According to TheRegister.com, ServiceNow has amended its employment contract with CEO Bill McDermott, extending his tenure with the company through at least December 31, 2030. The new SEC filing, which updates an agreement originally signed on October 22, 2019, outlines that McDermott could serve in one of four roles: CEO, co-CEO, Executive Chairman, or Non-Executive Chairman, at the board’s discretion. The company stated no leadership changes have been made, emphasizing the amendment simply extends his service. However, the filing details how McDermott’s compensation would be structured if he moved into a co-CEO or Executive Chairman role, requiring any such change to be approved by the board with his mutual understanding.
The co-CEO comeback tour
Here’s the thing: this isn’t McDermott’s first rodeo with a shared leadership model. He was co-CEO of SAP from 2010 to 2014 before eventually taking the sole CEO role. So, the concept is familiar to him. The amended contract language is basically a strategic placeholder, giving ServiceNow’s board maximum flexibility for a succession plan over the next six years. It’s a smart, forward-looking move for any company, but it feels particularly pointed given the recent trend. In 2025 alone, we saw Oracle and Comcast announce co-CEO structures, joining Netflix. ServiceNow is now formally signaling it could join that club.
Why the flexibility now?
Look, McDermott is 62. Locking him in until 2030 takes him to nearly 70. That’s a long runway, but the board has to be thinking about what comes next. Is this about grooming an internal successor and allowing for a smoother transition period? Possibly. The co-CEO model can be a great way to do that. Or, is it a recognition that running a massive, complex SaaS company like ServiceNow is becoming a job for two? The filing is clear that compensation would be “commensurate” with the role, so it’s not about demoting McDermott. It’s about structuring options. And let’s be real—these SEC filings are legal documents designed to cover all scenarios. The company’s statement to The Register downplays any imminent change, and they’re probably right. But you don’t put this language in there unless you’re at least considering the path.
The bigger picture on leadership
So what’s driving this mini-wave of co-CEO setups? In tech especially, the scope of the CEO job has become insane. You’re managing hyperscale cloud infrastructure, global sales forces, existential AI pivots, and intense regulatory scrutiny—all at once. Splitting the focus between, say, a product/technology visionary and an operational/financial powerhouse can make sense. But it’s a high-wire act. It requires impeccable chemistry and clearly defined responsibilities to avoid power struggles and decision paralysis. For ServiceNow, a company deeply embedded in the core IT and workflow operations of giant enterprises, stability is everything. This contract move signals they’re planning for that stability far in advance, whether McDermott is flying solo or has a co-pilot. It’s a hedge, and in today’s market, that’s just prudent business.
