ServiceNow takes 5% of BusinessNext in deal valuing Indian firm at $700M

What's the deal? ServiceNow has acquired roughly 5% of Indian software provider BusinessNextDealroom has a profile for this one. Try Dealroom → in a deal valuing it at $700 million. BusinessNext said it raised $40 million in a Series C round from ServiceNow VenturesDealroom has a profile for this one. Try Dealroom →, the US company's venture capital arm.

What does BusinessNext do? It builds AI tools for banks, competing with firms like Freshworks. It counts more than 120 customers, including India's largest lender State Bank of IndiaDealroom has a profile for this one. Try Dealroom → and HDFC BankDealroom has a profile for this one. Try Dealroom →.

Why now? Banks are increasingly adopting AI to customise services, answer customer queries, and automate operations. The partnership lets ServiceNow monitor BusinessNext's AI agents through its AI control tower, a centralised platform for governing AI models across an enterprise.

What's the endgame? Chief executive officer Nishant Singh told Reuters the funding will primarily go to sales, starting with distribution in Southeast Asia and Australia. He said the company's ambition "right now is to run in every bank in the world," ruling out a near-term IPO.

By the numbers: Singh said BusinessNext has been "above $50 million for a couple of years now" in annual revenue and employs nearly 1,300 people.

ServiceNow's momentum: ServiceNow raised its annual subscription revenue forecast for the second time in 2026 after beating second-quarter revenue and profit estimates, driven by demand for its AI-powered software.

The signal: The deal shows large US software vendors buying into overseas AI specialists to extend their reach into regulated sectors like banking. For BusinessNext, ServiceNow's backing offers distribution and governance tools as it chases growth beyond India.

Read more: Reuters