ServiceNow Shares Drop Amid Reports of $7 Billion Armis Acquisition Talks

Dec 15, 2025

Shares of ServiceNow fell sharply on Monday after reports emerged that the company is in advanced talks to acquire cybersecurity startup Armis for about $7 billion.

According to multiple sources, the potential deal could be announced soon and would be the largest acquisition in ServiceNow's history. Armis had reportedly been preparing for an initial public offering before these discussions.

The stock decline also reflects investor concerns about ServiceNow becoming more aggressive with acquisitions as it seeks to boost its growth.

Neither ServiceNow nor Armis has publicly confirmed the reported negotiations.

Why did ServiceNow's stock price go down?

The stock fell after reports that the company is considering its largest-ever acquisition, which raised concerns among investors about spending and future growth strategy.

What does Armis do?

Armis is a cybersecurity company that specializes in protecting devices connected to the Internet, including those used in workplaces and industry.

Has the acquisition been confirmed?

No, both ServiceNow and Armis have not officially confirmed that an agreement has been reached.

Why is ServiceNow interested in buying Armis?

ServiceNow may be interested in enhancing its security offerings by adding Armis' cybersecurity solutions, although this has not been officially stated by either company.

Sources
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