ServiceNow, the US enterprise software maker known for automating workflows such as IT service management and HR operations, is betting on an Indian banking software specialist to deepen its presence in global financial services.
The company invested $40 million in BusinessNextvaluing the 24-year-old Indian company at $700 million and taking a roughly 5% stake. The deal gives BusinessNext access to ServiceNow’s global sales network as the companies expand their partnership in AI for financial services.
ServiceNow’s investment reflects BusinessNext’s growing profile beyond India. The profitable Noida-based company, which generated around $32 million in revenue in its last financial year, serves over 70 banks across India, South East Asia, the Middle East and the United States. Its clients include the Reserve Bank of India, the country’s central bank, as well as State Bank of India and HDFC Bank, which are the largest public and private sector lenders in India, respectively.
About half of BusinessNext’s revenue comes from outside India, with overseas markets expected to drive much of its future growth, founder and CEO Nishant Singh said in an interview.
The company chose ServiceNow over potential financial investors to accelerate its expansion by leveraging the US software group’s global reach. Singh told TechCrunch that the partnership would help BusinessNext “borrow” its must-have “machines” – referring to ServiceNow’s sales infrastructure – in markets where its presence is limited.
“Think of it as a strategic partnership, cemented by funding,” he said.
BusinessNext’s software, Singh said, handles customer-facing banking workflows, while ServiceNow is better at workflow automation and back-office systems, a combination the two companies plan to jointly sell to financial institutions.
“The Indian financial services industry is at an inflection point: institutions are moving from digital experimentation to large-scale AI-enabled operations,” said Kulmeet Bawa, ServiceNow Group Vice President and Managing Director, India and SAARC. He added that the partnership combines ServiceNow’s enterprise workflow platform with BusinessNext’s banking expertise.
Founded in 2002, BusinessNext – known as CRMNext until 2022 – has spent several years building what Singh calls an “autonomous banking” platform, using AI agents to automate banking workflows while retaining sensitive customer data on private AI infrastructure to meet regulatory and privacy requirements.
Singh told TechCrunch that AI was built into the company’s platform from the start rather than being added later. “We actually rebranded our company and we kind of rewrote our stack to put that fundamentally at the core,” he said.
BusinessNext employs more than 1,300 people across its operations and has been last valued at $181 million in 2021, by private market intelligence platform Tracxn. It has raised more than $60 million in external funding and counts Avataar Ventures, Norwest Venture Partners and Ascent Capital among its existing investors.
The deal comes as established enterprise software companies face pressure from customers who question whether traditional SaaS tools are worth paying for as AI-native alternatives emerge. For ServiceNow, the deal strengthens its position in the banking industry by partnering with a company focused on AI-driven banking software, while expanding its enterprise software portfolio through acquisitions, investments and partnerships.
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Jagmeet covers startups, technology policy updates and all other major technology developments in India for TechCrunch. He previously worked as a senior correspondent at NDTV.
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