Lakehouse Global Growth Fund on ServiceNow, Inc.
Thesis
Lakehouse believes fears that AI and vibe coding will destroy deeply embedded enterprise software platforms are too broad. ServiceNow's value lies not simply in its user interface but in decades of configuration data, integrations and workflow infrastructure that make it deeply embedded inside large organisations. Its existing distribution, security position and proprietary enterprise context give it an advantage in deploying AI, while Now Assist is already generating substantial annual contract value. Lakehouse therefore views the software selloff as an opportunity rather than evidence that ServiceNow's business model is becoming obsolete.
“we believe the established enterprise platforms start with a decisive edge.”
Key risks
- AI agents could pressure traditional seat-based software pricing models.
- Vibe coding and cheaper software development lower barriers to entry in parts of the software market.
- Incumbents must successfully transition toward consumption- and outcome-based AI monetisation.