ServiceNow Expands Platform to Govern Enterprise AI Agents

ServiceNow is expanding its workflow automation platform to provide enterprises with tools to control and govern AI agents. The company reports strong demand for its Now Assist AI product, which saw a 130% year-over-year increase in customers spending $1 million or more. Subscription revenue grew 22% year over year, and the company's backlog has reached nearly $28 billion.

These growth metrics come despite a stock price decline of nearly 42% from its peak, driven by investor fears regarding AI disruption. The company's expansion coincides with a broader market trend involving $700 billion in AI data center spending in 2026, though analysts warn of a potential AI bubble similar to the dot-com era as a few mega-cap stocks drive S&P 500 record highs.