Cost of Revenue Comparison: ServiceNow, Inc. vs Leidos Holdings, Inc.

Cost of Revenue: A Tale of Two Companies

In the ever-evolving landscape of technology and defense, ServiceNow, Inc. and Leidos Holdings, Inc. have carved distinct paths. Over the past decade, Leidos Holdings has consistently outpaced ServiceNow in terms of cost of revenue, reflecting its expansive operations in defense and engineering. From 2014 to 2023, Leidos' cost of revenue surged by approximately 200%, peaking at $13.2 billion in 2023. In contrast, ServiceNow, a leader in cloud-based solutions, saw a more modest increase of around 670%, reaching $1.9 billion in the same year. This disparity highlights the contrasting business models and market strategies of these two giants. While Leidos' growth underscores its dominance in large-scale projects, ServiceNow's steady rise reflects its focus on innovation and efficiency. Notably, the data for 2024 is incomplete, leaving room for speculation on future trends.