completion. Unlike generic AI assistants, Moveworks says that its platform incorporates organizational context and knowledge, including important data security policies. Zavery told diginomica: When you drill down into Moveworks, they have built a very enterprise-centric search, it is not just like a ChatGPT wrapper. It has an understanding of policies, security, governance, what a user can have access to - what is allowed. But also finding information that might be very relevant to that user as well as the employee, based on their roles, location and other things like that. This contextual awareness is already being used by 5 million employees across organizations including Hearst, Instacart, and Toyota, the companies said. A significant focus of the acquisition is improving employee productivity and engagement through AI. By combining search and fulfillment capabilities, ServiceNow aims to create a more seamless employee experience. Zavery said: I think on employee engagement, a lot of people want AI to help with productivity. Provide predictable outcomes, provide a lot more automation and control. Agentic AI even turbocharges that, because now you're able to not just provide information, but also figure out what you need to do to do the task and complete that requirement as well. The idea is that rather than having employees navigate multiple systems or filing tickets, employees could simply ask for what they need and have the AI assistant handle the entire process. The acquisition, however, represents a departure from ServiceNow's traditional approach of organic growth and smaller, tuck-in acquisitions. The company has historically emphasized its "one data model, one platform" approach, with CEO Bill McDermott describing ServiceNow as "playing chess, not checkers", given its lack of desire to use acquisitions as a mechanism for growth. The size and significance of the deal indicate that ServiceNow sees Moveworks capabilities as being significant enough to break from its established playbook. ServiceNow's CTO Pat Casey has previously distinguished between the modest productivity gains from current AI assistants and the transformative potential of autonomous agents capable of handling substantive business tasks. Equally, McDermott told diginomica last year that generative AI (and now agents) will potentially change organizational structures down the line - which is why Moveworks is significant to the vendor, as this provides an AI search engagement layer across the enterprise. If users can not only ask for information, but have tasks fulfilled, from one entry point, this has the potential to change operating models and departmental silos. That being said, it bodes well that ServiceNow claims that the majority of Moveworks' current customer deployments already use ServiceNow as a system of action, with approximately 250 mutual customers. Moveworks has also integrated with over 100 technology systems, which aligns with ServiceNow's broad integration strategy. Zavery said: The combination makes the value to customers happen very fast. ServiceNow has this unique differentiator, which nobody else can do, where we touch every part of the enterprise. We are connected, automated and we understand how to do things with those various systems of records, legacy systems, bespoke systems. So we are the glue inside an enterprise, we are the control plane of AI inside an enterprise. I think that's the use case that you unlock very, very fast. When you search for something and you want to finish the task. We have a lot of understanding of user intent, the user workflow requirements. So you're unlocking everything around sales, customer service, finance, procurement, HR, IT. Every employee engagement and customer engagement becomes unlocked for us now. ServiceNow reports that it already has significant traction with its AI offerings, claiming nearly 1,000 AI customers and surpassing $200 million in annual contract value for its Pro Plus AI solution by the end of 2024. In January, the company announced what it called "an army of thousands of AI-powered agents" alongside orchestration capabilities and development tools. The Moveworks acquisition also adds approximately 500 AI specialists to ServiceNow's team, which is another key piece to why the Moveworks deal is so valuable - AI talent is hard to find and doesn't come cheaply. For buyers, the acquisition signals how ServiceNow wants to move enterprise AI beyond simple assistants toward systems that can autonomously handle complex workflows across departmental boundaries. Agentic AI, workflow automation and enterprise search/employee experience tools (enabled by Moveworks) builds out this strategy more comprehensively. The acquisition represents an interesting inflection for the company. The $2.85 billion price tag - one of ServiceNow's largest acquisitions ever - speaks to the competitive pressure companies are facing in the enterprise AI race. Every major enterprise software vendor, from Microsoft to Salesforce, is building AI assistants to capture the employee interaction layer. ServiceNow has been doing this for some years already, but by acquiring Moveworks, it is once again indicating that it isn't a back-end system that other companies' AI assistants merely call upon. Where ServiceNow holds a distinct competitive advantage - and always has - is that it has long prioritized a strategy of integration across all systems. The vendor's engagement layer spans the whole enterprise, so could prove to be the natural choice for many when considering how to combine AI with getting work done. Pulling in an established AI search vendor that has a strong focus on employee experience, as well as context, whilst also adding hundreds of skilled AI employees to the ServiceNow workforce, could prove to be a savvy move for the company - if it can prove that its 'one data model' approach isn't being compromised. The most significant long-term implication may be how this acquisition, and ServiceNow's broader AI strategy, reshapes organizational structures. If employees can truly initiate and complete cross-departmental workflows through a single AI interface, traditional departmental boundaries - and the teams that maintain them - may change shape. Change management will, of course, be key to the success of this - but we've been waiting to see how new AI models could change operating models beyond marginal efficiency gains. This feels like a step in the right direction.

ServiceNow to extend leading agentic AI to every employee for every corner of the business with acquisition of Moveworks

ServiceNow's agentic AI and automation strengths plus Moveworks' front-end AI assistant and enterprise search technology to accelerate enterprise AI adoption and innovation Together with Moveworks, ServiceNow will drive use of its agentic AI platform across key growth areas including CRM ServiceNow (NYSE: NOW), the AI platform for business transformation, today announced it has signed a definitive agreement to acquire Moveworks. The acquisition will combine ServiceNow's agentic AI and automation strengths with Moveworks' front-end AI assistant and enterprise search technology to unlock new experiences for every employee for every corner of the business. Following closing, together with Moveworks, ServiceNow - with thousands of AI agents already deployed - will continue to drive use of its agentic AI ServiceNow Platform to accelerate enterprise adoption and innovation across key growth areas including CRM. ServiceNow and Moveworks will redefine the value of how to put AI to work, setting a new standard for the future of employee engagement with a powerful universal AI assistant, along with more perceptive AI-based enterprise search, to find fast answers to requests, automate and complete everyday tasks, and increase productivity. The majority of Moveworks' current customer deployments already use ServiceNow as an important system of action to access enterprise AI, data, and workflows, pointing to a seamless integration for the companies. "With the acquisition of Moveworks, ServiceNow will take another giant leap forward in agentic AI-powered business transformation," said Amit Zavery, president, chief operating officer, and chief product officer at ServiceNow. "As agentic AI and enterprise-grade search forever change how we work, ServiceNow moved early to empower employees through AI. Moveworks' talented team and elegant AI-first experience, combined with ServiceNow's powerful AI-driven workflow automation, will supercharge enterprise-wide AI adoption and deliver game-changing outcomes for employees and their customers." "Moveworks hides the complexity employees face at work by giving them an intuitive, engaging starting place to search and drive action across any enterprise system," said Bhavin Shah, co-founder and CEO, Moveworks. "Becoming part of ServiceNow presents an incredible opportunity to accelerate our innovation and deliver on our promise through their AI agent-fueled platform to redefine the user experience for employees and customer service teams." AI agents for all employees increase productivity, create great experiences at work ServiceNow's new AI solution is the fastest-growing product introduction in the company's history. ServiceNow has nearly 1,000 AI customers and has surpassed $200 million in annual contract value (ACV) for its Pro Plus AI solution as of Dec. 31, 2024. With a team of more than 500 AI experts at the forefront of agentic AI architecture and experience, Moveworks has also seen exceptional adoption of its AI assistant with leading Fortune 500 and Global 2000 companies, such as Hearst, Instacart, Palo Alto Networks, Siemens, Toyota, and Unilever. With its new agentic platform growing to nearly 5 million employee users in about 18 months, and nearly 90% of its customers deploying the technology to all of their employees, Moveworks' front-end AI agent and enterprise search services will expand ServiceNow's reach to every requestor in an organization. ServiceNow is already one of Moveworks' more than 100 technology integrations, and the companies have approximately 250 mutual customers. Together, ServiceNow and Moveworks will be the best agentic AI platform in the market. The acquisition builds on ServiceNow's existing tuck-in strategy and ongoing organic growth, and the ServiceNow Platform's built-in agentic AI and decades of leadership in automating complex workflows across departments, systems, and silos to enable employees to achieve even more, faster. In initial integration phases, ServiceNow and Moveworks will deliver a unified, end-to-end search and self-service experience for all employee requestors across every workflow - all from a single entry point. As domain specific AI agents proliferate to accomplish tasks across HR, CRM, finance, IT, and more, ServiceNow's powerful agent orchestration capabilities will connect, analyze and manage AI agents, ensuring agents work in harmony across tasks, systems, and departments. Common use cases with Moveworks include front-end employee automations for sales, CRM, finance, and HR. For example, Moveworks' AI assistant drives the sales cycle "from lead to loyalty." Moveworks' AI assistant has access to up-to-date account information and can nudge salespeople when an account needs attention, such as a contract renewal. Moveworks' AI assistant can also provide instant customer insights like contact details, order history, and open support tickets, so customer service agents can provide faster, more informed service. Routine employee payroll tasks and compensation questions can be handled automatically through simple chats with the AI assistant, and the Moveworks AI assistant can simplify the recruiting process by quickly surfacing open jobs, letting employees refer candidates through chat, and suggesting interview questions aligned with company values and priorities. This strategic acquisition also positions ServiceNow to capitalize on the massive market opportunity ahead. The company plans to further integrate solutions such as CRM and customer service tailored to customer personas to deliver a cohesive sell, fulfill, and service experience on a single platform. By integrating Moveworks' capabilities even further, ServiceNow will accelerate its AI-powered solutions to improve customer interactions. Transaction details Under the terms of the agreement, ServiceNow will acquire Moveworks for $2.85 billion, subject to customary purchase price adjustments, payable in a combination of cash and stock. The transaction is expected to close in the second half of 2025, subject to customary regulatory approvals and closing conditions. J.P. Morgan Securities LLC served as ServiceNow's lead financial advisor. Tidal Partners LLC also served as ServiceNow's financial advisors. Use of forward-looking statements This press release contains "forward‑looking statements" about the expectations, beliefs, plans, intentions, and strategies relating to ServiceNow's proposed acquisition of Moveworks. Such forward‑looking statements include, among others, statements regarding future product capabilities and offerings and expected benefits to ServiceNow and its customers arising from and in relation to the proposed acquisition and the timing of closing of the proposed acquisition. Forward‑looking statements are subject to known and unknown risks and uncertainties and are based on potentially inaccurate assumptions that could cause actual results to differ materially from those expected or implied by the forward‑looking statements. If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, our results could differ materially from the results expressed or implied by the forward‑looking statements we make. We undertake no obligation, and do not intend, to update the forward‑looking statements. Factors that may cause actual results to differ materially from those in any forward‑looking statements include, without limitation, challenges with completion of the proposed acquisition as anticipated, including obtaining regulatory approvals and other conditions to the completion of the proposed acquisition; the effect of the announcement or pendency of the proposed acquisition on Moveworks' business, operating results, and relationships with customers, suppliers, competitors and others; risks that the proposed acquisition may disrupt Moveworks' current plans and business operations; the occurrence of any event, change or other circumstances that could give rise to the termination of the definitive agreement; the outcome of any legal proceedings related to the proposed acquisition; restrictions during the pendency of the proposed acquisition that may impact Moveworks' ability to pursue certain business opportunities or strategic transactions; challenges or delays in assimilating or integrating Moveworks' technology into our platform; challenges retaining employees of Moveworks after the proposed acquisition closes; unanticipated obligations or liabilities related to Moveworks' legacy business; potential adverse tax consequences and the potential effects on the accounting of the proposed acquisition; and disruption to our business and diversion of our management's attention and other resources. Further information on factors that could affect our financial and other results is included in the filings we make with the U.S. Securities and Exchange Commission from time to time. Important information and where to find it This press release relates to a proposed transaction between ServiceNow and Moveworks. ServiceNow will file a registration statement on Form S-4 with the SEC, pursuant to which the offer and sale of common stock of ServiceNow in the proposed transaction will be registered. ServiceNow also will file other documents regarding the proposed transaction with the SEC. INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT AND ALL OTHER RELEVANT DOCUMENTS FILED OR THAT WILL BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. Investors and security holders will be able to obtain free copies of the registration statement, and all other relevant documents filed or that will be filed with the SEC by ServiceNow through the website maintained by the SEC at www.sec.gov. The documents filed by ServiceNow with the SEC also may be obtained free of charge at ServiceNow's website at www.servicenow.com/company/investor-relations/sec-filings.html. No offer or solicitation This press release is for informational purposes only and is not intended to and shall not constitute an offer to buy or sell or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made, except by means of a prospectus meeting the requirements of Section 10 of the U.S. Securities Act of 1933, as amended. About ServiceNow ServiceNow (NYSE: NOW) is putting AI to work for people. We move with the pace of innovation to help customers transform organizations across every industry while upholding a trustworthy, human centered approach to deploying our products and services at scale. Our AI platform for business transformation connects people, processes, data, and devices to increase productivity and maximize business outcomes. For more information, visit: www.servicenow.com. © 2025 ServiceNow, Inc. All rights reserved. ServiceNow, the ServiceNow logo, Now, and other ServiceNow marks are trademarks and/or registered trademarks of ServiceNow, Inc. in the United States and/or other countries. Other company names, product names, and logos may be trademarks of the respective companies with which they are associated. http://www.servicenow.com About Moveworks Moveworks transforms the way businesses operate by providing an agentic AI assistant that connects all enterprise systems. This allows organizations to transform how they operate and simplifies how employees across a company access information, automate tasks, and get support. Currently 350+ large enterprises and over 5 million+ employees rely on Moveworks -- including 10% of the Fortune 500. Customers include Hearst, Instacart, Palo Alto Networks, Siemens, Toyota, and Unilever. The company is based in Mountain View, CA and has offices in Austin, Bangalore, New York, San Francisco, and Toronto.

ServiceNow to buy AI firm Moveworks for $2.9 billion to tap new customers

March 10 (Reuters) - ServiceNow (NOW.N), opens new tab said on Monday it would buy artificial intelligence company Moveworks for $2.85 billion, marking the software maker's largest-ever acquisition as it looks to expand its product portfolio and attract more customers. The cash and stock deal for privately-owned Moveworks comes as enterprises are increasingly adopting AI and investing in automating their IT operations to improve productivity. Moveworks, which offers agentic AI solutions to assist clients, counts chipmaker Broadcom (AVGO.O), opens new tab, cybersecurity company Palo Alto Networks (PANW.O), opens new tab and social media platform Pinterest (PINS.N), opens new tab as its customers. The transaction is expected to close in the second half of 2025, the company said. ServiceNow's "Now Assist" competes with Moveworks' AI chatbot, but they take different approaches. Moveworks focuses on using AI to understand and resolve employee issues through chat. Its chatbot can be integrated with various platforms such as that of ServiceNow, Salesforce's (CRM.N), opens new tab Slack and Microsoft's (MSFT.O), opens new tab SharePoint. On the other hand, ServiceNow integrates AI into its entire service management platform, aiming to streamline workflows and improve overall efficiency. In 2021, Moveworks closed a $200 million in Series C funding round, which took its total funding to $315 million, with a valuation of $2.1 billion. Reporting by Jaspreet Singh in Bengaluru; Editing by Leroy Leo Our Standards: The Thomson Reuters Trust Principles., opens new tab Suggested Topics:Technology