ServiceNow and Salesforce Compete to Lead Agentic AI Market

Enterprise software leaders ServiceNow, Inc. and Salesforce are competing to dominate the agentic AI market. ServiceNow, Inc. has pivoted its core workflow automation business to help customers deploy and manage AI agents, reporting second-quarter revenue of nearly $4 billion and a 21% increase in remaining performance obligations to $13.2 billion. The company projects subscription revenue will grow from $15.7 billion this year to at least $30 billion by 2030.

Salesforce has countered by introducing Agentforce, with its AI agents completing 3.8 billion tasks as of the first quarter of fiscal year 2027. While Salesforce is growing more slowly, guiding for 10% to 11% revenue growth this year, it has acquired Informatica to bolster its position.

Both companies have faced significant market volatility, with shares sitting approximately 51% to 60% below previous highs. ServiceNow, Inc. currently trades at a higher valuation than Salesforce, though analysts consider it a better value than other AI firms. ServiceNow, Inc. CEO Bill McDermott maintains that the increasing frequency of AI incidents and adoption will drive higher business volume for the company.