ServiceNow buys Loom Systems to extend AIOps capabilities

ServiceNow, makers of a cloud automation platform used for IT service and other functions, is buying Israel-based AIOps provider Loom Systems, the company announced Wednesday. Financial terms of the deal were not disclosed. 

ServiceNow aims to simplify and automate workflows across multiple functions. The company began as an IT service cloud platform, but has expanded into human resources, finance and customer service. 

Loom Systems offers an AIOps-powered log analytics platform named Sophie that aims to predict and prevent problems in the digital business. Loom collects logs and metrics from the entire IT stack, continually monitors them, and alerts IT admins when something is likely to veer off track. When it does, Loom sends an alert and a recommended solution to DevOps and IT managers to allow them to proactively address issues before they impact customers.

ServiceNow intends to use the purchase of Loom to extend its AIOps capabilities and build out its IT service management (ITSM) platform. 

"IT operations teams increasingly struggle to balance resiliency with agility, as applications and the infrastructure that supports those application become more dynamic and complex," said Sanjit Ganguli, Gartner Research VP. "These teams often look to their tool vendors for AI assisted root cause analysis and automated remediation to help deal with their challenges. As such, Gartner views the acquisition of Loom Systems by ServiceNow as a positive step toward providing such capabilities, as it build upon its ITSM platform." 

The Loom deal is the first acquisition for ServiceNow under the leadership of Bill McDermott. The former SAP chief executive was named ServiceNow CEO in October, capping off a period of executive turmoil at ServiceNow.

John Donahoe became ServiceNow CEO in March 2017, but in October decided to step down to become chief of Nike. McDermott then took over. Former ServiceNow CEO Frank Slootman is now chief of Snowflake and recruiting ServiceNow executives and sales talent. For instance, Mike Scarpelli, CFO of ServiceNow, left the company last August to be CFO of Snowflake. 

RELATED:

• The question of AI for ServiceNow is a question of what works
• ServiceNow under Bill McDermott: What you can expect
• ServiceNow reveals VS Code alternative to its own web-based code editor
• ServiceNow says it will run its full SaaS platform on Microsoft's Azure plus its own cloud