Cost of Revenue: A Tale of Two Tech Giants

In the ever-evolving tech landscape, ServiceNow, Inc. and HubSpot, Inc. have emerged as pivotal players. Over the past decade, these companies have shown remarkable growth in their cost of revenue, reflecting their expanding operations and market reach. From 2014 to 2023, ServiceNow's cost of revenue surged by approximately 672%, while HubSpot experienced a 832% increase. This trend underscores the aggressive expansion strategies both companies have adopted.

ServiceNow's Steady Climb

ServiceNow's cost of revenue consistently rose, peaking at nearly $2.3 billion in 2024. This growth trajectory highlights the company's robust service offerings and increasing customer base.

HubSpot's Rapid Growth

HubSpot, though smaller in scale, demonstrated impressive growth, with its cost of revenue reaching $345 million by 2023. This reflects HubSpot's successful penetration into the marketing and sales software market.

The data for 2024 is incomplete for HubSpot, indicating potential future updates.