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SoftBank-backed LegalOn lands $50M to streamline legal workflows with AI
LegalOn Technologies, a SoftBank-backed startup, has raised $50M to enhance its AI contract review software aimed at streamlining legal workflows. The tool is used by 7,000 organizations worldwide and claims to cut review times by up to 85%. The funding will help develop AI agent tools and strengthen its market presence in the U.S. and U.K.
Key points
- LegalOn Technologies has raised $50 million in Series C funding led by Goldman Sachs to develop AI agent tools.
- The company's software, Review, is used by 7,000 organizations, mainly across Japan, the U.S., and the U.K., leading the Japanese market with a 25% usage among public companies.
- Review cuts contract review times by up to 85% and enhances quality and accuracy through lawyer-built playbooks.
- LegalOn aims to automate legal workflows further by launching tools like Matter Management to improve legal team efficiency.
- The startup's collaboration with OpenAI allows it access to advanced AI models, pushing the development of cutting-edge legal tech.
- LegalOn has raised over $200 million in total capital, attracting investments from prominent firms, including SoftBank.
Why it matters
- Legal tech is rapidly evolving, with significant funding rounds for startups leveraging AI, indicating a trend towards automation in the industry.
- The partnership with OpenAI reflects a broader trend in tech where companies are collaborating to enhance their AI capabilities.
- The rise of legal tech funding, with competitors like Harvey AI securing substantial investments, showcases the industry's growth potential amid the AI revolution.
LegalOn's successful funding and innovative tools signify a pivotal moment in legal tech, promising efficiency boosts while retaining the essential role of human lawyers, aligning well with ongoing trends in AI adaptation.