Servicenow Says Half of New Business Isn't Seat-based Pricing

Dow Jones

Jul 23

About half of ServiceNow's net new business isn't using a seat-based pricing model, CEO Bill McDermott says on a Wednesday call with analysts. Software companies have been shifting away from the model, which is seen by analysts as ill-suited for artificial-intelligence agents compared with outcome- or consumption-based models. Still, ServiceNow is keeping its seat-based offerings, he says, "because customers prefer it for predictability." McDermott also brushes off the risk of do-it-yourself AI agents sidestepping ServiceNow's business. "The best tech leaders know," he says. "It will cost 5x to 10x to build an agent versus run one on ServiceNow." Shares gain 4.5% after hours. (elias.schisgall@wsj.com)

(END) Dow Jones Newswires

July 22, 2026 18:40 ET (22:40 GMT)

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One of the best stock trading platforms in Singapore.","ogImage":"https://c1.itigergrowtha.com/portal5/static/media/og-logo.be62fbe1.png","ogUrl":"https://www.itiger.com/news/2653916047"},"companyName":"Tiger Brokers"},"pageData":{"isMobile":false,"isTiger":false,"isTTM":true,"region":"SGP","license":"TBSG","edition":"fundamental"},"isCrawlerRequest":true,"__swrFallback__":{"@#url:\"https://stock-news.skytigris.cn/v3/news\",params:#id:\"2653916047\",edition:\"fundamental\",auth_exemption:1,,,undefined,":{"share":"https://ttm.financial/m/news/2653916047?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2026-07-23 06:40","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2653916047","market":"us","top_or_hot":-1,"title":"Servicenow Says Half of New Business Isn't Seat-based Pricing","media":"Dow Jones","content":"<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n  About half of <a href=\"https://laohu8.com/S/NOW\">ServiceNow</a>'s net new business isn't using a seat-based pricing model, CEO Bill McDermott says on a Wednesday call with analysts. Software companies have been shifting away from the model, which is seen by analysts as ill-suited for artificial-intelligence agents compared with outcome- or consumption-based models. Still, ServiceNow is keeping its seat-based offerings, he says, \"because customers prefer it for predictability.\" McDermott also brushes off the risk of do-it-yourself AI agents sidestepping ServiceNow's business. \"The best tech leaders know,\" he says. \"It will cost 5x to 10x to build an agent versus run one on ServiceNow.\" Shares gain 4.5% after hours. (elias.schisgall@wsj.com) \n</p>\n<pre style=\"white-space: pre\">\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  July 22, 2026 18:40 ET (22:40 GMT)\n</p>\n<p>\n  Copyright (c) 2026 Dow Jones &amp; Company, Inc.\n</p>\n</font>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Servicenow Says Half of New Business Isn't Seat-based Pricing</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nServicenow Says Half of New Business Isn't Seat-based Pricing\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2026-07-23 06:40</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n  About half of <a href=\"https://laohu8.com/S/NOW\">ServiceNow</a>'s net new business isn't using a seat-based pricing model, CEO Bill McDermott says on a Wednesday call with analysts. Software companies have been shifting away from the model, which is seen by analysts as ill-suited for artificial-intelligence agents compared with outcome- or consumption-based models. Still, ServiceNow is keeping its seat-based offerings, he says, \"because customers prefer it for predictability.\" McDermott also brushes off the risk of do-it-yourself AI agents sidestepping ServiceNow's business. \"The best tech leaders know,\" he says. \"It will cost 5x to 10x to build an agent versus run one on ServiceNow.\" Shares gain 4.5% after hours. (elias.schisgall@wsj.com) \n</p>\n<pre style=\"white-space: pre\">\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  July 22, 2026 18:40 ET (22:40 GMT)\n</p>\n<p>\n  Copyright (c) 2026 Dow Jones &amp; Company, Inc.\n</p>\n</font>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU2087625088.SGD","symbol_name":"ALLSPRING  US ALL CAP GROWTH \"A\" (SGDHDG) ACC","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2653916047","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2653916047","pubTimestamp":1784760000,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"About half of ServiceNow's net new business isn't using a seat-based pricing model, CEO Bill McDermott says on a Wednesday call with analysts. Software companies have been shifting away from the model, which is seen by analysts as ill-suited for artificial-intelligence agents compared with outcome- or consumption-based models. Still, ServiceNow is keeping its seat-based offerings, he says, \"because customers prefer it for predictability.\" McDermott also brushes off the risk of do-it-yourself AI agents sidestepping ServiceNow's business. \"The best tech leaders know,\" he says. \"It will cost 5x to 10x to build an agent versus run one on ServiceNow.\" Shares gain 4.5% after hours.  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Software companies have been shifting away from the model, which is seen by analysts as ill-suited for artificial-intelligence agents compared with outcome- or consumption-based models. Still, ServiceNow is keeping its seat-based offerings, he says, \"because customers prefer it for predictability.\" McDermott also brushes off the risk of do-it-yourself AI agents sidestepping ServiceNow's business. \"The best tech leaders know,\" he says. \"It will cost 5x to 10x to build an agent versus run one on ServiceNow.\" Shares gain 4.5% after hours. (elias.schisgall@wsj.com) \n\n\n \n\n\n  (END) Dow Jones Newswires\n\n\n  July 22, 2026 18:40 ET (22:40 GMT)\n\n\n  Copyright (c) 2026 Dow Jones & Company, Inc.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":true,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"isVideo":false,"video":null,"symbols":[],"gpt_button":0,"need_auth":true,"need_login_tip":false,"code":"91000000","status":"200"}}}