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ServiceNow to Buy Armis for $7.75 Billion to Expand AI-Driven Cybersecurity

Executives say combining Armis’ agentless device intelligence with ServiceNow’s AI platform will create an end-to-end exposure management stack for connected technology.

Overview

  • The all-cash deal will be funded with a mix of cash and debt and is slated to close in the second half of 2026, subject to regulatory approvals and customary conditions.
  • ServiceNow plans to integrate Armis’ agentless discovery across IT, OT, IoT, and medical devices into its AI platform to unify real-time asset visibility, risk prioritization, and automated remediation.
  • ServiceNow shares fell a few percent after the announcement as investors questioned the rich price, roughly 23 times Armis’ ARR, and the company’s recent acquisition pace; the CFO said no further security M&A is planned.
  • Armis reports about $340 million in annual recurring revenue with roughly 50% year-over-year growth and recently raised $435 million at a $6.1 billion valuation from backers including Goldman Sachs’ alternatives arm and CapitalG.
  • ServiceNow expects the purchase to more than triple its security and risk market opportunity, aligning with a broader wave of large cybersecurity deals driven by rising AI-related threats and spending forecasts for 2026.