Technology Trends Driving Change in Small and Midsize Law Firms (2025 Update)

1. Generative AI Becomes Integral to Legal Workflows

Generative AI tools have transitioned from experimental to essential in some law firms. Platforms like Harvey are gaining adoption, with reports indicating usage in eight of the top ten law firms in the U.S.  These tools assist in drafting documents, conducting legal research, and analyzing contracts, significantly reducing the time required for routine tasks.

Mid-sized firms are also embracing AI. For instance, VWV, a UK-based firm, has integrated AI into its operations, involving trainees in developing AI strategies and tools, leading to increased efficiency and innovation.

2. Emphasis on Customization and Client Collaboration

Firms are focusing on tailoring technology solutions to meet specific client needs. Harvey, for example, collaborates with firms to develop bespoke legal workflow software, transforming custom projects into reusable modules.  This approach not only enhances service delivery but also creates new revenue streams.

3. AI Adoption Without Significant Job Reductions

Contrary to fears of widespread job losses, AI integration has not led to significant reductions in legal staff. Firms like Simmons & Simmons report that while AI handles routine tasks more efficiently, it allows lawyers to focus on more complex work, maintaining overall employment levels. 

4. Virtual Law Firms and Remote Work Models

The concept of virtual law firms has gained traction, with technology enabling lawyers to work remotely while maintaining client service quality. These firms utilize secure cloud-based platforms for communication and document management, reducing overhead costs and increasing flexibility.

5. Technology for Law Firms Increases Focus on Training and Ethical AI Use

As AI tools become more prevalent, firms are investing in training programs to ensure lawyers can effectively and ethically use these technologies. This includes understanding AI limitations, ensuring data privacy, and maintaining compliance with legal standards.

Historical Reference:

For a comprehensive understanding of the evolution of these trends, take a listen to a podcast in 2023 with David Bensinger where he discussed these trends with Ari Kaplan of Reinventing Professionals.

This earlier piece provides foundational insights into the initial stages of technological adoption in the legal sector, many of which have matured significantly over the past two years. By staying informed and adaptable, small and midsize law firms can continue to leverage technological advancements to enhance their services and remain competitive in the evolving legal landscape.

We'd love to hear from you: What are your thoughts on these technology trends for your business? How is your law firm assessing and adopting new technologies? Contact us to share your experiences and questions in the comments below or to discuss our managed IT services.