ServiceNow Expands AI-based CRM Tools, Challenges Salesforce

ServiceNow has intensified its push into the CRM market, unveiling new AI-powered capabilities and a unified platform approach at its Knowledge 2025 conference, directly challenging Salesforce's dominance. While ServiceNow executives avoid directly naming Salesforce as a rival, industry observers see the company aiming to disrupt Salesforce by redefining CRM as an AI-driven platform that links sales, service, and product fulfillment. ServiceNow's recent $2.85 billion acquisition of Moveworks and the addition of a Configure, Price, Quote (CPQ) solution further signal its ambitions to expand beyond customer and field service into sales and order management. Meanwhile, Salesforce continues to promote its own AI-powered advancements, such as Agentforce and Slack AI, to streamline sales processes and enhance the productivity of its large sales force. Both companies are leveraging AI to automate tasks and improve workflows, with Salesforce emphasizing that these tools are meant to augment—not replace—the human element in client relationships. The competition is expected to intensify as ServiceNow seeks greater market share and Salesforce pushes forward with generative AI features for customer engagement.