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Transforming Government: GSA and ServiceNow’s OneGov Deal Powers AI-First Modernization
The U.S. General Services Administration (GSA) announced a landmark OneGov agreement with ServiceNow on September 3, 2025, setting the stage for a new era of AI-driven government modernization. This strategic partnership aims to fundamentally change how federal agencies operate, promising significant advancements in efficiency and service delivery.
This agreement is a direct response to the administration’s commitment to leveraging the power of AI to transform government operations and enhance citizen services. Leaders like GSA Acting Administrator Michael Rigas and Federal Acquisition Service Commissioner Josh Gruenbaum have emphasized that this collaboration with ServiceNow will be instrumental in streamlining government technology, driving efficiency, and unlocking significant taxpayer savings. ServiceNow’s Chairman and CEO, Bill McDermott, highlighted the company’s role as the “AI control tower” for this transformation, helping federal agencies consolidate existing systems, strengthen security, and deliver better outcomes for the American people.
A core benefit of this OneGov agreement is the projected boost in workflow efficiencies by up to 30%, achieved by using AI to streamline a wide range of business processes. Federal agencies will gain access to pre-negotiated discounts through a simplified licensing model, making powerful AI tools more accessible and cost-effective. These substantial discounts include up to 70% off the list price for upgrades to the ITSM Pro and ITSM Pro Plus bundles, which are designed to accelerate the adoption of AI features. Agencies needing core IT service management capabilities with built-in intelligence can also receive a 40% discount on a standalone upgrade to ITSM Pro.
The agreement introduces federal agencies to the ServiceNow AI Platform, an AI-native platform that provides a unified architecture for intelligent automation across various government functions—from IT and security to HR and citizen services. A key component of this platform is Agentic AI, which augments employee efficiency by reducing duplicative work and delivering a seamless user experience. These AI agents can quickly improve incident resolution times, provide real-time recommendations, summarize case data, and enhance compliance with service level agreements. All these capabilities are available for both FedRAMP High (IL4) and National Security Cloud (IL5) environments, ensuring robust security for sensitive government operations.
This initiative is deeply aligned with President Trump’s Executive Order on procurement consolidation and GSA’s OneGov Strategy, championing a streamlined and cost-effective approach to federal IT. By supporting the White House’s America’s AI Action Plan, this agreement provides agencies with direct access to a mission-ready AI platform that already drives over 200 million government tasks annually. The collective impact promises faster modernization, stronger collaboration, and ultimately, significant cost savings for taxpayers.
AI, Government Modernization, GSA, ServiceNow, Federal Agencies, Digital Transformation, ITSM, Cost Savings, Efficiency, OneGov, Technology, Public Service, MarketUS.com