Bite-sized Views from 3Kites Consulting – Recent Developments in the In-House Legal Tech Market
a. The “Buy Side”:
The impact of the pandemic caused legal teams to re-examine their technology tools as 2020 unfolded. The initial disruption refocused all of our working practices and relationships through an online prism. Thereafter, astute lawyers asked how they could benefit from previously under-used technologies. Some realised that prior neglect of their core systems hampered life in the working-from-home-world. Document management systems with poor structures or without clear/uniform taxonomies became a source of frustration and those without effective contract management systems suffered too. Nevertheless, there was comment in the legal media that legal technology buying was focused more on technology for corporate clients than on tech acquired for legal teams’ own direct benefit. The implication was that legal teams were perhaps looking after their business colleagues’ needs better than their own. Was that fair? In reality, the majority of legal tech has two-way benefits: while it may be targeted at usage by the business client (not lawyers), the adoption of most legal tech also has a clear benefit on the legal team’s efficiency, or their legal costs or both.
b. Suppliers & Infrastructure:
The current market continues to be characterised by a plethora of small players/start-ups.