Amid investor debate over artificial intelligence’s threat to enterprise software, ServiceNow President and CFO Gina Mastantuono said companies need clear policies for deploying the technology.
In an interview, Mastantuono said, “Every business and industry needs a harness for AI.” She characterized as false the claim that AI is disrupting enterprise software.
CNBC attributed ServiceNow’s 27% share decline Thursday to the quarterly results and renewed investor concern about AI’s competitive effect on established software companies. EconoTimes previously covered the post-earnings share decline.
ServiceNow reported third-quarter revenue of $4.106 billion, up 20.5% from a year earlier, and raised its 2026 outlook. The company forecast fourth-quarter growth of 18.5% in current remaining performance obligations (cRPO), in constant currency, compared with 21% growth in the third quarter, also in constant currency. cRPO represents contracted work ServiceNow expects to recognize as revenue over the coming year. EconoTimes previously reported on the company’s contract-growth outlook.
CNBC reported that net new AI average contract value rose 65%. Separately, ServiceNow’s third-quarter release set its AI annual contract value target at $1.7 billion, up 70% from the start of the year. The figures refer to distinct contract-value measures.
