Vetted by NeuralPress's Multi-Agent Verifier for strict factual validity and event relevance. Our compliance engine cross-checks and filters search results to ensure zero false correlations or misleading content.
ServiceNow Revenue Growth Forecast
Projected growth in annual subscription revenue from 2026 to 2030.
Primary Sources
ServiceNow lays out path to $30 billion in annual subscription revenue ...
Gina Mastantuono, President and Chief Financial Officer of ServiceNow. Leigh Vogel/Getty Images for Fortune Media 2026-05-04T23:01:01.216Z ServiceNow aims to double subscription revenue to $30 billion by 2030. ServiceNow's Now Assist product surpassed $750 million in annual contract value, its CFO said. ServiceNow CFO Gina Mastantuono reassures investors on AI and forecasts robust profit margins. ServiceNow made a more forceful case to investors that it can thrive in the age of AI, outlining long-term financial targets and early signs of traction on Monday. During a meeting with analysts, ServiceNow President and CFO Gina Mastantuono said the company is targeting more than $30 billion in subscription revenue by 2030, up from an expected $15.7 billion in 2026. There's potential upside to more than $32 billion, implying a roughly 20% compound annual growth rate, the CFO added.ServiceNow also pushed back on concerns that AI could erode profit margins. The company said AI reasoning accounts for less than 10% of its cost to serve, helping it maintain gross margins above 80% even as AI usage rises.Mastantuono also forecast operating margin and free cash flow margin expansion of 100 basis points in 2027. By 2030, ServiceNow aims to reach a "Rule of 60+," a high bar that combines at least 60% revenue growth and 60% free cash flow margins.Shares of many software stocks have plunged in the past year on concern that generative AI tools could reduce demand for software and help customers create their own software to replace traditional offerings. The new forecasts from ServiceNow are aimed at reassuring investors that AI is not a threat to its business and could instead become a major growth driver. The update comes after a solid first quarter from ServiceNow in which subscription revenue rose 22% year over year to $3.67 billion. Still, the stock fell following that earnings report on concerns about AI's impact, margins, and deal delays due to the Middle East conflict.A central piece of ServiceNow's new pitch is AI monetization. On Monday, the CFO said its Now Assist product, a flagship AI offering, surpassed $600 million in annual contract value (ACV) in 2025 and has exceeded $750 million as of the first quarter of 2026. The company expects that figure to top $1.5 billion by the end of this year and account for more than 30% of total ACV by 2030.The data suggests AI is increasingly embedded in larger ServiceNow deals. In 2025, 91% of net new ACV came from custo...
NOW's AI-Driven Subscription Growth Accelerates: More Upside Ahead?
ServiceNow posts 22% subscription growth to $3.67 billion and lifts 2026 outlook as AI monetization and pricing shifts fuel larger deals and renewals.
ServiceNow AI Revenue Targets and Pricing Shift Highlighted in xtype Analysis - TipRanks.com
The post notes that ServiceNow reported subscription revenue of $3.671 billion, representing 22% year-over-year growth, and highlights that Now Assist customers spending over $1 million grew more than 130% year over year.
ServiceNow Investor Day 2026: The Gap Between Priced-In Skepticism and AI Reality
If ServiceNow can't solve predictable AI monetization beyond consumption metrics, the market has reason to remain cautious about long-term margin expansion. Then there's the scale question.
