ServiceNow updates its workflow automation platform

ServiceNow today announced the latest release of its workflow automation platform. With this, the company is emphasizing a number of new solutions for specific verticals, including for telcos and financial services organizations. This focus on verticals extends the company’s previous efforts to branch out beyond the core IT management capabilities that defined its business during its early years. The company is also adding new features for making companies more resilient in the face of crises, as well as new machine learning-based tools.

Dubbed the ‘Paris’ release, this update also marks one of the first major releases for the company since former SAP CEO Bill McDermott became its president and CEO last November.

“We are in the business of operating on purpose,” McDermott said “And that purpose is to make the world of work work better for people. And frankly, it’s all about people. That’s all CEOs talk about all around the world. This COVID environment has put the focus on people. In today’s world, how do you get people to achieve missions across the enterprise? […] Businesses are changing how they run to drive customer loyalty and employee engagement.”

He argues that at this point, “technology is no longer supporting the business, technology is the business,” but at the same time, the majority of companies aren’t prepared to meet whatever digital disruption comes their way. ServiceNow, of course, wants to position itself as the platform that can help these businesses.

“We are very fortunate at ServiceNow,” CJ Desai, ServiceNow’s Chief Product Officer, said. “We are the critical platform for digital transformation, as our customers are thinking about transforming their companies.”

As far as the actual product updates, ServiceNow is launching a total of six new products. These include new business continuity management features with automated business impact analysis and tools for continuity plan development, as well as new hardware asset management for IT teams and legal service delivery for legal operations teams.

Image Credits: ServiceNow

With specialized solutions for financial services and telco users, the company is also now bringing together some of its existing solutions with more specialized services for these customers. As ServiceNow’s Dave Wright noted, this goes well beyond just putting together existing blocks.

“The first element is actually getting familiar with the business,” he explained. “So the technology, actually building the product, isn’t that hard. That’s relatively quick. But the uniqueness when you look at all of these workflows, it’s the connection of the operations to the customer service side. Telco is a great example. You’ve got the telco network operations side, making sure that all the operational equipment is active. And then you’ve got the business service side with customer service management, looking at how the customers are getting service. Now, the interesting thing is, because we’ve got both things sitting on one platform, we can link those together really easily.”

Image Credits: ServiceNow

On the machine learning side, ServiceNow made six acquisitions in the area in the last four years, Wright noted — and that is now starting to pay off. Specifically, the company is launching its new predictive intelligence workbench with this release. This new service makes it easier for process owners to detect issues, while also suggesting relevant tasks and content to agents, for example, and prioritizing incoming requests automatically. Using unsupervised learning, the system can also identify other kinds of patterns and with a number of pre-built templates, users can build their own solutions, too.

“The ServiceNow advantage has always been one architecture, one data model and one born-in-the-cloud platform that delivers workflows companies need and great experiences employees and customers expect,” said Desai. “The Now Platform Paris release provides smart experiences powered by AI, resilient operations, and the ability to optimize spend. Together, they will provide businesses with the agility they need to help them thrive in the COVID economy.”


By Frederic Lardinois

Salesforce confirms it’s laying off around 1000 people in spite of monster quarter

In what felt like strange timing, Salesforce has confirmed a report in yesterday’s Wall Street Journal that it was laying off around 1000 people or approximately 1.9% of the company’s 54,000 strong workforce. This news came in spite of the company reporting a monster quarter on Tuesday in which it passed $5 billion in quarterly revenue for the first time.

In fact, Wall Street was so thrilled with Salesforce’s results, the company’s stock closed up an astonishing 26% yesterday, adding great wealth to the company’s coffers. It seemed hard to reconcile such amazing financial success with this news.

Yet it was actually something that president and chief financial officer Mark Hawkins telegraphed in Tuesday’s earnings call with industry analysts, although he didn’t come right and use the L (layoff) word. Instead he couched that impending change as a reallocation of resources.

And he talked about strategically shifting investments over the next 12-24 months. “This means we’ll be redirecting some of our resources to fuel growth in areas that are no longer as aligned with the business priority will be now deemphasized,” Hawkins said in the call.

This is precisely how a Salesforce spokesperson put it when asked by TechCrunch to confirm the story. “We’re reallocating resources to position the company for continued growth. This includes continuing to hire and redirecting some employees to fuel our strategic areas, and eliminating some positions that no longer map to our business priorities. For affected employees, we are helping them find the next step in their careers, whether within our company or a new opportunity,” the spokesperson said.

It’s worth noting that earlier this year, Salesforce CEO Marc Benioff pledged there would be no significant layoffs for 90 days.

The 90 day period has long since passed and the company has decided the time is right to make some adjustments to the workforce.

It’s worth contrasting this with the pledge that ServiceNow CEO Bill McDermott made a few weeks after the Benioff tweet, promising not to lay off a single employee for the rest of this year, while also pledging to hire 1000 people worldwide the remainder of this year, while bringing in 360 summer interns.


By Ron Miller

Zoom announces new Hardware as a Service offering to run on ServiceNow

Zoom announced a new Hardware as a Service offering today that will run on the ServiceNow platform. At the same time the company announced a deal with ServiceNow to standardize on Zoom and Zoom Phone for its 11,000 employees in another case of SaaS cooperation.

For starters, the new Hardware as a Service offering allows customers, who use the Zoom Phone and Zoom Rooms software to acquire related hardware from the company for a fixed monthly cost. The company announced that initial solutions providers will include DTEN, Neat, Poly and Yealink.

The new service allows companies to access low-cost hardware and pay for the software and hardware on a single invoice. This could result in lower up-front costs, while simplifying the bookkeeping associated with a customer’s online communications options.

Companies can start small if they wish, then add additional hardware over time as needs change, and they can also opt for a fully managed service, where a third party can deal with installation and management of the hardware if that’s what a customer requires.

Zoom will run the new service on ServiceNow’s Now platform, which provides a way to manage the service requests as they come in. And in a case of one SaaS hand washing the other, ServiceNow has standardized on the Zoom platform for its internal communications tool, which has become increasingly important as the pandemic has moved employees to work from home. The company also plans to replace its current phone system with Zoom Phones.

One of the defining characteristics of SaaS companies, and a major difference from previous generations of tech companies, has been the willingness of these organizations to work together to string together sets of services when it makes sense. These kinds of partnerships, not only benefit the companies involved, they tend to be a win for customers too.

Brent Leary, founder at CRM Essentials sees this as a deal between two rising SaaS stars, and one that benefits both companies. “Everyone and their mother is announcing partnerships with Zoom, focusing on integrating video communications into core focus areas. But this partnership looks to be much more substantial than most with ServiceNow not only partnering with Zoom for tighter video communication capabilities, but also displacing its current phone system with Zoom Phone,” Leary told TechCrunch.


By Ron Miller

AWS launches Amazon AppFlow, its new SaaS integration service

AWS today launched Amazon AppFlow, a new integration service that makes it easier for developers to transfer data between AWS and SaaS applications like Google Analytics, Marketo, Salesforce, ServiceNow, Slack, Snowflake and Zendesk. Like similar services, including Microsoft Azure’s Power Automate, for example, developers can trigger these flows based on specific events, at pre-set times or on-demand.

Unlike some of its competitors, though, AWS is positioning this service more as a data transfer service than a way to automate workflows and while the data flow can be bi-directional, AWS’s announcement focuses mostly on moving data from SaaS applications to other AWS services for further analysis. For this, AppFlow also includes a number of tools for transforming the data as it moves through the service.

“Developers spend huge amounts of time writing custom integrations so they can pass data between SaaS applications and AWS services so that it can be analysed; these can be expensive and can often take months to complete,” said AWS principal advocate Martin Beeby in today’s announcement. “If data requirements change, then costly and complicated modifications have to be made to the integrations. Companies that don’t have the luxury of engineering resources might find themselves manually importing and exporting data from applications, which is time-consuming, risks data leakage, and has the potential to introduce human error.”

Every flow (which AWS defines as a call to a source application to transfer data to a destination) costs $0.001 per run, though, in typical AWS fashion, there’s also cost associated with data processing (starting at 0.02 per GB).

“Our customers tell us that they love having the ability to store, process, and analyze their data in AWS. They also use a variety of third-party SaaS applications, and they tell us that it can be difficult to manage the flow of data between AWS and these applications,” said Kurt Kufeld, Vice President, AWS. “Amazon AppFlow provides an intuitive and easy way for customers to combine data from AWS and SaaS applications without moving it across the public Internet. With Amazon AppFlow, our customers bring together and manage petabytes, even exabytes, of data spread across all of their applications – all without having to develop custom connectors or manage underlying API and network connectivity.”

At this point, the number of supported services remains comparatively low, with only 14 possible sources and four destinations (Amazon Redshift and S3, as well as Salesforce and Snowflake). Sometimes, depending on the source you select, the only possible destination is Amazon’s S3 storage service.

Over time, the number of integrations will surely increase, but for now, it feels like there’s still quite a bit more work to do for the AppFlow team to expand the list of supported services.

AWS has long left this market to competitors, even though it has tools like AWS Step Functions for building serverless workflows across AWS services and EventBridge for connections applications. Interestingly, EventBridge currently supports a far wider range of third-party sources, but as the name implies, its focus is more on triggering events in AWS than moving data between applications.


By Frederic Lardinois

ServiceNow pledges no layoffs in 2020

You don’t need your Ph.D. in economics to know the economy is in rough shape right now due to the impact of COVID-19, but ServiceNow today pledged that it would not lay off a single employee in 2020 — and in fact, it’s hiring.

While Salesforce’s Marc Benioff, pledged no significant layoffs for 90 days last month, and asked other company leaders to do the same, ServiceNow did them one better by promising to keep every employee for at least the rest of the year.

Bill McDermott, who came on as CEO  at the end of last year after nine years as CEO at SAP, said that he wanted to keep his employees concentrating on the job at hand without being concerned about a potential layoff should things get a little tighter for the company.

“We want our employees focused on supporting our customers, not worried about their own jobs,” he said in a statement.

In addition, the company plans to fill 1000 jobs worldwide, as well as hire 360 college students as interns this summer, as they continue to expand their workforce, when many industries and fellow tech companies are laying off or furloughing employees.

The company also announced that it is taking part in a program called People+Work Connect, with Accenture, Lincoln Financial Group and Verizon (the owner of this publication). This program acts as an online employer‑to employer clearing house for these companies to hire employees laid off or furloughed by other companies. The company plans to post 800 jobs through this channel.


By Ron Miller

Okta launches Lifecycle Management Workflows to make building identity-centric processes easy

Okta, the popular identity and access management service, today used its annual (and now virtual) user conference to launch Lifecycle Management Workflows, a new tool that helps IT teams build and manage IFTTT-like automated processes with the help of an easy to use graphical interface.

The new service is an extension of Okta’s existing automation tools. But the key here is that IT teams and developers can now easily build complex identity-centric workflows across a wide range of applications. With this, these teams can easily automate an onboarding process where setting up a new Okta account also immediately kicks off processes on third-party services like Box, Salesforce, ServiceNow and Slack to set up accounts there. The same goes for offboarding workflows and username creation. A lot of companies still do this manually, which is not just a hassle but also error-prone.

“Adopting more technology is incredibly beneficial for enterprises today, but complexity is a significant side effect of a changing technology ecosystem and workforce. There is no better example of the potential challenges it can create than with lifecycle management,” said Diya Jolly, Chief Product Officer at Okta. “Okta’s vision of enabling any organization to use any technology goes deeper than just access; it’s about improving how organizations use technology. Okta Lifecycle Management Workflows improves the efficiency and security of enterprises through its simple user experience and broad applicability, keeping organizations secure, and efficient without requiring the complexity of writing code.”

Okta, of course, had lifecycle management features before, but now it is also putting its acquisition of Azuqua to work and using that company’s graphical interface and technology for making it easier to create these automation processes. And while the focus right now is on processes like provisioning and de-provisioning accounts, the long-term plan is to expand Workflows with support for more identity processes.

As Okta also stresses, administrators can also manage very granular access across the supported third-party tools like assigning territories in Salesforce or access to specific group channels in Slack, for example. For temporary employees, admins can also set up automatic de-provisioning workflows that revoke access to some tools but maybe leave access to payroll services open for a while longer. There are also built-in tools for automatically managing conflicts when two people have the same name.

“Millions of people rely on Slack every day to make their working lives simpler, more pleasant, and more productive,” said Tamar Yehoshua, Chief Product Officer at Slack, one of the early adopters of this service. “Okta Lifecycle Management Workflows has significantly increased efficiency for us by automating the provisioning and de-provisioning of users from applications in our environment, without us ever having to write a line of code.”

This new feature is part of Okta’s new Platform Services, which the company also debuted today and which currently consists of core technologies like the Okta Identity Engine, Directories Integrations, Insights, Workflow and Devices. The core idea behind Platform Services is to give Okta users the flexibility to manage their unique identity use cases but also to give Okta itself a platform to innovate on. One other new product that sits on top of the platform is Okta Fastpass, for example, which allows for passwordless authentication on any device.


By Frederic Lardinois

OpsRamp raises $37.5M for its hybrid IT operations platform

OpsRamp, a service that helps IT teams discover, monitor, manage and — maybe most importantly — automate their hybrid environments, today announced that it has closed a $37.5 million funding round led by Morgan Stanley Expansion Capital, with participation from existing investor Sapphire Ventures and new investor Hewlett Packard Enterprise.

OpsRamp last raised funding in 2017, when Sapphire led its $20 million Series A round.

At the core of OpsRamp’s services is its AIOps platform. Using machine learning and other techniques, this service aims to help IT teams manage increasingly complex infrastructure deployments, provide intelligent alerting, and eventually automate more of their tasks. The company’s overall product portfolio also includes tools for cloud monitoring and incident management.

The company says its annual recurrent revenue increased by 300 percent in 2019 (though we obviously don’t know what number it started 2019 with). In total, OpsRamp says it now has 1,400 customers on its platform and alliances with AWS, ServiceNow, Google Cloud Platform and Microsoft Azure.

OpsRamp co-founder and CEO Varma Kunaparaju

According to OpsRamp co-founder and CEO Varma Kunaparaju, most of the company’s customers are mid to large enterprises. “These IT teams have large, complex, hybrid IT environments and need help to simplify and consolidate an incredibly fragmented, distributed and overwhelming technology and infrastructure stack,” he said. “The company is also seeing success in the ability of our partners to help us reach global enterprises and Fortune 5000 customers.”

Kunaparaju told me that the company plans to use the new funding to expand its go-to-market efforts and product offerings. “The company will be using the money in a few different areas, including expanding our go-to-market motion and new pursuits in EMEA and APAC, in addition to expanding our North American presence,” he said. “We’ll also be doubling-down on product development on a variety of fronts.”

Given that hybrid clouds only increase the workload for IT organizations and introduce additional tools, it’s maybe no surprise that investors are now interested in companies that offer services that rein in this complexity. If anything, we’ll likely see more deals like this one in the coming months.

“As more of our customers transition to hybrid infrastructure, we find the OpsRamp platform to be a differentiated IT operations management offering that aligns well with the core strategies of HPE,” said Paul Glaser, Vice President and Head of Hewlett Packard Pathfinder. “With OpsRamp’s product vision and customer traction, we felt it was the right time to invest in the growth and scale of their business.”


By Frederic Lardinois

ServiceNow acquires Loom Systems to expand AIOps coverage

ServiceNow announced today that it has acquired Loom Systems, an Israeli startup that specializes in AIOps. The companies did not reveal the purchase price.

IT operations collects tons of data across a number of monitoring and logging tools, way too much for any team of humans to keep up with. That’s why there are startups like Loom turning to AI to help sort through it. It can find issues and patterns in the data that would be challenging or impossible for humans to find. Applying AI to operations data in this manner has become known as AIOps in industry parlance.

ServiceNow is first and foremost a company trying to digitize the service process, however that manifests itself. IT service operations is a big part of that. Companies can monitor their systems, wait until a problem happens and then try and track down the cause and fix it, or they can use the power of artificial intelligence to find potential dangers to the system health and neutralize them before they become major problems. That’s what an AIOps product like Loom’s can bring to the table.

Jeff Hausman, vice president and general manager of IT Operations Management at ServiceNow sees Loom’s strengths merging with ServiceNow’s existing tooling to help keep IT systems running. “We will leverage Loom Systems’ log analytics capabilities to help customers analyze data, automate remediation and reduce L1 incidents,” he told TechCrunch.

Loom co-founder and CEO Gabby Menachem not surprisingly sees a similar value proposition. “By joining forces, we have the unique opportunity to bring together our AI innovations and ServiceNow’s AIOps capabilities to help customers prevent and fix IT issues before they become problems,” he said in a statement.

Loom raised $16 million since it launched in 2015, according to PitchBook data. Its most recent round for $10 million was in November 2019. Today’s deal is expected to close by the end of this quarter.


By Ron Miller

Bill McDermott aims to grow ServiceNow like he did SAP

Bill McDermott has landed. Two weeks ago, he stepped down as CEO at SAP after a decade leading the company. Today, ServiceNow announced that he will be its new CEO.

It’s unclear how quickly the move came together but the plan for him is clear: to scale revenue like he did in his last job.

Commenting during the company’s earning’s call today, outgoing CEO John Donahoe said that McDermott met all of the board’s criteria for its next leader. This includes the ability to expand globally, expand the markets it serves and finally scale the go-to-market organization internally, all in the service of building toward a $10 billion revenue goal. He believes McDermott checks all those boxes.

McDermott has his work cut out for him. The company’s 2018 revenue was $2.6 billion. Still, he fully embraced the $10 billion challenge. “Well let me answer that very simply, I completely stand by [the $10 billion goal], and I’m looking forward to achieving it,” he said with bravado during today’s call.

It’s worth noting that as the company strives to reach that lofty revenue goal in the coming years, it will be doing with a new CEO in McDermott, as well as a new CFO. The company is in the midst of a search to fill that key position, as well.

McDermott has been here before though. He points out that in the decade he was at SAP, under his leadership the company moved the market cap from $39 billion to $163 billion. Today, ServiceNow’s market cap is similar to when McDermott started at SAP at a little over $41 billion.

He also recognizes that this is going to be a new challenge. “I’ve seen a lot of different business models, and [SAP has] a very different business model than ServiceNow. This is a pure play cloud,” he said. That means as a leader, he says that has to think about product changes differently, how they fit in the overall platform, while maintaining simplicity and keeping the developer community in mind.

Ray Wang, founder and principal analyst at Constellation Research said that ServiceNow is at a point where it needs an enterprise-class CEO who understands tech, partnerships, systems integrators and real enterprise sales and marketing — and McDermott brings all of that to his new employer.


By Ron Miller

Former SAP CEO Bill McDermott taking over as ServiceNow CEO

When Bill McDermott announced he was stepping down as CEO at SAP a couple of weeks ago, it certainly felt like a curious move — but he landed on his feet pretty quickly. ServiceNow announced he would be taking over as CEO there. The transition will take place at year-end.

If you’re wondering what happened to the current ServiceNow CEO, John Donahoe, well he landed a job as CEO at Nike. The CEO carousel goes round and round (and painted ponies go up and down).

Jeff Miller, lead independent director on the ServiceNow board of directors, was “thrilled” to have McDermott fill the void left by Donahoe’s departure. “His global experience and proven track record will provide for a smooth transition and continued strong leadership. Bill will further enhance ServiceNow’s momentum and reputation as a digital workflows leader committed to customer success, and as a preferred strategic partner enabling enterprise digital transformation,” Miller said in a statement.

Jennifer Morgan and Christian Klein replaced McDermott as co-CEOs at SAP, and during the announcement, McDermott indicated he would stay until the end of the year to help with the transition. After that, no vacation for McDermott, who will apparently start at ServiceNow after his obligations at SAP end.

As Frederic Lardinois wrote regarding McDermott’s resignation:

I last spoke to McDermott about a month ago, during a fireside chat at our TechCrunch Sessions: Enterprise event. At the time, I didn’t come away with the impression that this was a CEO on his way out (though McDermott reminded me that if he had already made his decision a month ago, he probably wouldn’t have given it away).

ServiceNow is a much different company than SAP. SAP was founded in 1972 and was a traditional on-premises software company. ServiceNow was founded in 2004 and was born as a SaaS company. While McDermott was part of a transition from a traditional, on-premises enterprise software company to the cloud, working at ServiceNow he will be leading a much smaller organization. Published estimates have SAP at around 100,000 employees, while ServiceNow now has around 10,000.

It’s worth noting that the company made the announcement after the market closed and it announced its latest quarterly earnings. Wall Street did not appear to the like news, as the stock was down $13.34, or 5.84%, in early after-hours trading.


By Ron Miller

Snowflake co-founder and president of product Benoit Dageville is coming to TC Sessions: Enterprise

When it comes to a cloud success story, Snowflake checks all the boxes. It’s a SaaS product going after industry giants. It has raised bushels of cash and grown extremely rapidly — and the story is continuing to develop for the cloud data lake company.

In September, Snowflake’s co-founder and president of product Benoit Dageville will join us at our inaugural TechCrunch Sessions: Enterprise event on September 5 in San Francisco.

Dageville founded the company in 2012 with Marcin Zukowski and Thierry Cruanes with a mission to bring the database, a market that had been dominated for decades by Oracle, to the cloud. Later, the company began focusing on data lakes or data warehouses, massive collections of data, which had been previously stored on premises. The idea of moving these elements to the cloud was a pretty radical notion in 2012.

It began by supporting its products on AWS, and more recently expanded to include support for Microsoft Azure and Google Cloud.

The company started raising money shortly after its founding, modestly at first, then much, much faster in huge chunks. Investors included a Silicon Valley who’s who such as Sutter Hill, Redpoint, Altimeter, Iconiq Capital and Sequoia Capital .

Snowflake fund raising by round. Chart: Crunchbase

Snowflake fund raising by round. Chart: Crunchbase

The most recent rounds came last year, starting with a massive $263 million investment in January. The company went back for more in October with an even larger $450 million round.

It brought on industry veteran Bob Muglia in 2014 to lead it through its initial growth spurt. Muglia left the company earlier this year and was replaced by former ServiceNow chairman and CEO Frank Slootman.

TC Sessions: Enterprise (September 5 at San Francisco’s Yerba Buena Center) will take on the big challenges and promise facing enterprise companies today. TechCrunch’s editors will bring to the stage founders and leaders from established and emerging companies to address rising questions, like the promised revolution from machine learning and AI, intelligent marketing automation and the inevitability of the cloud, as well as the outer reaches of technology, like quantum computing and blockchain.

Tickets are now available for purchase on our website at the early-bird rate of $395.

Student tickets are just $245 – grab them here.

We have a limited number of Startup Demo Packages available for $2,000, which includes four tickets to attend the event.

For each ticket purchased for TC Sessions: Enterprise, you will also be registered for a complimentary Expo Only pass to TechCrunch Disrupt SF on October 2-4.


By Ron Miller

ServiceNow teams with Workplace by Facebook on service chatbot

One of the great things about enterprise chat applications beyond giving employees a common channel to communicate, is the ability to integrate with other enterprise applications. Today, Workplace, Facebook’s enterprise collaboration and communication application, and ServiceNow announced a new chatbot to make it easier for employees to navigate a company’s help desks inside Workplace Chat.

The beauty of the chatbot is that employees can get answers to common questions whenever they want, wherever they happen to be. The Workplace-ServiceNow integration happens in Workplace Chat and can can involve IT or HR help desk scenarios. A chatbot can help companies save time and money, and employees can get answers to common problems much faster.

Previously, getting these kind of answers would have required navigating multiple systems, making a phone call or submitting a ticket to the appropriate help desk. This approach provides a level of convenience and immediacy.

Companies can brainstorm common questions and answers and build them in the ServiceNow Virtual Agent Designer. It comes with some standard templates, and doesn’t require any kind of advanced scripting or programming skills. Instead, non-technical end users can adapt pre-populated templates to meet the needs, language and workflows of an individual organization.

Screenshot: ServiceNow

This is all part of a strategy by Facebook to integrate more enterprise applications into the tool. In May at the F8 conference, Facebook announced 52 such integrations from companies like Atlassian, SurveyMonkey, Hubspot and Marketo (the company Adobe bought in September for $4.75 billion).

This is part of a broader enterprise chat application trend around making these applications the center of every employee’s work life, while reducing task switching, the act of moving from application to application. This kind of integration is something that Slack has done very well and has up until now provided it with a differentiator, but the other enterprise players are catching on and today’s announcement with ServiceNow is part of that.


By Ron Miller

Workato raises $25M for its integration platform

Workato, a startup that offers an integration and automation platform for businesses that competes with the likes of MuleSoft, SnapLogic and Microsoft’s Logic Apps, today announced that it has raised a $25 million Series B funding round from Battery Ventures, Storm Ventures, ServiceNow and Workday Ventures. Combined with its previous rounds, the company has now received investments from some of the largest SaaS players, including Salesforce, which participated in an earlier round.

At its core, Workato’s service isn’t that different from other integration services (you can think of them as IFTTT for the enterprise), in that it helps you to connect disparate systems and services, set up triggers to kick off certain actions (if somebody signs a contract on DocuSign, send a message to Slack and create an invoice). Like its competitors, it connects to virtually any SaaS tool that a company would use, no matter whether that’s Marketo and Salesforce, or Slack and Twitter. And like some of its competitors, all of this can be done with a drag-and-drop interface.

What’s different, Workato founder and CEO Vijay Tella tells me, is that the service was built for business users, not IT admins. “Other enterprise integration platforms require people who are technical to build and manage them,” he said. “With the explosion in SaaS with lines of business buying them — the IT team gets backlogged with the various integration needs. Further, they are not able to handle all the workflow automation needs that businesses require to streamline and innovate on the operations.”

Battery Ventures’ general partner Neeraj Agrawal also echoed this. “As we’ve all seen, the number of SaaS applications run by companies is growing at a very rapid clip,” he said. “This has created a huge need to engage team members with less technical skill-sets in integrating all these applications. These types of users are closer to the actual business workflows that are ripe for automation, and we found Workato’s ability to empower everyday business users super compelling.”

Tella also stressed that Workato makes extensive use of AI/ML to make building integrations and automations easier. The company calls this Recipe Q. “Leveraging the tens of billions of events processed, hundreds of millions of metadata elements inspected and hundreds of thousands of automations that people have built on our platform — we leverage ML to guide users to build the most effective integration/automation by recommending next steps as they build these automations,” he explained. “It recommends the next set of actions to take, fields to map, auto-validates mappings, etc. The great thing with this is that as people build more automations — it learns from them and continues to make the automation smarter.”

The AI/ML system also handles errors and offers features like sentiment analysis to analyze emails and detect their intent, with the ability to route them depending on the results of that analysis.

As part of today’s announcement, the company is also launching a new AI-enabled feature: Automation Editions for sales, marketing and HR (with editions for finance and support coming in the future). The idea here is to give those departments a kit with pre-built workflows that helps them to get started with the service without having to bring in IT.


By Frederic Lardinois

MariaDB acquires Clusterix

MariaDB, the company behind the eponymous MySQL drop-in replacement database, today announced that it has acquired Clusterix, which itself is a MySQL drop-in replacement database, but with a focus on scalability. MariaDB will integrate Clusterix’s technology into its own database, which will allow it to offer its users a more scalable database service in the long run.

That by itself would be an interesting development for the popular open source database company. But there’s another angle to this story, too. In addition to the acquisition, MariaDB also today announced that cloud computing company ServiceNow is investing in MariaDB, an investment that helped it get to today’s acquisition. ServiceNow doesn’t typically make investments, though it has made a few acquisitions. It is a very large MariaDB user, though, and it’s exactly the kind of customer that will benefit from the Clusterix acquisition.

MariaDB CEO Michael Howard tells me that ServiceNow current supports about 80,000 instances of MariaDB. With this investment (which is actually an add-on to MariaDB’s 2017 Series C round), ServiceNow’s SVP of Development and Operations Pat Casey will join MariaDB’s board.

Why would MariaDB acquire a company like Clusterix, though? When I asked Howard about the motivation, he noted that he’s now seeing more companies like ServiceNow that are looking at a more scalable way to run MariaDB. Howard noted that it would take years to build a new database engine from the ground up.

“You can hire a lot of smart people individually, but not necessarily have that experience built into their profile,” he said. “So that was important and then to have a jumpstart in relation to this market opportunity — this mandate from our market. It typically takes about nine years, to get a brand new, thorough database technology off the ground. It’s not like a SaaS application where you can get a front-end going in about a year or so.

Howard also stressed that the fact that the teams at Clusterix and MariaDB share the same vocabulary, given that they both work on similar problems and aim to be compatible with MySQL, made this a good fit.

While integrating the Clusterix database technology into MariaDB won’t be trivial, Howard stressed that the database was always built to accommodate external database storage engines. MariaDB will have to make some changes to its APIs to be ready for the clustering features of Clusterix. “It’s not going to be a 1-2-3 effort,” he said. “It’s going to be a heavy-duty effort for us to do this right. But everyone on the team wants to do it because it’s good for the company and our customers.

MariaDB did not disclose the price of the acquisition. Since it was founded in 2006, though, the Y Combinator-incubated Clusterix had raised just under $72 million, though. MariaDB has raised just under $100 million so far, so it’s probably a fair guess that Clusterix didn’t necessarily sell for a large multiple of that.

 


By Frederic Lardinois

ServiceNow-Box integration brings together two enterprise cloud stalwarts

It used to be a one-vendor, stack-driven world in the enterprise. Today, the cloud has changed that and best of breed and interoperability are the watchwords of the day. Two enterprise cloud stalwarts have announced a new integration that brings Box content directly into ServiceNow.

For ServiceNow customers, it means that they can access Box content without leaving a ServiceNow application and changing focus. Company CTO Allan Leinwand says the two share a lot of common customers, and it made sense to bring them together.

“When you’re inside of a ServiceNow record, for example, you’re looking at an incident or problem or a knowledge base article, you are going to link to directly with a Box document or save files directly to Box from ServiceNow. There’s a lot of very practical things that help people get their work done faster,” he explained.

Jeetu Patel, Box’s Chief Strategy and Chief Product officer says the two companies are working to drive innovation inside organizations and that means working with multiple products to solve organizational issues.

“Our goal has been to be a neutral central content layer for every business process. Part of that ambition is to be able to plug into best of breed applications like ServiceNow. Companies already use these tools, and use Box, and they want to be sure they work seamlessly with each other,” Patel said.

On a practical level, customers can grab the Box plug-in from the ServiceNow Store. It comes with some prebuilt workflows fpr typical ServiceNow product usage scenarios, but the integration is flexible and allows customization. As an example, in an HR scenario, the ServiceNow administrator might build a workflow for onboarding a new employee in ServiceNow’s HR application. Using the company’s Flow Designer workflow-building tool, they can pull in all the documents a new employee needs to sign with other tasks into a single workflow.

Contract workflow with Box content in ServiceNow Flow Designer. Screenshot: ServiceNow

It comes down to helping customers work more efficiently. “We’re both cloud companies, and we’re both driving digital transformation for our customers. And we’ve really seen a lot of synergy between the way people work in Box, and how people are working in ServiceNow. We think we can integrate together and make work get done better,” Leinwand said.


By Ron Miller