Cost of Revenue Trends: ServiceNow, Inc. vs International Business Machines Corporation

IBM vs ServiceNow: Diverging Cost of Revenue Paths

__timestampInternational Business Machines CorporationServiceNow, Inc.
Wednesday, January 1, 201446386000000248776000
Thursday, January 1, 201541057000000329413000
Friday, January 1, 201641403000000398682000
Sunday, January 1, 201742196000000499772000
Monday, January 1, 201842655000000622658000
Tuesday, January 1, 201926181000000796645000
Wednesday, January 1, 202024314000000987113000
Friday, January 1, 2021258650000001353000000
Saturday, January 1, 2022278420000001573000000
Sunday, January 1, 2023275600000001921000000
Monday, January 1, 2024272020000002287000000
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In pursuit of knowledge

Cost of Revenue Trends: A Tale of Two Giants

In the ever-evolving landscape of technology, ServiceNow, Inc. and International Business Machines Corporation (IBM) have carved distinct paths. Over the past decade, IBM's cost of revenue has seen a significant decline, dropping by nearly 41% from 2014 to 2024. This trend reflects IBM's strategic shift towards more efficient operations and a focus on high-margin services. In contrast, ServiceNow, Inc. has experienced a remarkable surge, with its cost of revenue increasing by over 800% during the same period. This growth underscores ServiceNow's rapid expansion and its increasing investment in scaling operations to meet rising demand. As of 2024, IBM's cost of revenue stands at approximately $27 billion, while ServiceNow's has reached around $2.3 billion. These trends highlight the contrasting strategies of a legacy giant and a burgeoning innovator in the tech industry.

Published by
U.S. Securities and Exchange Commission

Source link
sec.gov

Date published
28 Jan 2025