ServiceNow in advanced talks to acquire cybersecurity startup Armis for upto $7 billion, says report

Core Insights - ServiceNow is in advanced discussions to acquire cybersecurity startup Armis for up to $7 billion, which would mark its largest acquisition to date [1][8] - The deal is expected to be announced soon, although there is a possibility it could collapse or attract other bidders [1][8] Company Overview - ServiceNow provides software solutions for automating and organizing IT and personnel operations, establishing itself as a dominant platform for enterprise workflow [2] - Armis, founded by Israeli military veterans, specializes in identifying and tracking security threats across various industries, including defense, financial services, and medicine [3][4] Financial Performance - Armis reported an annual recurring revenue of $300 million in 2025, up from $200 million the previous year, and is considering an initial public offering (IPO) in 2026 [4] Previous Acquisition Attempts - In 2020, Armis was previously set to be acquired for $1.1 billion by Insight Partners and other investors, including Alphabet's CapitalG [5] - Thoma Bravo was also in discussions for a potential deal with Armis, indicating strong interest from multiple investors [5] Industry Context - The tech industry is increasingly focused on enhancing cybersecurity portfolios, with major players like Microsoft and Salesforce integrating generative AI and cybersecurity features into their products [6] - Recent acquisitions in the sector include Alphabet's purchase of Wiz Inc. for $32 billion and Palo Alto's acquisition of CyberArk Software for approximately $25 billion [7]