Artificial intelligence is like teenage sex: “Everyone talks about it, nobody really knows how to do it, everyone thinks everyone else is doing it, so everyone claims they are doing it.” (Dan Ariely)
This holds certainly true for the legal world. Today the majority of business law firms claims to use artificial intelligence...
TGO Consulting helps its clients to set specific and realistic automation goals and make smart choices focusing on maximum return on time and capital spend, taking into account the learning curve needed for lawyers in order to use the new tools. We are not IT sales people. We help distinguish between what is hype and what will benefit lawyers in the real world. We focus on business opportunities for our clients embracing technology in a new and smart way. Technology seen as a business
Q3 2017 we have made an inventory of LegalTech and identified some 1700 tech companies and initiatives offering services for the legal sector. Total investment in the sector mounted to 2.2 billion. Significantly up from the 550 million in 2015. About 60% of all investment has gone into software for e-discovery, IP-management and contract management, software predominantly used by clients. Most legal tech companies are not profitable and are still heavily reliant on Venture Capital. It is hard to predict what percentage of the 1700 tech companies will still be around by 2025.
AI will probably not replace lawyers in the foreseeable future and being a great lawyer will increasingly come down to human skills. Lawyers will lose the monopoly on legal knowledge. AI and other IT solutions will augment lawyers and make them more efficient. Lawyers will have to learn how to use the new software tools and the learning curve could well be steep and time consuming. Not every lawyer will be prepared to invest the time and effort required. Certainly something to keep in mind before investing.
AI is only as good as the data it receives. And it is able to interpret that data only within the narrow confines of the supplied context. It doesn’t “understand” what it has analyzed, so it is unable to apply its analysis to scenarios in other contexts. And it can’t distinguish causation from correlation. AI is more like an Excel spreadsheet on steroids than a thinker.
Contact us to discuss your situation and let us help find our where to invest.