It’s hard to believe it’s already late November (time flies!). I’ve seen numerous surveys and reports regarding Q3 2024, and the findings are noteworthy.
Overall, the surveys depict a largely optimistic outlook for the legal sector as it approaches the end of the year, with an uptick in GenAI usage and improved law firm finances. Naturally, a few puzzling results were also included.
Here’s a summary of some of the surveys and outcomes that interested me.
- Year-End Overview: As November approaches, year-end summaries and reports for Q3 2024 indicate a positive outlook for the legal sector, particularly in GenAI adoption and law firm financial health.
- Increase in AI Usage: A study by IDC reveals that 50% of legal experts report increased AI usage, while 43% see no change. Notable points include:
– Security considerations rank third when selecting GenAI providers.
– Legal and IT departments equally influence AI procurement.
– Higher usage of GenAI among law firms billing by the hour.
3. Generational Trends in AI Use:
– Legal operations staff and paralegals use GenAI more than attorneys.
– Larger firms show a higher increase in GenAI usage, particularly in document review tasks.
4. Law Firm Financial Growth: The Thomson Reuters Institute’s Financial Index shows significant growth for law firms, with the second-highest score recorded. Key growth areas include increasing demand across various practice areas and improved productivity.
5. Awareness of AI Usage: A survey indicated that only 46.67% of law firms confirmed using generative AI, while 50% are considering it. Attorneys’ awareness of the technology they are using is concerning, suggesting a disconnect in understanding the implementation of AI.
6. Employee Independence: The report highlights a potential issue with employees acting independently in utilising AI technologies without firm-wide awareness.
Source: Legal Technology Hub
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