The COVID-19 pandemic led to the digitalisation of various sectors like healthcare, food delivery and the legal sector. The legal sector? Yes! It is an emerging sub-sector which is slowly coming into the limelight. Let’s explore more about it.
What’s Happening?
Technology and digitalisation have given birth to a vital offshoot of the mainstream legal sector which is the legal tech sector.
These companies provide legal services through their online platforms using technology and software. Legal technology companies have given a modern essence to paper-based traditional law practices.
According to Business Standard, legal tech startups have raised $57 million in funding over the past decade. The legal services market in India is currently valued at $1.3 billion, while there are currently 650 legal tech startups in India. According to CIIE.com, India has the second-largest number of legal startups. That’s why it is being seen as an emerging market.
What is Legal Technology?
Legal technology is the one that provides legal services digitally. Legal software systems are programs that help law firms manage their daily business operations. It also helps legal professionals do more work and provide better service to their clients. Simply put, you can consult a lawyer through the website or app or get a solution to any legal problem online.
Pandemic Uplifted the Legal Tech Sector
Technology is gradually changing the age-old system. In 2020, the COVID-19 pandemic accelerated the digital transformation of the legal profession. The sector, being in its nascent stages, is also witnessing increasing digitisation of court proceedings.
According to Business Standard, this sector’s funding mainly started in 2013. Since then, 32 startups have raised over $57 million across 70 funding rounds till June 2022. In addition, 2021 saw the highest investment of around $20 million in this sector.
Legal Tech Market in the World
According to Statista, in 2021, the legal tech market generated a revenue of US $27.6 billion worldwide. It is projected to grow at a 4% CAGR by 2027. If this growth sustains, the revenue will reach US $35.6 billion by 2027.
What’s Next?
The present digital technology will help the legal tech sector to reach new highs. Moreover, the upcoming tech-savvy law graduates will further shape the sector.
If everything goes well, the legal technology sector can be a milestone in the judicial service journey of the country.
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