The corridors of a major legal technology gathering in New York hummed with a mix of curiosity, ambition—and quiet unease. Thousands of lawyers, software developers and corporate executives crowded the venue, all circling the same question: if artificial intelligence can do legal work in minutes, what becomes of the industry’s most sacred metric—the billable hour?
Artificial intelligence dominated conversations throughout the event. Demonstrations on the exhibition floor showcased tools capable of scanning vast legal archives almost instantly, drafting contracts, refining legal arguments, and even spotting business trends that might affect a client’s operations.
For many law firms, the attraction is obvious: greater speed, less routine work and new services built around data-driven insights. But efficiency has a price—and not just the cost of new software.
“These tools are expensive,” said a technology leader from a large international law firm during a panel discussion on the economics of AI in legal practice. Running advanced AI systems consumes large volumes of computational resources—often measured in “tokens,” the small pieces of text the software processes and charges for.
Inside the exhibition hall, nearly 7,000 attendees navigated booths packed with startups and technology vendors. Some companies promoted systems that promise to automate document review. Others pitched AI that could analyze case law, build litigation strategies, or even generate marketing leads for law firms.
One European startup used the event to announce a massive funding round aimed at expanding into the U.S. legal market. The company’s new valuation—several billion dollars—highlighted just how much investor money is pouring into the race to reshape legal work.
Branded giveaways littered the show floor: plush toys, sunglasses, golf balls. Each item carried the logo of a company hoping to convince lawyers that the future of law practice will be powered by algorithms.
Upstairs in packed conference rooms, the discussions were more existential.
At one session, the head of an AI-focused practice group at a Washington-based law firm offered a blunt prediction: someday, artificial intelligence will replace lawyers. The statement drew nervous laughter, but few in the audience dismissed the possibility outright.
Another speaker suggested the shift could arrive sooner than many expect. Within three years, he predicted, corporations might rely on AI to perform half the work they currently outsource to law firms.
Companies want answers faster than ever, he said. And if software can deliver them instantly, clients may rethink paying thousands of dollars per hour for tasks machines can handle.
Yet the outlook for human lawyers isn’t entirely bleak. Several speakers argued that AI will likely eliminate routine tasks—document review, basic research, standard contract drafting—while leaving complex strategic judgment in human hands. In fact, they suggested, the lawyers who remain indispensable may command even higher fees.
In that world, automation becomes less a replacement than a reshaping of legal work. Time saved on repetitive tasks could shift toward deeper advisory roles, complex litigation strategies and bespoke client counseling.
Interest in learning the technology was intense. Some workshops quickly reached capacity, with attendees turned away at the door. In one training session focused on building custom AI “agents,” participants attempted to create bots capable of reviewing contracts or scanning court websites for legal updates.
While some quickly assembled working tools, others struggled just to navigate the login screen—a reminder that the legal profession’s leap into AI remains uneven.
Another session discussing leadership in the AI era filled so quickly that organizers eventually shut the doors. Even then, a long line lingered outside, many hoping to meet executives from major global corporations who were speaking at the panel.
Behind the enthusiasm, there was also pressure. Firms are racing to adopt new technology before competitors do, while simultaneously figuring out how to price services in a world where machines dramatically shorten the time required for many tasks.
The shift in client expectations has been dramatic.
Just a couple of years ago, some law firms reassured clients that generative AI was not being used on their matters. Today, many clients have flipped the script—now expecting firms to deploy it.
Whether AI ultimately reduces legal fees or simply changes how lawyers charge for their expertise remains unclear. But judging by the crowded rooms, buzzing demonstrations and billions flowing into legal tech startups, one thing was obvious at the conference: the profession knows the ground beneath it is moving.
