More Than 33% of Legal Teams Actively Using GenAI, with Adoption Rates Surpassing Cloud by 5x, Everlaw and ACEDS Study Reveals

90% of Professionals Are Using or Planning to Use GenAI, with Only 2% Viewing it Negatively

OAKLAND, Calif.--(BUSINESS WIRE)--Everlaw, the cloud-native investigation and litigation platform, published today "2024 Ediscovery Innovation Report,” which finds more than 33% of legal teams actively using generative AI in their practice, with adoption rates surpassing cloud by five times.

In partnership with the Association of Certified E-Discovery Specialists (ACEDS), Everlaw surveyed 267 legal professionals in the U.S. across law firms, corporate legal departments, government agencies, and legal service providers to surface key trends in technology use for litigation and investigation work. The fourth annual study finds:

• GenAI adoption is happening roughly five times faster than cloud

Just a year and a half after the launch of ChatGPT, more than a third (33.7%) of respondents are currently using GenAI in their practice, with 17% actively using it in production on live matters, and 16% using it in some form of beta testing.

This rapid uptake contrasts sharply with the adoption of cloud-based ediscovery software, which took nearly a decade to reach a similar level of use. Compare these numbers to the 2021 Ediscovery Adoption Report*, where only 37% of respondents were using the cloud in any fashion, and it’s apparent how quickly the adoption of GenAI has spread.

“What we found is a group that is ready to embrace GenAI like no other technology before,” said Chuck Kellner, strategic discovery advisor, Everlaw. “While we’ve seen a more gradual pace of cloud-based adoption of ediscovery software over the years, with GenAI, the typical skepticism that attorneys have shown toward new technology hasn’t stopped their intense exploration and early adoption.”

• Legal teams are still looking for training, education, and organizational support

Despite the enthusiasm around GenAI, the legal industry is cautious in its adoption. Over two-thirds of respondents (68%) feel legal professionals still feel the industry isn’t prepared for the impacts of GenAI, which is only a slight improvement over the previous years’ results (72%). A majority would also like to see better education (76%) and training (81%) on how to use GenAI in their work from their organization.

• Comfort levels in GenAI usage: document review and translation lead the way

Legal professionals are most comfortable using GenAI for document review and translation, with these tasks seeing the highest adoption rates with other tasks at much lower levels, highlighting a need for further development and trust in the technology's capabilities.

• 80% foreign language translation
• 78% document review
• 66% deposition summaries
• 33% drafting and writing
  

• The cloud divide evolves into the AI divide

The survey also revealed a widening gap between tech-forward legal teams and those lagging behind. The results show that those with their ediscovery software deployed on the cloud are:

• Six times more likely to be actively using GenAI in their legal matters than those with their ediscovery software deployed on-premises.
• Five times more likely to have a positive attitude towards the proliferation of GenAI in the legal industry than those whose software is on-prem.
• Four times more likely to think that GenAI will be the standard in ediscovery technology in the next two years than respondents whose software is hosted on-prem.

This growing divide underscores the importance of investment in AI policy, education, and training to remain competitive in the legal industry.

• How legal teams are getting started with GenAI

For legal teams on the sidelines, the survey identified three critical steps legal teams are taking to drive GenAI adoption:

1. Create a GenAI policy: Nearly 75% of respondents have established clear guidelines and protocols for GenAI use within the organization.
2. Involve employees in GenAI adoption: More than 70% have engaged their team early in the process to ensure buy-in and understanding.
3. Train employees on GenAI: 63% say they are being trained on how to use GenAI in their work. But, only 27% feel they are being trained on skills not likely to be replaced by GenAI.

“As the legal industry navigates this new technological frontier, the importance of strategic planning and education cannot be overstated,” said Kellner. “Those who invest in GenAI today will be better positioned to lead tomorrow.”

"Each year, this report offers valuable insights into the evolving landscape of legal technology, and this year's focus on the rapid adoption of generative AI is particularly significant,” said Mike Quartararo, president of ACEDS. “At ACEDS, we're dedicated to supporting the legal community in navigating these technological shifts, and our annual participation in this initiative reflects our commitment to equipping professionals with the tools and knowledge they need to stay ahead. This year's findings highlight AI's transformative potential, and we are excited to see how it will continue to shape the future of ediscovery."

About ACEDS

The Association of Certified E-Discovery Specialists (ACEDS) is a leading global membership organization committed to bringing together professionals in the fields of e-discovery, information governance, compliance, and data privacy. ACEDS provides training, certification, and networking opportunities to empower individuals and organizations to navigate the complexities of the modern legal landscape.

Methodology: Everlaw conducted this study with ACEDS to learn more about key trends in ediscovery innovation. We emailed legal professionals in May and June of 2024 and received 267 completed responses to our survey. Respondents were not provided an incentive for participation; however, Everlaw made a $5,000 donation to Save the Children and the Innocence Project on behalf of the survey participants.

Read our blog post to learn more about this survey.

*Everlaw's 2021, 2022 and 2023 Ediscovery Adoption Reports.

About Everlaw

Everlaw helps legal teams navigate the increasingly complex ediscovery landscape to chart a straighter path to the truth. Trusted by Fortune 100 corporate counsel, 91 of the Am Law 200, and all 50 state attorneys general, Everlaw's combination of intuitive experience, advanced technology, and partnership with customers empowers organizations to tackle the most pressing technological challenges—and transform their approach to discovery and litigation in the process. Founded in 2010 and based in Oakland, Calif., Everlaw is funded by top-tier investors, including Andreessen Horowitz, CapitalG, HIG Growth Partners, K9 Ventures, Menlo Ventures, and TPG Growth. Follow us on LinkedIn.