U.S. Legal Technology Market Size, Share & Trends Analysis Report By Solution (Software, Services), By Type (E-discovery, Legal Research, Practice Management), By End Use (Law Firms, Corporate Legal Departments), And Segment Forecasts, 2025 - 2033

U.S. Legal Technology Market Growth & Trends

The U.S. legal technology market size is anticipated to reach USD 13,116.4 million by 2033 and is expected to expand at a CAGR of 7.0% from 2025 to 2033, according to a new report by Grand View Research, Inc. The rising complexity of legal work, the emergence of digital transformation, and the increasing focus on data security are driving market growth. Law firms and legal departments seek solutions to increase efficiency and reduce costs. Legal technology platforms such as case management software, e-discovery tools, and contract management systems help streamline processes and improve productivity.

The COVID-19 pandemic positively impacted the legal technology market. The legal industry adapted quickly to the new remote working environment and increased reliance on digital solutions. This shift accelerated the adoption of legal technology tools and services, leading to challenges and opportunities for the market. One of the immediate impacts of COVID-19 on the market was the increased demand for remote collaboration tools. Law firms and legal departments had to quickly transition to remote work setups, requiring robust communication and collaboration platforms. This surge in demand led to the rapid development of new features and functionalities in existing legal tech solutions to support virtual meetings, document sharing, and secure communication channels.

With the rapid advancement of technology, law firms and corporate legal departments are recognizing the need to embrace digital tools and solutions to stay competitive, deliver better services, and meet client expectations. Digital transformation in the legal industry involves leveraging technologies such as artificial intelligence (AI), machine learning (ML), cloud computing, and automation to optimize workflows, enhance collaboration, and drive innovation. By integrating digital technologies into their operations, legal professionals improve productivity, reduce costs, and unlock new opportunities for growth and development.

Furthermore, the increasing focus on data security and privacy is driving the adoption of legal technology solutions to safeguard sensitive information and ensure compliance with data protection regulations. As data breaches and cyber threats become more prevalent, legal professionals prioritize data security measures to protect confidential client information, maintain trust with stakeholders, and mitigate data exposure risks. Legal technology tools that offer encryption, secure communication channels, access controls, and data monitoring capabilities are essential for ensuring data security in an increasingly digitalized legal landscape.

U.S. Legal Technology Market Report Highlights

• The software segment dominated the market with a revenue share of over 75% in 2024, driven by the increasing demand for automation and digital transformation within legal processes.
• The contract lifecycle management (CLM) segment dominated the market in 2024, propelled by the need to streamline contract creation, negotiation, and compliance processes, reducing risks and accelerating business cycles.
• The law firms segment accounted for the largest market share in 2024. Law firms are adopting technology to improve efficiency, reduce costs, and meet client demands for transparency and speed.