ServiceNow (NOW) Grows Enterprise AI Heft With Microsoft Deal

We recently published 10 Best Strong Buy AI Stocks to Invest In.  ServiceNow, Inc. (NYSE:NOW) is one of the best consumer cyclical stocks.

ServiceNow, Inc. (NYSE:NOW) is a software company that allows businesses to streamline their workflows. It also plays a key role in the enterprise AI segment through its ServiceNow AI service that enables users to combine AI data and AI workflows under a single roof.

ServiceNow, Inc. (NYSE:NOW) has gradually been expanding its partnership with software giant Microsoft in 2025. The latest development on this front came on November 18th when the firm announced that its AI Control Tower and Build Agent would work with Microsoft’s AI Foundry, Copilot Studio, and GitHub. The announcement is a major move forward for ServiceNow, Inc. (NYSE:NOW) as it allows the firm’s business customers to maintain their automation and workflow management while using AI to access Microsoft’s services should they require to do so.

ServiceNow (NOW) Grows Enterprise AI Heft With Microsoft Deal

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“By seamlessly connecting agentic orchestration and governance across ServiceNow and Microsoft, we’re giving organizations the power to manage and monitor intelligent agents that deliver real work and real impact — safely and at scale. This is how we move from isolated AI experiences to enterprise-wide automation, delivering trust, control, and ROI,’ said ServiceNow, Inc. (NYSE:NOW)’s executive vice president and general manager, AI Platform, Jon Sigler.

ServiceNow, Inc. (NYSE:NOW)’s deal with Microsoft enables it to gain deeper traction in the enterprise workflow AI market. This penetration was not left unnoticed by Columbia Threadneedle Investments, as it commented in its third quarter investor letter:

ServiceNow, Inc. (NYSE:NOW) underperformed during the quarter after the company provided guidance that investors viewed as cautious, and caused concern that renewal deals from large clients were being pushed out. The company’s AI innovations are gaining traction and support the company’s strategic positioning as a next-gen workflow and AI orchestration platform.”

While we acknowledge the risk and potential of NOW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NOW and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.