Moveworks: ServiceNow's $2.85 Billion Acquisition Marks Major Move
Deal News | Mar 18, 2025 | EIN
ServiceNow has announced its acquisition of Moveworks for approximately $2.85 billion. Moveworks, founded in 2016, specializes in agentic AI, which integrates multiple business systems into a conversational interface. The company, having started by automating IT support requests, expanded to assist enterprise-wide operations with its AI Assistant that employs agentic reasoning. Moveworks, which had been primarily funded by notable venture capitalists, grew rapidly, serving over 350 enterprises and more than 5 million employees. The company's last valuation stood at $2.1 billion after raising $200 million in 2021. ServiceNow's acquisition aims to blend its AI capabilities with Moveworks' systems to enhance productivity across organizations globally. This deal underscores ServiceNow's continued investment in AI, which has already attracted over 1,000 customers and $200 million in annual contract value.
Sectors
- Artificial Intelligence
- Information Technology
- Venture Capital
Geography
- United States – Both Moveworks and ServiceNow are based in the U.S., which plays a significant role in the tech and AI markets these companies operate in.
Industry
- Artificial Intelligence – Moveworks and ServiceNow are deeply involved in developing AI technologies to enhance business efficiencies, focusing on automation and conversational interfaces.
- Information Technology – Moveworks initially targeted IT department requests, and both companies continue to innovate in IT solutions across enterprises.
- Venture Capital – The acquisition highlights the impact of venture-backed growth at Moveworks, with significant funding rounds from top-tier VCs supporting its development.
Financials
- $2.85 billion – Estimated acquisition price for Moveworks by ServiceNow.
- $315 million – Total venture funding raised by Moveworks from investors.
- $200 million – Amount raised in Moveworks' last funding round held in 2021.
- $2.1 billion – Valuation of Moveworks during its last funding round in 2021.
- $100 million – Annual revenue run rate achieved by Moveworks as of last year.
- $200 million – Annual contract value from ServiceNow's more than 1,000 customers.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Moveworks | Target | Company | An AI company specializing in agentic AI Assistant technology to automate enterprise support functions. |
| ServiceNow | Bidding Company | Company | A leading digital workflow company acquiring Moveworks to enhance its AI capabilities. |
| Alkeon Capital Management | Investor | Company | A venture capital firm and one of Moveworks' investors. |
| Kleiner Perkins | Investor | Company | A venture capital firm and one of Moveworks' investors. |
| Lightspeed Ventures | Investor | Company | A venture capital firm and one of Moveworks' investors. |
| TigerGlobal | Investor | Company | A venture capital firm and one of Moveworks' investors. |
| Bain Capital Ventures | Investor | Company | A venture capital firm and one of Moveworks' investors. |
| Sapphire Ventures | Investor | Company | A venture capital firm and one of Moveworks' investors. |