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ServiceNow Invests $40M in Indian Banking Software Firm BusinessNext

ServiceNow has invested $40 million in BusinessNext at a $700 million valuation, deepening its push into AI-driven financial services through the Indian banking software specialist.

ServiceNow has invested $40 million in Indian banking software firm BusinessNext at a $700 million valuation, taking roughly a 5% stake. The deal gives BusinessNext access to ServiceNow's global sales network and deepens their AI-for-financial-services partnership. BusinessNext, which serves over 70 banks including India's central bank, generated about $32 million in revenue and derives half from overseas markets.

The Deal

ServiceNow, the U.S. enterprise workflow automation company, has invested 40millioninBusinessNext∗∗,valuingthe24−year−oldIndianfirmat∗∗40 million in BusinessNext**, valuing the 24-year-old Indian firm at **700 million and taking a roughly 5% stake. The deal gives BusinessNext access to ServiceNow's global sales network as the two companies expand their partnership in AI for financial services.

BusinessNext's Profile

BusinessNext, formerly known as CRMNext until its 2022 rebrand, is a profitable, Noida-based company that generated about $32 million in revenue in its latest financial year. It serves more than 70 banks across India, Southeast Asia, the Middle East, and the U.S., including the Reserve Bank of India, State Bank of India, and HDFC Bank. About half of its revenue already comes from outside India, with overseas markets expected to drive much of its future growth.

Strategic Rationale

The company chose ServiceNow over potential financial investors specifically to accelerate expansion by tapping the U.S. software group's global reach. Founder and CEO Nishant Singh told TechCrunch that the partnership would help BusinessNext "borrow" ServiceNow's go-to-market "machinery" in markets where it has a limited presence.

The product fit is complementary. BusinessNext's software manages customer-facing banking workflows, while ServiceNow is stronger in workflow automation and back-office systems. The two companies plan to sell jointly to financial institutions.

AI-Native from the Ground Up

BusinessNext has spent several years building what Singh calls an "autonomous banking" platform, using AI agents to automate banking workflows while keeping sensitive customer data on private AI infrastructure to meet regulatory and privacy requirements. Singh emphasized that AI was built into the company's platform from the outset rather than bolted on later. "We actually renamed our company and we kind of rewrote our stack to put that fundamentally at the core," he said.

Broader Context

The deal arrives as established enterprise software vendors face pressure from customers questioning whether traditional SaaS tools are worth paying for when AI-native alternatives are emerging. For ServiceNow, the investment builds out its position in banking by partnering with a company focused on AI-driven banking software, as it expands its enterprise portfolio through acquisitions, investments, and partnerships.

BusinessNext employs more than 1,300 people and has raised more than $60 million in external funding from investors including Avataar Ventures, Norwest Venture Partners, and Ascent Capital.