ServiceNow CEO: $10 billion in Annual Revenue is Next Goal

Despite earlier estimates of $1 billion in 2017, Alphabet-owned cloud company Google is set to surpass $4 billion in annual revenue and $10 billion in 2019.

Cloud revenues remain in an upward trajectory, and the drivers are companies re-shaping the relationship between technology and the humans who provide it. A dramatic cultural shift is underway, and technology giants are increasingly bringing more focus to their customer services, with companies like eBay, Airbnb, Swirl and many others jumping on board.

A new breed of cloud-native customer care offerings are taking market share from legacy players including Amazon, Microsoft and Salesforce. Large companies are creating their own chat platforms for customer service calls. This has the potential to be a very significant driver of revenue for software companies going forward. The companies that’ve been successful at providing 360-degree customer service, like Red Hat and Redstone, have reaped these benefits.

Another important driver of cloud-native customer care is software companies that are providing tools to enable enterprise businesses to communicate with their customers, on any device and on any channel, anywhere. Technology infrastructure is becoming more ubiquitous, and communication is shifting from traditional, face-to-face channels to the platform of the future, Slack.

Customers today are demanding more powerful communications and interactions, whether online, over Slack, or via a bot on Facebook Messenger. Facebook itself has taken a lead in the conversational marketing space with both its Facebook Messenger and WhatsApp messaging apps.

Predicting future revenues in AI

Companies are recognizing that because software and services shift workloads around, there’s also a changing customer experience. With broad customer support available from almost any channel, organizations are looking for deeper, more personal customer experiences. Traditional contact centers aren’t meeting the needs of today’s dynamic customer by the end of the day.

The $10 billion revenue goal for 2019 is only one factor in creating an appealing cloud-native customer care experience. Customers, too, are moving closer to a more personalized, multi-channel communication channel environment, and cloud-native companies are best positioned to meet that shift. Not only are these companies competitive and able to better compete with legacy companies, but their technology innovations are resonating with customers.

This is important given that the fundamental drivers of growth are software-as-a-service (SaaS) and platform-as-a-service (PaaS). SaaS and PaaS are the purest routes to cloud-native customer care, and will create the largest growth driver in the next 12 to 24 months.

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