ServiceNow’s Strategic Focus on India and Agentic AI Growth

ServiceNow identifies India as its fastest-growing market beyond the US, driven by automation demands in various industries. The company operates extensively in India with a large engineering workforce dedicated to developing agentic AI solutions. The market for such technologies is expected to grow significantly by 2030. Despite concerns about adoption, customer interest remains high, with potential applications across multiple sectors.

ServiceNow, a provider of AI-driven software solutions, regards India as one of its fastest-growing markets outside the United States. This assertion is particularly notable as clients in sectors such as financial services, telecommunications, and healthcare are increasingly automating operations to enhance efficiency and reduce costs. In addition to India, ServiceNow identifies Mexico and Brazil as other key high-growth markets, where it is collaborating with public sector institutions to digitize citizen services.

Amit Zavery, President and Chief Product Officer at ServiceNow, indicated that India boasts a double-digit growth rate, positioning it as the company’s fastest-growing global market. He anticipates India will soon become the leading market within the Asia-Pacific region. Remarkably, nearly 20% of ServiceNow’s workforce, translating to over 5,200 employees, is based in its engineering facilities in Bengaluru and Hyderabad, where a significant 40% of the company’s product engineering is conducted.

The engineering teams in India are extensively involved in developing agentic AI, particularly through the use of low-code tools in AI studios. This component of their work includes various aspects such as cybersecurity, incident management, and enhancing user experiences. Mr. Zavery, who previously led Google Cloud, highlighted the substantial contributions of India’s engineering centers to these initiatives.

ServiceNow is making significant investments in agentic AI, recognizing it as a pivotal area for future growth. This technology is integral to the company’s platform, aiming to enhance efficiency, reliability, and real-time decision support. The market for agentic AI is projected to burgeon to approximately $47 billion by 2030, a significant increase from last year’s $5 billion figure.

Despite potential hesitations from enterprises in adopting GenAI and agentic AI due to uncertain returns and necessary structural adjustments, Mr. Zavery remains optimistic. He stated, “What our customers see with agentic AI is a game changer in terms of automation, predictability, efficiency, accuracy, and customer experience.” Zavery reported that 50% of customers globally are eager to adopt AI technologies this year, emphasizing the transformative potential of agentic AI for enterprise operations.

He further elaborated on the potential applications of agentic AI, particularly in sectors like legal services, where it could streamline contract management processes. ServiceNow, which counts organizations such as Infosys and Cognizant as clients, collaborates with Visa to optimize their payment fraud detection and dispute management, utilizing AI to validate claims and automate workflows efficiently.

In summary, ServiceNow recognizes India as a vital market for its AI-driven software solutions, anticipating continued growth. The company’s focus on agentic AI as a cornerstone for enterprise efficiency highlights its commitment to innovation. Despite challenges in adoption, interest among customers is strong, signaling a promising trajectory for both ServiceNow and the broader AI landscape. The significant work being accomplished in India underscores the country’s pivotal role in shaping the future of AI in enterprise applications.

Original Source: www.business-standard.com