ServiceNow (NOW) AI Business Surpasses $1 Billion in 2023

ServiceNow (NYSE:NOW) achieved over $1 billion in annual contract value (ACV) for its AI products during the second quarter of 2023, a segment expected to grow. The company anticipates total subscription revenue of nearly $16 billion this year. ServiceNow also raised its subscription revenue guidance to between $15.76 billion and $15.78 billion. This growth reflects a 24.5% increase in subscription revenue year over year and a nearly 40% rise in high-value deals signed, which may be attractive for investors looking for strong growth in the AI sector.