Venture capital is pouring into the legal technology industry like never before. Anna Ljungdahl, investment director and head of sustainability at Industrifonden, explained why. First, it provided us with the financial framework for investments in legal technology by noting that the total size of the global legal market is $1,011 billion. She went on to explain that the legal sector was one of the slowest sectors to go digital. But now things are changing. It anticipated that “general counsel, legal services and their teams will look for ways to keep their agile contracting process and data at their fingertips.” Investors` money speaks the same language. Global investments in legal technology reached a record high in 2021 – nearly €3 billion worldwide and more than €300 million in Europe. According to Anna, legal technology is a green field of opportunity where everything is just beginning. It seems that for investors, the time has come. Everything seemed as if we were really at the tipping point! However, I want to give you a highlight – namely a snapshot of Christine`s practical, humble, and super inspiring presentation of a growing industrial Cognite SaaS that has just achieved unicorn status. Why did I choose this from the many brilliant presentations? Because the presentation represented in many ways what is just around the corner for all legal teams. He showed how well-implemented legal processes and IT architecture can save employees a lot of time and deliver exceptional value.
Above all, Christine managed to involve all staff in her digital transformation project. He is now able to serve the rapidly growing business with minimal legal resources. As you can see in the photo, the whole process took only a year! I look forward to hearing more stories like Christine`s in the near future. In the afternoon, there were more interesting breakout sessions and a presentation of the Nordic General Counsel`s report by Ulf Lindén, LegalWorks. This report is based on a survey of a few hundred general counsel, most of whom are based in Scandinavia, and was prepared by ALTNordic, a collaboration between alternative legal service providers in four countries (Experticon ApS in Denmark, Laissa Oy in Finland, IBF Legal AS in Norway and LegalWorks in Sweden). One question from the survey concerned the use of various technological tools and led to the following list for 2021: The NORDIC LEGAL TECH DAY is an established legal conference that was first launched in Stockholm in 2015. The conference has evolved into a series of legal technology events held annually in Oslo, Stockholm, Helsinki and Copenhagen. The event is designed to help legal stakeholders stay on top of IT in general and rights-based digital solutions available in the market. In the ensuing panel discussion, Anna Ljungdahl was accompanied by Selcuk Ünlü, Business developer, Norstedts Juridik, Elisabet Dahlman Löfgren, Head of Innovation, Mannheimer Swartling, Charlotta Kronblad, researcher and lawyer, House if Innovation, Stockholm School of Economics, and Joel Wickman, CEO and co-founder of Legalbuddy. The biggest question was whether legal platforms will end the billable hour, but also about general forecasts and how legal technology as such will affect the legal industry.
It all started with a welcome introduction from LegalWorks founder Ulf Lindén and Caroline Snellman, CEO of LegalWorks Advisory, who said that last year was less about champagne bubbles and more about efficiency, and that the pandemic may have been the turning point for digitalization in the legal industry? At least that is a question to which I hope the speakers at the time will help us to get an answer. First, it is a market with enormous potential. Legal tech is one of the slowest sectors to go digital, but despite this, nearly €3 billion was invested in legal tech worldwide in 2021, already setting a new record for the year. Of these global transactions, approximately €300 million was invested in Europe, with Sweden`s Lexly being the fourth largest investment with SEK 175 million. However, the main investments are made by venture capital, and the hesitant exit landscape lacks sufficient industrial buyers. What more could you ask for? A trip to Helsinki, lots of legal technology, a warm Nordic welcome and the chance to see and hear how a large European market tackles the same problems as you. Sounds good? Then check it out here Charlotta Kronblad mentioned the three main conclusions of her thesis “A Bubble In Trouble” that (i) digitalization has influenced clients` businesses and the contexts in which lawyers operate, which is why legal departments will increasingly affect digital issues, regardless of their own digitization of legal sectors (e.g. advice on e-commerce issues), (ii) Digitization is not the end result, but provides the means for change and can go in any direction, for example: Turning products into services (servitization), but also turning services into products and places into services (with virtual courts in mind) and (iii) for digitization efforts in law firms, It is essential to adjust the pricing model accordingly. Looking into the crystal ball, she predicted that in ten years, the focus will be on legal thinking, illustrations, and new perspectives on law as a service. The event aims to give the legal industry an overview of proven legal technology solutions available to lawyers.