ServiceNow (NYSE: NOW) shares rose following the acquisition of Israeli AI startup Sweep. The deal is reportedly valued at hundreds of millions of dollars and was confirmed in early September 2026. This acquisition aims to enhance AI capabilities by deploying CRM agents across various enterprise platforms.
The company previously reported strong second-quarter financial results in late July. Subscription revenues reached $3.88 billion, marking a 24.5% year-over-year increase. ServiceNow surpassed analyst expectations and raised its full-year subscription revenue guidance.
The company's AI portfolio crossed $1 billion in annual contract value. This milestone highlights ServiceNow's progress in monetizing its generative AI solutions.