4 February 2025
As we step into 2025, the legal tech landscape continues to evolve rapidly, shaped by advancements in artificial intelligence, shifts in communication tools, and an increasing focus on governance and compliance. Last year, we explored the trends that would define 2024, and this year promises to build on those foundations while introducing new priorities for enterprises and legal teams. Let’s dive into the top legal tech predictions for 2025.
1. Collaboration tools reshape communication and documentation
Traditional methods of communication and documentation—like email and standalone documents—are giving way to dynamic collaboration tools.
Enterprises increasingly rely on platforms such as Atlassian Confluence, Slack, and Microsoft Teams to centralize communication and documentation processes.
This shift has extended beyond internal workflows to external communications, with tools like Slack Connect and Microsoft Teams gaining traction for secure, real-time collaboration between third-party organizations. While these innovations enhance efficiency, they also introduce new challenges in complying with eDiscovery regulations.
Legal teams must ensure that these tools—with their fluid and often informal communication styles—are properly governed, archived, and retrievable when needed. As collaboration platforms evolve, the regulatory and technical frameworks governing their use will need to keep pace.
2. From chatbots to ‘AI agents’: The next evolution
In 2024, AI assistants and co-pilots transformed insights and text generation. This year, we’ll likely be witnessing a shift towards more specialized “AI agents” embedded directly into workflows. Unlike general-purpose AI, these agents are tailored to specific tasks, enabling greater autonomy in actions and decision-making.
For legal professionals, this means integrating AI agents capable of streamlining tasks such as data enrichment, document review, contract analysis, and compliance monitoring. By automating complex workflows, these tools will help legal teams unlock greater value and improve operational efficiency.
3. Governance AI frameworks take center stage
Artificial intelligence has become an indispensable tool for enterprises, but 2025 will mark a pivotal year for how organizations govern their use of AI. Enterprises will prioritize building or refining comprehensive Governance AI frameworks, if not already in place, to ensure their AI initiatives align with ethical standards, compliance requirements, and organizational values.
Governance AI frameworks will involve committees dedicated to reviewing and approving AI use cases. For example, while marketing teams may leverage generative AI tools like ChatGPT for crafting content, legal teams are expected to refrain from using public generative AI platforms for sensitive or active matters due to confidentiality and privilege concerns.
This trend reflects a broader acknowledgment of AI’s potential risks and underscores the need for enterprises to adopt a cautious and deliberate approach. Companies that establish strong AI governance today will set themselves apart as leaders in responsible innovation.
4. Local governments drive AI accountability
In 2025, local governments will continue raising concerns about AI’s role in automated decision-making, placing added pressure on eDiscovery vendors and legal professionals to adopt robust workflows. To mitigate risks, eDiscovery platforms will need to implement transparent reporting, quality control, and sampling processes to ensure accountability.
This trend is driven by increasing legislative activity at the state level, with numerous bills aimed at regulating AI applications, particularly in contexts where bias or lack of oversight could have significant consequences. For example, Colorado has introduced legislation requiring developers and deployers of high-risk AI systems to exercise reasonable care in preventing algorithmic discrimination. Resources like the National Conference of State Legislatures’ AI legislation overview highlight how states are addressing these challenges, with laws emphasizing disclosure, consumer protection, and responsible AI development.
Legal tech vendors must be proactive in building tools that address these concerns and help enterprises navigate the regulatory landscape effectively. Robust governance frameworks will not only meet compliance standards but also build trust among stakeholders.
5. Continuous growing legal fees and ROI become a primary focus
As law firm legal fees continue to rise, enterprises are increasingly managing work in-house and investing in automated AI tools and workflows to control costs and mitigate risks. This shift not only reduces reliance on external legal services but also streamlines internal processes, allowing organizations to handle more tasks efficiently.
This growing reliance on AI will drive adoption further, along with the increasing need to demonstrate its impact. In 2025, enterprises will place a stronger emphasis on measuring the return on investment (ROI) and defining clear key performance indicators (KPIs) for AI initiatives.
The demand for accountability stems from higher levels of investment in AI technologies. Legal tech vendors will need to provide intuitive solutions that deliver measurable outcomes while offering transparency into how those outcomes are achieved. Metrics such as time saved, risk mitigated, cost reduction and compliance enhanced will be central to justifying AI’s role in legal workflows.
Preparing for the future of legal tech
2025 is shaping up to be a transformative year for the legal tech industry, with governance, accountability, and innovation at the forefront. Enterprises and legal professionals who embrace these trends proactively will be better positioned to navigate the challenges and opportunities ahead.
From establishing Governance AI frameworks to adapting to new collaboration tools, the future demands a forward-thinking mindset and a commitment to responsible innovation. As we look to the horizon, one thing is clear: the intersection of technology and law has never been more dynamic, and the possibilities are endless.