While Indian IT companies continue to experiment with pilots and proof-of-concepts, ServiceNow is already translating generative AI into substantial revenue growth. In its second quarter, the California-based software leader reported $3.11 billion in AI subscription revenue, marking a 23% year-over-year increase driven by the rapid adoption of its Now Assist platform. “Every business process in every industry is being refactored for agentic AI,” summed up CEO Bill McDermott, highlighting the transformative impact of AI across sectors.
ServiceNow’s CFO Gina Mastantuono shared that bookings for Now Assist “surpassed expectations,” with AI capabilities integrated throughout the platform and deal volumes surging 50% quarter-over-quarter. Notably, the company secured its largest Now Assist AI contract to date, valued at over $20 million, and 21 deals in Q2 included five or more AI products. “We’re the only company that has AI plus data plus workflows on one platform… a huge differentiator,” Mastantuono told CRN, emphasizing the unique value proposition ServiceNow offers.
In sharp contrast, Indian IT giants such as Tata Consultancy Services and Infosys have highlighted AI deployments among clients but have offered limited insight into tangible returns. Wipro integrates AI into many projects but has not disclosed specific revenue from it, while HCLTech promoted its OpenAI collaboration despite experiencing profit declines. Meanwhile, ServiceNow expanded its customer base to 528 clients with contracts exceeding $5 million and added six new US federal government accounts despite challenges in the sector.
With projections estimating Now Assist’s annual contract value to reach $1 billion by 2026—up from $250 million currently—ServiceNow’s AI growth trajectory appears robust and accelerating. “Every major region beat expectations,” Mastantuono noted, underscoring the global momentum behind their AI strategy.
For Indian IT firms, which remain largely in the experimentation phase of AI adoption, ServiceNow’s commercial success serves as a stark reminder of the need to move beyond pilots and deliver measurable AI-driven business outcomes. The message is clear: the era of AI experimentation is over, and it’s time to focus on real revenue generation.
