ServiceNow Launches Investment Arm for Enterprise Software

ServiceNow, one of the biggest ITSM (IT service management) software companies, has launched a formal investment unit in hopes of attracting more developers to build applications on its cloud platform, built specifically for IT service delivery.

ITSM plays a growing role in the DCIM software market. Many DCIM (Data Center Infrastructure Management) vendors have integrated with leading ITSM platforms, including ServiceNow, and some believe DCIM will eventually be considered a subcategory of ITSM.

DCIM software vendors that have integrated with ServiceNow include Nlyte Software, Sunbird Software (formerly part of Raritan), and Tier44, a company formed around the intellectual property of Power Assure, which dissolved in 2014.

Nlyte has two connectors featured in ServiceNow’s online store, which is where applications future developers that get funded by ServiceNow Ventures will also be. The unit is kicking off with a contest, announced Wednesday, through which it will provide a total of $500,000 in funding to three winning startups.

ServiceNow Ventures is targeting early-stage companies that develop cloud-based apps on its parent company’s platform, as well as growth-stage vendors that build integrations with ServiceNow. Smaller-size DCIM vendors building connectors for ServiceNow would fall into the second category.

Read more: Who is Winning in the DCIM Software Market?