ServiceNow CFO: Trillions are being spent on AI initiatives. Are companies asking these 3 key questions?

The hardest investment decisions in business are rarely between a good idea and a bad one.

More often than not, they’re between many good ideas, all backed by smart people, credible data, and a convincing argument for why they need to happen now.

This is further complicated by the fact that AI is moving fast.

Trillions of dollars are being spent globally on new initiatives, and the competitive landscape is being turned on its head.

Every quarter, the list of worthy investments grows longer, and every leader I speak with can make a compelling case for why their initiative matters most.

Here’s what hasn’t changed: capital is finite.

Yes, you could raise more money, but there is no inexhaustible pot of gold waiting to be given out.

If money is going to one area, you’re making a trade-off and spending less somewhere else.

At ServiceNow , that is not a theoretical exercise.

We recently completed our $7.75 billion acquisition of Armis — one of the biggest capital allocation decisions in our history, and a bet that closing the gap between asset visibility and cyber risk mattered more right now than half a dozen other initiatives competing for the same dollars.

These are decisions about where we believe enterprise AI is going, what capabilities we need to own, and how much conviction we have before the ROI is obvious to everyone.

As President and CFO, I sit at the intersection of growth and financial discipline.

It is my job to make deliberate calls about where to invest, when to wait, and when to say no — and, like many other enterprise leaders right now, I’m aiming at a moving target.

Here are the questions I believe every major investment decision must answer.