Question · Q3 2025
Keith Spackman asked about the acceleration of the security business as it crossed the $1 billion ACV threshold, including benefits from AI, and whether the previous 2026 margin guidance (plus 100 for operating, plus 50 for free cash flow) still holds on the higher base.
Answer
President, CPO, and COO Amit Zavery confirmed that AI is a significant tailwind for security, as companies seek to manage, secure, and control AI proliferation, driving demand for automated resolution and risk management. He noted the AI Control Tower's role in this. CFO and President Gina Mastantuono stated that the 2025 margin raises accelerate the trajectory for margin accretion, but she would provide more specifics on 2026 and long-term outlook next year, while acknowledging AI-driven efficiencies and potential for reinvestment. CEO Bill McDermott highlighted ServiceNow's consistent 'rule of 50+' performance.