AI Reshaping Legal Practise in Iberia: A Shift from disruption to Restructuring
By Gloria Paiva
Experts: Marisa Borsboom, co-founder of the International Alliance of Lawtechs adn Legal Innovation (AI2L); Axel Junestrand, founding GTM lead for Iberia and LatAm at Legora; André Dionísio, co-founder and CEO of ByTheLaw; LUÍS ALVES DIAS, CEO and co-founder at Legau; Francisco de Abreu Duarte, co-founder of Lexstream.
The technological revolution is now a central focus within the legal sector. The debate has moved beyond if artificial intelligence should be adopted, to when – and at what pace. A growing consensus affirms that technology is now a decisive factor in the success, or failure, of a law firm. Tools designed to improve efficiency, reduce costs, automate tasks, and enable predictive analytics are driving growth in the legaltech AI market, as firms respond to increasing pressure for agile, data-driven solutions.
The global legaltech market was valued at USD 2.5 billion in 2024 and is forecast to reach USD 8.5 billion by 2031, according to Market Research Intellect. Fueled by product innovation, cross-sector application, sustainability goals, and growing investor interest, the market is currently led by North America (over 40% share) and Europe (30%), as reported by Cognitive Market Research. In Portugal, the industry remains in its early stages, with just over a dozen companies consolidated and focused exclusively on legal solutions, according to Abreu Advogados.
However, momentum is building. Marisa Borsboom, co-founder of the International Alliance of Lawtechs and Legal Innovation (AI2L), states the sector has entered a boom phase after years of groundwork laid by “pioneers and dreamers.” “we used to talk about disruption, innovation, revolution. Now it’s time to rethink, reimagine, and restructure,” she says.A clear indication of this shift is the increasing collaboration between major law firms and startups, exemplified by Portuguese company Legau – which works with clients including PLMJ, Antas da Cunha Ecija, and CCA Law Firm – and Swedish firm Legora, which has been developing solutions alongside Morais Leitão and Pérez-Llorca.
THIRSTY FOR INNOVATION
In Southern Europe, firms are transitioning from hesitation to action. “Both in Portugal and Spain, forward-thinking teams are embracing AI to drive efficiency and gain a competitive edge,” says Axel Junestrand, founding GTM lead for Iberia and latam at Legora. He highlights strong demand in areas requiring accuracy and scalability – especially in automating routine tasks that previously occupied lawyers’ time.”This is where AI delivers immediate value, by taking over the repetitive work and enabling lawyers to concentrate on strategic, client-facing tasks,” he notes.
After a six-month observation period within Sérvulo & Associados, André Dionísio, co-founder and CEO of ByTheLaw, and his team identified internal knowledge management as a significant bottleneck. The company later developed an AI-based system that automatically organizes internal legal details, reducing time spent on non-billable administrative work.”Knowledge is the most valuable asset for law firms,” says Dionísio.
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