"We started applying artificial intelligence to develop products and completely innovate our service methods four years ago. AI is actually an excellent opportunity for software companies like ServiceNow to shine."
Amit Zavery, President and Chief Product Officer of ServiceNow, directly refuted the "SaaS-pocalypse" — the AI-driven software crisis theory — in an interview with The Seoul Economic Daily in San Francisco on Wednesday.
ServiceNow is a software-as-a-service (SaaS) company that provides workflow management efficiency systems for enterprises. It is considered a SaaS leader alongside Salesforce, IBM, Oracle, and SAP. Its 8,800 clients worldwide include corporations across various industries such as Walmart, Microsoft, and JPMorgan Chase, as well as government agencies including the U.S. Department of Defense. ServiceNow reported revenue of $12.9 billion (approximately 19 trillion won) last year and has been expanding its business in Korea since establishing a local subsidiary in 2019. Zavery, who joined ServiceNow in October 2024, oversees all products and company operations alongside Chairman Bill McDermott.
Earlier this year, when AI developer Anthropic released its enterprise AI agent "Claude Coworker" — a model that reasons independently and executes tasks — major SaaS company stocks plummeted 30-40% within three months. The decline came amid predictions that companies would stop paying expensive monthly software subscription fees thanks to relatively cheaper AI alternatives.
When asked about this situation, Zavery said a shakeout will intensify going forward and companies that quickly adapt to AI will attract attention. "There are many companies that don't understand AI or just add supplementary features to existing services and call it AI," he noted. "These companies will suffer."
