AI in Legal Services Market Size is valued at USD 9.2 billion in 2023 and is predicted to reach USD 61.6 billion by the year 2031 at a 27.7% CAGR during the forecast period for 2024-2031.
AI in legal services is transforming the way legal professionals work by automating routine tasks, enhancing decision-making, and improving access to legal information. AI-driven tools streamline document analysis, legal research, contract review, and even offer predictive insights for case outcomes. Enhancing the accuracy and accessibility of legal services while cutting expenses and increasing efficiency is the aim. Review and analysis of documents, legal research, contract administration, and other areas are the main areas of AI in legal services. Lawyers can locate pertinent case law, statutes, and legal precedents more quickly and effectively with the use of AI-powered legal research tools, which can deliver more thorough and rapidly updated search results.
The AI in legal services is being driven by several factors including technological advancements, rising investment in AI, growing strategic collaboration among the market players, increasing volume of data and documents, demand for greater efficiency and cost reduction and many others. However, the market growth of this market is restricted by some variables like ethical and regulatory concerns, high cost of implementation, complexity of legal work and others.
Furthermore, advancements in NLP and growing investment in legal tech are some of the major potential opportunities for market growth during the estimated duration.
The AI in Legal Services market is segmented based on type, application and end user. Based on type, the market is segmented as natural language processing (NLP), machine learning, predictive analytics, data analytics and visualization, robotic process automation (RPA), virtual assistants and expert systems. By application, the market is segmented into contract review and analysis, legal research, e-discovery and litigation support, due diligence, predictive legal analytics, compliance management, document automation, case prediction and outcome analysis, intellectual property management and legal chatbots. Based on end users, the industry is bifurcated into law firms, corporate legal departments, government and regulatory bodies, legal tech companies and others.
The data analytics and visualization category is expected to hold a major share of the global AI in legal services market. Artificial intelligence (AI)-powered data analytics solutions give legal practitioners access to client information, legal trends, and case law to assist them make better decisions. Strategic planning and case management are enhanced by this capacity to analyze vast amounts of data and produce useful insights, which results in more effective and efficient legal services. AI tools also save time and effort by automating data analysis and visualization, which takes less time and effort than manual data processing. Law companies may handle more cases and clients due to this efficiency, which raises their potential revenue.
The due diligence segment is projected to grow rapidly in the global AI in legal services market. Due diligence technologies powered by AI are having a big impact on the legal services industry because they're more accurate, efficient, and economical. Because of these developments, businesses can handle more transactions, cut expenses, and better manage risks, all of which contribute to revenue growth. Due diligence is a fast growing industry for artificial intelligence (AI), driven by rising investment, broad acceptance, and a need for cutting-edge solutions. AI technologies' involvement in due diligence will probably become even more crucial as they develop, as they are the main source of revenue and expansion for the legal services sector.
The North America AI in Legal Services market is expected to report the maximum market share in the near future. Due to the abundance of law firms, legal technology businesses, and a strong emphasis on innovation, North America is one of the greatest marketplaces for artificial intelligence in the legal services industry. The increased usage of AI technology by legal professionals and organizations is projected to drive further growth in the market. In North America, big law firms and corporate legal departments are among the first to use AI technology, using them to boost service delivery, cut expenses, and increase efficiency. Smaller businesses are starting to use AI as the technology becomes more widely available. In addition, Asia Pacific is likely to grow rapidly in the global AI in legal services market due to rising investment in advanced technology.
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Report Attribute |
Specifications |
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Market Size Value In 2023 |
USD 9.2 Bn |
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Revenue Forecast In 2031 |
USD 61.6 Bn |
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Growth Rate CAGR |
CAGR of 27.7% from 2024 to 2031 |
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Quantitative Units |
Representation of revenue in US$ Bn and CAGR from 2024 to 2031 |
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Historic Year |
2019 to 2023 |
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Forecast Year |
2024-2031 |
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Report Coverage |
The forecast of revenue, the position of the company, the competitive market structure, growth prospects, and trends |
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Segments Covered |
By Type, Application, End-User |
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Regional Scope |
North America; Europe; Asia Pacific; Latin America; Middle East & Africa |
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Country Scope |
U.S.; Canada; U.K.; Germany; China; India; Japan; Brazil; Mexico; France; Italy; Spain; South East Asia; South Korea |
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Competitive Landscape |
IBM Corporation, Open Text Corporation, Thomson Reuters Corporation, Veritone Inc., ROSS Intelligence Inc., Luminance Technology Ltd., LexisNexis Group Inc., Neota Logic Inc., Kira Inc. Casetext Inc and Others. |
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Customization Scope |
Free customization report with the procurement of the report and modifications to the regional and segment scope. Particular Geographic competitive landscape. |
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Pricing And Available Payment Methods |
Explore pricing alternatives that are customized to your particular study requirements. |
Chapter 1. Methodology and Scope
1.1. Research Methodology
1.2. Research Scope & Assumptions
Chapter 2. Executive Summary
Chapter 3. Global AI in Legal Services Market Snapshot
Chapter 4. Global AI in Legal Services Market Variables, Trends & Scope
4.1. Market Segmentation & Scope
4.2. Drivers
4.3. Challenges
4.4. Trends
4.5. Investment and Funding Analysis
4.6. Industry Analysis – Porter’s Five Forces Analysis
4.7. Competitive Landscape & Market Share Analysis
4.8. Impact of Covid-19 Analysis
Chapter 5. Market Segmentation 1: by Type Estimates & Trend Analysis
5.1. by Type & Market Share, 2019 & 2031
5.2. Market Size (Value (US$ Mn)) & Forecasts and Trend Analyses, 2019 to 2031 for the following by Type:
5.2.1. Natural Language Processing (NLP)
5.2.2. Machine Learning
5.2.3. Predictive Analytics
5.2.4. Data Analytics and Visualization
5.2.5. Robotic Process Automation (RPA)
5.2.6. Virtual Assistants
5.2.7. Expert Systems
Chapter 6. Market Segmentation 2: by End user Estimates & Trend Analysis
6.1. by End user & Market Share, 2019 & 2031
6.2. Market Size (Value (US$ Mn)) & Forecasts and Trend Analyses, 2019 to 2031 for the following by End user:
6.2.1. Law Firms
6.2.2. Corporate Legal Departments
6.2.3. Government and Regulatory Bodies
6.2.4. Legal Tech Companies
6.2.5. Others
Chapter 7. Market Segmentation 3: by Application Estimates & Trend Analysis
7.1. by Application & Market Share, 2019 & 2031
7.2. Market Size (Value (US$ Mn)) & Forecasts and Trend Analyses, 2019 to 2031 for the following by Application:
7.2.1. Contract Review and Analysis
7.2.2. Legal Research
7.2.3. E-Discovery and Litigation Support
7.2.4. Due Diligence
7.2.5. Predictive Legal Analytics
7.2.6. Compliance Management
7.2.7. Document Automation
7.2.8. Case Prediction and Outcome Analysis
7.2.9. Intellectual Property Management
7.2.10. Legal Chatbots
Chapter 8. AI in Legal Services Market Segmentation 4: Regional Estimates & Trend Analysis
8.1. North America
8.1.1. North America AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Type, 2023-2031
8.1.2. North America AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by End user, 2023-2031
8.1.3. North America AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Application, 2023-2031
8.1.4. North America AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by country, 2023-2031
8.2. Europe
8.2.1. Europe AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Type, 2023-2031
8.2.2. Europe AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by End user, 2023-2031
8.2.3. Europe AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Application, 2023-2031
8.2.4. Europe AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by country, 2023-2031
8.3. Asia Pacific
8.3.1. Asia Pacific AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Type, 2023-2031
8.3.2. Asia Pacific AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by End user, 2023-2031
8.3.3. Asia-Pacific AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Application, 2023-2031
8.3.4. Asia Pacific AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by country, 2023-2031
8.4. Latin America
8.4.1. Latin America AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Type, 2023-2031
8.4.2. Latin America AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by End user, 2023-2031
8.4.3. Latin America AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Application, 2023-2031
8.4.4. Latin America AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by country, 2023-2031
8.5. Middle East & Africa
8.5.1. Middle East & Africa AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Type, 2023-2031
8.5.2. Middle East & Africa AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by End user, 2023-2031
8.5.3. Middle East & Africa AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by Application, 2023-2031
8.5.4. Middle East & Africa AI in Legal Services Market Revenue (US$ Million) Estimates and Forecasts by country, 2023-2031
Chapter 9. Competitive Landscape
9.1. Major Mergers and Acquisitions/Strategic Alliances
9.2. Company Profiles
9.2.1. IBM Corporation
9.2.2. ROSS Intelligence
9.2.3. LexisNexis
9.2.4. Casetext, Inc.
9.2.5. Neota Logic
9.2.6. Kira Systems
9.2.7. Everlaw, Inc.
9.2.8. ThoughtRiver
9.2.9. LegalMation
9.2.10. Ravel Law (A LexisNexis Company)
9.2.11. Seal Software (Now part of DocuSign)
9.2.12. LawGeex
AI in Legal Services Market By Type-
AI in Legal Services Market By Application-
AI in Legal Services Market By End User-
AI in Legal Services Market By Region-
North America-
Europe-
Asia-Pacific-
Latin America-
Middle East & Africa-
InsightAce Analytic follows a standard and comprehensive market research methodology focused on offering the most accurate and precise market insights. The methods followed for all our market research studies include three significant steps – primary research, secondary research, and data modeling and analysis - to derive the current market size and forecast it over the forecast period. In this study, these three steps were used iteratively to generate valid data points (minimum deviation), which were cross-validated through multiple approaches mentioned below in the data modeling section.
Through secondary research methods, information on the market under study, its peer, and the parent market was collected. This information was then entered into data models. The resulted data points and insights were then validated by primary participants.
Based on additional insights from these primary participants, more directional efforts were put into doing secondary research and optimize data models. This process was repeated till all data models used in the study produced similar results (with minimum deviation). This way, this iterative process was able to generate the most accurate market numbers and qualitative insights.
Secondary research
The secondary research sources that are typically mentioned to include, but are not limited to:
The paid sources for secondary research like Factiva, OneSource, Hoovers, and Statista
Primary Research:
Primary research involves telephonic interviews, e-mail interactions, as well as face-to-face interviews for each market, category, segment, and subsegment across geographies
The contributors who typically take part in such a course include, but are not limited to:
Data Modeling and Analysis:
In the iterative process (mentioned above), data models received inputs from primary as well as secondary sources. But analysts working on these models were the key. They used their extensive knowledge and experience about industry and topic to make changes and fine-tuning these models as per the product/service under study.
The standard data models used while studying this market were the top-down and bottom-up approaches and the company shares analysis model. However, other methods were also used along with these – which were specific to the industry and product/service under study.
