𝗘𝘅𝗽𝗹𝗼𝗿𝗶𝗻𝗴 𝘁𝗵𝗲 𝗟𝗲𝗴𝗮𝗹 𝗧𝗲𝗰𝗵 𝗟𝗮𝗻𝗱𝘀𝗰𝗮𝗽𝗲: 𝗔 𝗖𝗼𝗺𝗽𝗮𝗿𝗮𝘁𝗶𝘃𝗲 𝗔𝗻𝗮𝗹𝘆𝘀𝗶𝘀
Donna AI Resource Hub
“The legal tech market is growing at an astonishing rate….” We have heard this again and again, so we decided to take a fresh look at the numbers, predictions, and context behind this statement.
According to KBV Research, in 2022, the global legal tech market was valued at $22.5 billion (similar to the GDP of Armenia) (IMF). It is projected to reach $45.1 billion by 2030, growing at a steady rate of 9.3% CAGR (on par with the GDP of Bolivia) (IMF).
Additionally, the Legal Tech Artificial Intelligence market, valued at $8.15 billion in 2023, is forecast to expand exponentially at a rate of 33.7% CAGR, reaching an astounding $46.56 billion by 2032 (2024-2032 Legal Tech Artificial Intelligence Market Insights). The broader AI market is projected to grow to $1.87 trillion by 2030 (Statista). So, it’s true: the legal tech and AI markets are growing at an astonishing rate.
When starting a company or a startup, conducting thorough market research is one of the first steps to understanding the landscape you’re entering. I now laugh at our initial competitive market analysis, depicted in the first image, where we sought to identify a niche within the legal tech space. However, we quickly realized that our initial view barely scratched the surface, as better depicted by the landscape created by Thomson Reuters (Thomson Reuters)—and this was before the AI boom!
Since the release of OpenAI in February 2022, the market has seen an avalanche of new AI companies and products, as reflected in the third image by Legal Complex (Legal Complex), updated in June 2024. Again, this is not a comprehensive list of what is on the market.
In addition to new players, there have been significant mergers and acquisitions. Notable recent examples include Lexis Nexis acquiring Henchman and Thomson Reuters acquiring Safe Sign Technologies. We can expect further consolidation of the market, along with the introduction of new AI-driven products, which will continue to reshape the legal tech landscape.
With all these changes, staying up to date is challenging, and it can feel like a new tool or company is launched every day. However, this rapid development brings exciting opportunities for positive change in the legal field, benefiting lawyers, other professionals in the industry, and most of all, clients.
Sources and URLs:
IMF - https://lnkd.in/d3e8-ucW
IMF - https://lnkd.in/dxBRYNUN
KBV Research - https://lnkd.in/d7du8tA7
Statista - https://lnkd.in/d5GgE2ZP market for artificial intelligence,billion U.S. dollars in 2030
Thomson Reuters - https://lnkd.in/dhBRvSSH
Legal Complex - https://lnkd.in/dR2YsKEf
“The legal tech market is growing at an astonishing rate….” We have heard this again and again, so we decided to take a fresh look at the numbers, predictions, and context behind this statement.
According to KBV Research, in 2022, the global legal tech market was valued at $22.5 billion (similar to the GDP of Armenia) (IMF). It is projected to reach $45.1 billion by 2030, growing at a steady rate of 9.3% CAGR (on par with the GDP of Bolivia) (IMF).
Additionally, the Legal Tech Artificial Intelligence market, valued at $8.15 billion in 2023, is forecast to expand exponentially at a rate of 33.7% CAGR, reaching an astounding $46.56 billion by 2032 (2024-2032 Legal Tech Artificial Intelligence Market Insights). The broader AI market is projected to grow to $1.87 trillion by 2030 (Statista). So, it’s true: the legal tech and AI markets are growing at an astonishing rate.
When starting a company or a startup, conducting thorough market research is one of the first steps to understanding the landscape you’re entering. I now laugh at our initial competitive market analysis, depicted in the first image, where we sought to identify a niche within the legal tech space. However, we quickly realized that our initial view barely scratched the surface, as better depicted by the landscape created by Thomson Reuters (Thomson Reuters)—and this was before the AI boom!
Since the release of OpenAI in February 2022, the market has seen an avalanche of new AI companies and products, as reflected in the third image by Legal Complex (Legal Complex), updated in June 2024. Again, this is not a comprehensive list of what is on the market.
In addition to new players, there have been significant mergers and acquisitions. Notable recent examples include Lexis Nexis acquiring Henchman and Thomson Reuters acquiring Safe Sign Technologies. We can expect further consolidation of the market, along with the introduction of new AI-driven products, which will continue to reshape the legal tech landscape.
With all these changes, staying up to date is challenging, and it can feel like a new tool or company is launched every day. However, this rapid development brings exciting opportunities for positive change in the legal field, benefiting lawyers, other professionals in the industry, and most of all, clients.
Sources and URLs:
IMF - https://lnkd.in/d3e8-ucW
IMF - https://lnkd.in/dxBRYNUN
KBV Research - https://lnkd.in/d7du8tA7
Statista - https://lnkd.in/d5GgE2ZP market for artificial intelligence,billion U.S. dollars in 2030
Thomson Reuters - https://lnkd.in/dhBRvSSH
Legal Complex - https://lnkd.in/dR2YsKEf