How AI and cybersecurity are reshaping ServiceNow
Brief
The once stable era of IT service management (ITSM) has entered a period of disruption and uncertainty. At least if you’re an investor or enterprise customer with an interest in ITSM giant ServiceNow, the signals over recent months have been hard to ignore.
Last year, the category leader delivered market-pleasing AI announcements, a record share price, and good quarterly revenue growth, as well as an interesting pivot toward cybersecurity with the December acquisition of partner Armis for $7.75 billion in cash.
But as the calendar turned to 2026, the phrase “Saas apocalypse” started to gain traction, and market sentiment about SaaS incumbents suddenly melted away, causing ServiceNow’s share price to drop 30% by mid-2026, albeit from historic highs.