ServiceNow Inc at Goldman Sachs Communacopia & Technology Conference Summary

The following is excerpted from the question-and-answer section of the transcript.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Now with that, with that soft ball, people ask me, why is Bill always bullish? Why are you always bullish?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Care to expand more?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Yes.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : You taught to me to dream big.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : And you asked me -- I will not mention the name of the stock, but 2007, June 29, you said, What stock should I buy? And like I was blown away by the trust you had me. I mentioned the name of a company that had a fruit thing in -- they were releasing the first smartphone or something. And you said, I bought it. I said, Oh my God, he did it. Now I got to take everything that I recommend seriously. So tell us where do you want ServiceNow to be in five years? What are your long-term aspirations for the company?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : That's a bold statement.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : You're welcome back to the intervening years of this conference, and we're going to see 2029 when you're back to market. You guys remember this, okay.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Thank you.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Yes. Great. Bill, you talk to customers all the time. What is -- what's your feel for the pulse of what they're thinking about? It's already fall of this year? What are they thinking about calendar '25, budget expectations, priority?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : That's great. When you look at what's been going on with generative AI, it's largely -- Jensen Huang was earlier today up on stage here. He did mention your company. I don't think he mentioned any other stuff. He talked about employee workflows, customer workflows being built on ServiceNow. So that's infrastructure. A lot of the money has gone to infrastructure. When do you think GenAI moves to the application layer?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : So if you want to make a sale to Goldman Sachs, our CEO is actually here.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Bill, what's your vision for Now Assist? In terms of net new ACV, there was a big increase in second quarter. Where do you see this going?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : The CTO of Microsoft was sitting here yesterday.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Like Stephen Curry.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : I get pushed back from investors. And hey, the GenAI thing, is it really a business use case? How are customers getting value out of it? I know you've deployed it internally. Can you drill into one or two customers that have deployed GenAI with ServiceNow have gotten meaningful savings that are impacting their bottom line?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Some would say it's build salesmanship, but there's got to be excellent product? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 11, 2024 / 5:48PM, NOW.N - ServiceNow Inc at Goldman Sachs Communacopia & Technology Conference

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Bill, you talked about the savings from call deflection and whatnot. As you talk to your customers, getting these savings from generative AI, are they saying, okay, I don't need to hire as many people because this thing is saving me money. Or are they saying, I don't want to plant the other thing. But how are they looking at it? Are they looking to cut costs, cut down employment?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : And you have broader touch therefore, what does this mean for the employment market in customer support and sales and marketing? Is AI going to take away our jobs?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : That's great. Powerful. Tell us about your partnership with Microsoft, the Now Assist working with Office Copilot? And also, if you can, how is the Microsoft Copilot thing going for ServiceNow internally?

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Next year, when you come back, everybody will have an agent.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : You can actually ask the agent to take notes, and you can actually listen and enjoy the conference. So on that note, Bill, it's great to have you with us.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : We hope you come back again next year.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : And the year after, and the year after.

Question: Kasthuri Rangan - Goldman Sachs - Analyst : Let's give him a round of applause.