ServiceNow bets $40M on Indian banking AI firm BusinessNext for financial push

ServiceNow has made a $40 million strategic investment in BusinessNext, a 24-year-old Indian banking software company, valuing it at $700 million and taking roughly a 5% stake. The deal gives BusinessNext access to ServiceNow's global sales network, while ServiceNow gains a foothold in the banking sector's AI transformation. BusinessNext, which renamed itself from CRMNext in 2022, generated about $32 million in revenue in its latest financial year, serving more than 70 banks across India, Southeast Asia, the Middle East, and the U.S. Its clients include the Reserve Bank of India, State Bank of India, and HDFC Bank. About half of its revenue comes from outside India. The company chose ServiceNow over traditional financial investors to accelerate global expansion, leveraging the U.S. firm's sales infrastructure.

BusinessNext's platform is built on what CEO Nishant Singh calls 'autonomous banking' — using AI agents to automate customer-facing banking workflows while keeping sensitive data on private AI infrastructure to meet regulatory and privacy requirements. The platform was rewritten from the ground up with AI at its core rather than added later. ServiceNow's enterprise workflow automation and back-office systems complement BusinessNext's front-office focus, creating a combined offering for financial institutions. The deal comes as traditional SaaS vendors face pressure from AI-native alternatives, and it builds out ServiceNow's position in banking through a strategic partnership rather than an outright acquisition. BusinessNext employs over 1,300 people and has raised more than $60 million from Avataar Ventures, Norwest Venture Partners, and Ascent Capital.