ServiceNow links slightly lower headcount to AI efficiency gains, says smaller teams deliver more
Key points
- ServiceNow's headcount fell slightly; the CEO said employees deliver more with fewer resources.
- Internal use of its AI products generated more than $1 billion in annualised efficiency gains.
- Quota-carrying sales staff rose by double digits; sales operations headcount fell significantly; no broad layoff was announced.
On its third-quarter earnings call, ServiceNow CEO Bill McDermott described a slightly lower headcount as a positive result of employees delivering more with fewer resources. CFO Gina Mastantuono said internal use of the company's AI products generated more than $1 billion in annualised efficiency gains and reduced hiring needs. Quota-carrying sales staff rose by double digits, while sales operations headcount fell significantly. The company did not announce a broad layoff.
Original report: View source ↗Edited with AI assistance. Facts are based on official sources and original reports.