Artificial Intelligence (AI) is rapidly moving from hype to practical application in the legal industry. As highlighted by the Financial Times article, early adopters are drawing valuable lessons from the technology. One of the primary focuses for law firms is data protection, particularly when working across borders where compliance regulations vary. Firms like Ashurst and A&O Shearman are implementing strict measures to ensure client data remains secure, with Hogan Lovells even introducing tools like Craig, which features auto-encryption and zero data retention to protect sensitive information.

Another key insight is the focus on efficiency. While AI may not seem revolutionary for tasks like drafting contracts or summarising long emails, it significantly reduces time spent on mundane activities. Law firms such as Cooley have adopted AI to streamline operations and free up valuable time for more complex legal work. This allows lawyers to focus on strategic matters while AI takes care of routine tasks that, though important, often drain resources.

Job protection remains a critical concern. Despite fears of job losses due to AI, the legal profession has seen incremental productivity gains without significant layoffs. However, some lawyers are concerned that over-reliance on AI might lead to a loss of critical thinking and problem-solving skills in junior lawyers. Firms are now focusing on training their lawyers to balance the use of AI while still honing their expertise to ensure long-term career development.

Read More: Financial Times