ServiceNow CEO is sure AI won't eat software. He's betting big on his own stock to prove it.

In the face of Wall Street's skepticism regarding the impact of artificial intelligence on software, ServiceNow's CEO Bill McDermott is taking bold steps to showcase his confidence in the company's future. McDermott, convinced that AI will not overshadow traditional software, has made a significant investment in his own stock and has committed to leading the company until 2030. During an interview with Business Insider, McDermott emphasized his belief in ServiceNow's potential, stating, "We're building a trillion-dollar company here." This declaration comes on the heels of another successful quarterly earnings report that exceeded Wall Street's expectations, further solidifying the company’s position in the market. Despite these positive developments, ServiceNow's stock has experienced a decline of approximately 40% since early 2025, attributed to investor fears that generative AI could replace certain corporate software solutions. However, McDermott insists that the company’s robust revenue growth and enhanced cash flow demonstrate resilience against these AI threats. In a clear display of confidence, ServiceNow announced a $5 billion share repurchase program, with plans to swiftly purchase around $2 billion worth of its own stock in the coming weeks. McDermott has also adjusted his executive compensation, aligning it more closely with the company’s stock performance over the next three years, effectively putting his financial stake on the line. "Through my own compensation, I'm betting on the stock," he remarked, reinforcing his commitment to the company's success. He expressed optimism about the company's growth, stating, "The revenue growth is there. The free cash flow and operating margins are accelerating. We deserve a higher multiple, and we will get it back."