**By Lisa Worcman, partner sponsor and Mariane Cortez, innovation consultant of attix
The adoption of artificial intelligence (AI), especially generative artificial intelligence, creates a significant expectation of transformation in the legal sector. As mentioned in the reportThe Future is Now: Artificial Intelligence and the Legal Professionpublished byInternational Bar Association and the Center for AI and Digital Policy"The transformative impact of AI can no longer be ignored". If the internet has changed the way we live and work, AI can have an even greater impact on our profession and on our society. Not all the consequences of AI have been identified yet, but it is clear that the future has already arrived.”
This digital transformation of the legal sector has fostered a specific segment: LegalTechs. According to thesurvey carried out by Future Market Insights, the valuation of this market is expected to reach US$ 29,60 billion in 2024, with a forecast to reach the value of US$ 68,4 billion by 2034. Only in Brazil, since the creation of AB2L – Brazilian Association of Lawtechs and LegalTechs in 2017, the number of associated LegalTechs increased by more than 300%
LegalTechs are startups that aim to simplify, optimize or improve legal practice. The range of solutions offered is diverse, such as contract management and supply chain software, integrated procedural search platforms connected to various courts with jurimetrics and e-discovery platforms, all focused on optimizing activities, improve the efficiency and quality of the work delivered to the end customer
Starting from 2019, the evolution and popularization of generative AI, technology capable of creating new content, like images and texts, contributed to the acceleration and development of LegalTechs. This is because this technology can increase the operational efficiency of the activities carried out through it by up to 10 times, how to automatically create contracts and various documents, faster and more personalized responses to open-ended questions and the analysis of large volumes of legal data to find patterns and insights. The possibility of conducting better predictive analyses enables lawyers to make more reliable predictions about the outcome of litigation, supporting the development of more effective legal strategies
Thus, although the LegalTech market began to evolve before generative AI, without a doubt this technology has become an increasingly important factor in the growth and transformation of the legal market
LegalTechs in evolution
The potential of AI in the segment is vast, and LegalTechs will continue to develop increasingly sophisticated solutions. The personalization of services is also presented as a trend in the sector, with AI platforms capable of adapting legal recommendations to the specific needs of each client, promoting a more personalized service
Furthermore, an important evolution in information security is expected, with the development of tools that further protect sensitive data, especially in a context of greater technological integration. Another advancement we can expect is greater use of AI in supporting dispute resolution, with systems capable of mediating and even resolving conflicts more quickly and accurately, unclogging the judicial system
Technology adoption depends on training
Artificial intelligence is redefining the work of law firms and legal departments that invest in technological innovation
However, so that the benefits are significant, in addition to assessing in which processes and activities AI will be used, it is essential that teams are trained before the implementation of solutions and that there are continuous development programs in order to ensure successful integration and use. For success in using technologies, it is essential that teams know how to extract the best results from the tools used. Thus, those who are prepared to adopt this innovation will be in a prominent position in the legal market
