Globally, the legal industry has intensified its focus on the application of technology to the business and practice of law, and the M&A practice area is no exception. Litera's 2023 M&A survey is a focused investigation of technology’s impact through the insights of over 350 practicing lawyers who specifically focus on M&A primarily in the UK and North America. The survey covers the transaction workflow technologies they are using, their technology investment plans, the staffing and talent retention implications of technology adoption, and much more. Below are a few of our key findings.
Technology is Already Widely Adopted
Across all areas of M&A legal work, technology adoption levels are increasing, with most firms saying they utilize some kind of technology in each phase of the M&A workflow. The phase with the highest rate of technology adoption? Due diligence, with 50% of firms using technology to support their work during this phase. However, even the phase with the least adoption, organization, still had a significant technology adoption rate at 38%.
Adoption Rates and Investments in AI Technologies Are Pervasive
In practice areas where data is abundant, AI technologies are being implemented rapidly. In fact, 79% of firms plan to invest in AI technology in the next year and a staggering 87% believe that AI will become a standard practice in the due diligence process.
Firms Aren’t Just Investing in Technology, But in People, Too
Hiring people who are skilled and knowledgeable in this technology is just as important as the investment in the technology itself. Our survey found that more and more firms are investing and budgeting for roles around technology, including data analysts, legal knowledge engineers, product managers, and more.
These Technologies Are Helping Lawyers and Their Clients Alike
Utilizing AI technology in M&A law doesn’t only free up time for lawyers to focus on their craft—it benefits clients, too. Lawyers can use this technology to better price their services and differentiate themselves against competitors. When submitting pitches or RFPs for new work, 79% of lawyers stated that they include specifics on their use of AI technology as a distinguishing factor.
For more key takeaways, check out the infographic below. For more detailed results, you can download the UK report, download the North America report, or watch our on-demand webinar for all global results. Learn more about what’s next for our leading AI solution for contract review and analysis here.