ServiceNow Doubles Revenues in June Quarter and Full Year
SAN DIEGO, Aug. 9, 2011 /PRNewswire/ — ServiceNow, the creators of SaaS for IT, today announced it has passed $125 million in annual recurring revenue as leading industry analysts recognize the company as the fastest-growing, market-share leading cloud service for IT management. ServiceNow recurring revenue increased more than 100 percent from June 30, 2010 to June 30, 2011, marking the sixth consecutive year ServiceNow recurring revenue has at least doubled year over year.
Frank Slootman, ServiceNow CEO, said, “ServiceNow continues to take the IT management software market by storm with more than 100 new enterprise organizations adopting the ServiceNow Platform in the last quarter alone. Anticipating our growth will accelerate, we’ve stepped up our hiring with 130 new recruits around the world in the past 90 days, and expect that pace to continue.”
Headquartered in San Diego, ServiceNow employs more than 400 people today around the world. ServiceNow expects to add another 100 employees by the end of September 2011, many of whom will be located in the new ServiceNow Silicon Valley development center in San Jose, California. ServiceNow will use the San Jose facility to triple the size of the ServiceNow Platform development team in the next 12 months.
The ServiceNow growth trajectory is unmatched in the industry and is driven by demand from enterprise IT organizations for powerfully simple cloud services for IT and the business. As IT organizations embrace the ServiceNow Platform, they also win over the rest of the business through agility and cost efficiency.
According to research from a several leading analyst firms, the overall IT operations management software market managed to sustain only single-digit percentage growth from 2009 – 2010. While the Big Four enterprise software vendors continue to lose market share, other players are making significant gains. The fastest-growing vendors have been ServiceNow, Citrix Systems and VMware. ServiceNow recorded the greatest percentage increase in its revenue in 2010 of 126 percent, all of which was completely organic.
In its Decision Matrix report for IT service management, Ovum research states, “Considered one of the most innovative vendors in the ITSM space, ServiceNow has registered the highest growth rate in the market over the last two years and is set to significantly augment its presence and recognition in the next few years. Ovum believes that ServiceNow has both the vision and the capability to mount a clear and credible challenge for market leadership.”(1)
According to Elizabeth Nelson, quantitative services analyst with The 451 Group’s Market Monitor, ServiceNow is the 2011 market leader in the IT management as a service market (ITMaaS) out of more than 60 tracked vendor participants. Nelson said, “As one the first movers in the ITMaaS market, ServiceNow is in a prime position to benefit from the cloud computing movement and continue to be a driving force within the ITMaaS market.”(2)
Additional ServiceNow FY 2011 company highlights include:
- Frank Slootman selected as CEO and Fred Luddy named chief product officer;
- More than 120 percent subscription renewal rate as customers succeed with and expand use of the ServiceNow Platform as a service (PaaS) to automate all areas of the business;
- More than two dozen awards including recognition from The Wall Street Journal, Ernst & Young, Gartner, Computerworld, Pink Elephant, Ovum, TechWorld, American Business Awards, etc.;
- Jeff Miller and Bill Strauss join the ServiceNow board of directors;
- Three major releases, with numerous new SaaS applications including social IT, runbook automation for cloud management, project and portfolio management, software development lifecycle management, IT governance, risk and compliance, etc.;
- Knowledge11 attracts 1000 people to San Diego and becomes the leading cloud computing conference for IT professionals.
Now almost 800 enterprise customers use ServiceNow to help provide better IT service for more than six million end users around the world. Companies that selected ServiceNow cloud services within the last couple of quarters include: Adecco, Ancestry.com, Allianz Global Investors of America, Allina Health, Aramark, Armstrong World Industries, Australian Sports Commission, Bain Capital, Barclays, Bio-Rad Laboratories, BlueCross BlueShield of Vermont, BNP Paribas, Boston University, Braun, CERN, Ciena, Cinemark, Collective Brands, Columbia University, Cushman & Wakefield, Delphi, Discount Tire, Dundee Wealth, Eastman Kodak, Enterprise Rent-A-Car, Europcar, Fermenich, Fermi National Accelerator Laboratory, First Niagara Financial Group, Getty Images, Gibson Energy, Hanover Insurance, Health Resources Services Agency, Hearst, Hilti, The Home Depot, ING Bank of Canada, Jabil Circuit, JM Family Enterprises, Kelly-Moore Paint, Kronos, Lafarge North America, Lands’ End, Las Vegas Sands, Lawrence Berkeley National Laboratory, Legg Mason, Lifetime Fitness, LL Bean, Lower Colorado River Authority, McDonald’s, Mettler-Toledo, National Labor Relations Board, National Renewable Energy Lab, Navy Engineering Logistics Office, Neste Oil, Netflix, NHS, Nintendo, NIST, Novant Health, Otterbox, Pepperidge Farm, Quintiles, RealNetworks, RR Donnelley, Saint Gobain, SanDisk, Scholastic Corporation, Scripps Networks, Shane & Company, Skype, SOITEC, Spectrum Brands, State of Geneva, Sterling Jewelers, Sun Life Financial, Tag Heuer, Takeda Pharma, Tegut, The Irvine Company, Timberland, TNT Express, Trelleborg Sealing, UBS, Under Armour, University of British Columbia, University of Kansas, University of Minnesota, Waggener Edstrom, Wesfarmers, WestJet, Xilinx, etc.
To learn more about cloud services for IT and an evolved approach to ITSM, please join ServiceNow and Malcolm Fry for a webinar titled, “Making ITIL Work for You,” on Wednesday, Aug. 10, 2011 at 8 am Pacific. Alternatively, a live, no-registration-required instance of ServiceNow is always available at http://demo.service-now.com/
ServiceNow was created to break all the old rules of enterprise IT management software. Born in the cloud, ServiceNow makes IT immediate, social and intuitive. From the beginning, the company set out to give IT people powerfully simple cloud services that just work. Today, the world’s most recognizable and innovative companies rely on SaaS from ServiceNow to transform IT to achieve IT 3.0. Founded in 2004, ServiceNow is recognized by industry analysts as the fastest-growing IT management software vendor and as the undisputed market share leader in SaaS for IT. For more information, please visit http://www.service-now.com or http://blog.service-now.com.
(1) Ovum, “Decision Matrix: Selecting an IT Service Management Vendor,” Nishant Singh, Tim Gower and Stephen Mann, March 2011.
(2) The 451 Group, “Cloud Computing, Segment Focus: IT Management as a Service,” Elizabeth Nelson and Greg Zwackman, June 2011.