Managed services provider Thrive on May 5, 2026 announced an enhanced version of its TransformIT platform, extending AI-powered IT service management (ITSM) automation-previously the domain of large enterprises-to mid-size and small organizations through a co-managed ServiceNow deployment model.
Thrive, a global technology outsourcing provider spanning AI, cybersecurity, cloud, and IT managed services, unveiled updates to its TransformIT platform featuring new AI-powered automation workflows and streamlined employee lifecycle processes for faster deployments. General availability for TransformIT with enhanced AI automations and workflows is set for June 1, 2026.
Background
Mid-market organizations have historically been excluded from enterprise ITSM platforms due to cost and implementation complexity. According to Thrive CEO Bill McLaughlin, "a lot of smaller SMB or mid-enterprise businesses aren't going to go and spend the money on an enterprise platform, first and foremost, nor do they have the capital to go and hire a bunch of developers to build out the workflows for their business." The TransformIT launch is the latest step in a broader strategy Thrive began rolling out in September 2025, when the company launched Managed AI services providing mid-market businesses with a dedicated team of experts to build and implement AI strategy at scale, including secure private GenAI services coupled with data and AI assessment tools.
The broader market context reinforces the timing. According to Gartner, more than 60% of CIOs cite AI as part of their innovation plan, yet fewer than half feel their organization can manage its risks. Meanwhile, Gartner predicts that 40% of enterprise applications will feature task-specific AI agents by the end of 2026, up from less than 5% in 2025. Thrive received an investment from Berkshire Partners and Court Square Capital Partners in January 2025 and completed five acquisitions that year, bringing its total to 27.
Details
Key capabilities of TransformIT include ready-to-use workflows-including AI-powered IT automation workflows to streamline service delivery-and pre-built IT workflows such as onboarding and offboarding, developed from cross-industry best practices.1Top AI Solutions for ITSM in 2025 | Fixify A self-service IT portal with AI-assisted issue entry is also included to improve user experience and resolution times.2Top AI ITSM solutions for enterprises: Strengths and weaknesses Built-in security and compliance tracking for audit readiness is embedded in the platform, reflecting Thrive's stated commitment to governance.3From Automation to AI-First ITSM: What Changed in 2025
With the latest updates, Thrive is adding advanced AI-driven automations and embedded AI capabilities, enabling customers to leverage ServiceNow's optimized workflows to reduce manual IT tasks, accelerate service resolution, and improve operational efficiency. McLaughlin said the company built its AI strategy largely organically, hiring 20 developers to maximize its ServiceNow platform and build AI agents for internal and customer use. Thrive has deployed ServiceNow-based AI agents across its own organization, including in HR, finance, and sales.
ServiceNow endorsed the platform's direction. Alix Douglas, group vice president of Partner Solutions at ServiceNow, stated that "as enterprises transition from AI ambition to AI execution, reliable platform partnerships are more important than ever," adding that solutions like TransformIT "can help organizations modernize workflows, improve efficiency, and drive faster time to value."
The governance dimension is a key differentiator for mid-market buyers assessing AI ITSM tools. Industry research indicates that AI without governance does not scale-and in AI-first ITSM, governance must be embedded directly into decision-making rather than treated as an external constraint. Approximately 42% of IT professionals report their organizations currently use AI capabilities within their ITSM frameworks, with 78% of AI users indicating positive operational impact.
Outlook
The updated TransformIT release also includes a streamlined onboarding and deployment process, with Thrive's team of IT experts working closely with each customer to ensure seamless deployment and long-term success. For CIOs and MSPs evaluating AI ITSM tools, the platform represents a managed-services wrapper around an enterprise-grade stack-an approach designed to reduce total cost of ownership for organizations that lack internal ServiceNow expertise. The global IT Service Management market is projected to grow from USD 10.5 billion in 2023 to USD 22.1 billion by 2028, a compound annual growth rate of 15.9%. Further coverage of AI governance frameworks for ITSM procurement can be found in Regulators Target Interoperability in AI-Driven ITSM Tools and Five AI Features Enterprises Demand in ITSM by 2026.
