ServiceNow Overview

ServiceNow

Introduction

The robust collection of web services and products offered by ServiceNow includes everything that your company could ever require in order to consolidate all of its information technology solutions under one extremely capable umbrella. ServiceNow is a company that offers particular IT solutions. It lets you manage projects and workflow, handle important HR tasks, and make customer service and interaction more efficient. A wide range of plug-ins and apps, as well as a comprehensive set of its web services, help it accomplish all of this. Fred Luddy laid out this organization in 2004 and has its central command in the US.

History

 Fred Luddy, the former CTO of software companies Peregrine Systems and Remedy Corporation, started ServiceNow as Glidesoft, Inc. in 2003. In 2004, ServiceNow was incorporated in California. Prior to 2002, he held the position of CTO for San Diego-based enterprise software company Peregrine Systems. When Luddy started the business, he wanted to provide the same services that Peregrine Systems had previously offered.

Luddy was the sole employee up until the middle of 2005, when he focused on creating the software that the company would offer. After that, the company made its first five hires and secured venture financing in the amount of US$2.5 million from JMI Equity. The business was renamed ServiceNow in 2006. In 2007, ServiceNow opened their first Silicon Valley office in San Jose and announced annual revenue of US$13 million. Additionally, the company “went cash flow positive” for the first time in 2007.

The business had 275 employees in its offices in San Diego, Chicago, New York, Atlanta, London, and Frankfurt as of January 2011, in addition to a partnership with Accenture that included over 100 ServiceNow consultants. The business was sometimes referred to as “Service-now” at this time. Frank Slootman was appointed as the company’s chief executive officer in April 2011.

Following an initial public offering for US$210 million in June 2012, ServiceNow became a publicly traded company. The business moved its headquarters from San Diego to Santa Clara, California, shortly after. One month after they made Facebook public, Morgan Stanley made it available to the public. The company announced in October 2019 that Bill McDermott, formerly CEO of SAP SE, would take over as CEO at the end of the year.

Acquistitions

26 investments and 25 acquisitions have been made by ServiceNow. The acquisitions have cost the company more than $716 million. ServiceNow has made investments in a variety of industries, including Big Data Analytics, AI Infrastructure, IT Operations, and more.

Software developer Mirror42 was acquired by ServiceNow in July 2013. It purchased Neebula Systems, a cloud computing tools company based in Israel, in July 2014. Intréis was acquired by ServiceNow in February of 2015. Brightpoint Security was acquired by ServiceNow in June of 2016. DxContinuum, a startup in machine learning, was acquired in January 2017.

Telepathy, a San Diego-based human-centered design firm founded in 2001, was acquired by the company in October 2017. The Design Experience Organization, ServiceNow’s internal design agency, doubled in size as a result of the acquisition. Microsoft Ventures-backed enterprise mobility company SkyGiraffe was acquired by ServiceNow in October 2017. Boaz Hecht and Itay Braun started SkyGiraffe. ServiceNow’s Mobile Platform, which was released in March 2019, was built on SkyGiraffe.

Software-as-a-service management firm VendorHawk was acquired by ServiceNow in April 2018, also Parlo, an AI startup, was acquired in May 2018, and FriendlyData, a data analytics company, was acquired in October 2018, later that year.

In the year 2019, an analytics startup that helped app developers comprehend how users interact with their mobile apps was acquired by ServiceNow in May. Also, in November, Fairchild Resiliency Systems was acquired.

ServiceNow announced that it will acquire Loom Systems, Passage AI, and Attivio in 2020. Sweagle’s acquisition by ServiceNow was made public in June of the same year. Additionally, ServiceNow announced its intention to acquire Element AI in November 2020.

ServiceNow made the acquisition of Intellibot public in March 2021. It made the acquisition of Lightstep public in May. Swarm64 and Mapwize were announced as being acquired by ServiceNow in August. And in October 2021, it announced its acquisition of Gekkobrain. Hitch’s acquisition by ServiceNow was recently announced in June 2022.

Business Model

As a platform-as-a-service provider, ServiceNow supports large corporations’ IT operations with technical management services like IT service management and help desk functionality. It is a cloud-based platform that makes it easy to integrate older software. The stage offers associated advanced work processes that make work turn out better for individuals and business activities. Its service apps give employees the information they need to perform at their best and increase productivity.

ServiceNow’s IT and enterprise support system, which is networked and easy to use, can be used in any department of an organization. Every department, from human resources and security to customer service, marketing, legal, finance, and facilities, can be connected through its services to a single online database for information analysis and action. ServiceNow uses digital workflows to replace manual methods of operation. It makes service requests, routine tasks, and interactions with other departments simpler and quicker.

ServiceNow enables users to access and utilize metrics, tasks, services, assets, people, locations, and information spanning the entire organization from a single user portal by utilizing a single data source. It eliminates the usual difficulties associated with data integration. A single data source underpins every platform application, including those developed by customers. Powerful workflows can be created by utilizing an intelligent automation engine that connects human processes and automated processes.

The foundation of ServiceNow is a cutting-edge cloud infrastructure that is extremely scalable. Scalability is unrestricted in a clustered application and database server architecture. ServiceNow CMDB supports and expands with businesses of all sizes, from those with 20 employees to thousands. In addition to custom applications and application integrations, the platform supports your implementations with industry-leading features and services in a safe and reliable environment. Security, protection, and consistency are essential to all organizations, and Servicenow guarantees this.

The management of “incident, problem, and change” IT operational events is the core of the company’s business. Their pricing structure was based on the cost per user per month, which ranged from US$100. “Orlando,” a version of ServiceNow’s cloud software that incorporates artificial intelligence technology to address real-world issues, was released in March 2020.

Products

Although ServiceNow is frequently referred to as a single platform, it can actually be broken down into three main components: the Now Platform, the Nonstop Cloud, and the various Cloud Services that make up its service offering in the end.

The cloud infrastructure of ServiceNow is referred to as the “Nonstop Cloud,” and as the name suggests, it is always accessible to customers and users. It boasts that no customer instance will ever be offline or taken offline for any reason. Additionally, ServiceNow’s multi-instance model enables you to tailor your cloud services to your specific requirements and carry out upgrades at a time that is convenient for your business. It is also committed to ensuring that its Nonstop Cloud is highly secure and compliant with international regulations. It is also scalable and has the ability to provide instance redundancy between every location’s data centers.

With the Now Platform, you can use your ServiceNow cloud services or custom apps with multiple primary capabilities and reusable components. The Now Platform powers every aspect, allowing anyone in the company to quickly develop new applications. Proactive service is encouraged thanks to service catalogs and real-time notifications, and various groups and departments can easily assign and prioritize work.

Cloud services are the final aspect of ServiceNow’s web products. These fall into the following five categories:HR, IT security, customer service, and business apps are all included. These five aspects make up the real core services that have made ServiceNow so popular—it now has 17 million users worldwide.

Key Financials

• ServiceNow generated $5.896 billion in annual revenue in 2021, a 30.47% increase from 2020. The twelve months ending September 30, 2022 saw an increase of 25.11 percent in revenue for ServiceNow, reaching $6.920 billion.
• ServiceNow made $0.257 billion in annual operating income in 2021, a 29.15 percent increase from 2020. Operating income decreased by 2.08% year-over-year to $235 million for the twelve months ending September 30, 2022.
• Net income for ServiceNow in 2021 was $0.23 billion, a 93.28% increase from 2020. The twelve months ending September 30, 2022 saw a 9.05 percent decrease in net income, which was $201 million.
• The total assets of ServiceNow in 2021 totaled $10.798 billion, a 23.9% increase from 2020.
• Shareholder equity for ServiceNow in 2021 was $3.695 billion, up 30.38 percent from 2020.
• ServiceNow had a total of 16,881 employees as of December 2021.