What's Happening?
Despite growing enthusiasm for AI in the legal sector, measurable returns on investment are expected to lag in 2026. A Bloomberg Law survey indicates that while many in-house attorneys are using generative
AI tools, adoption remains fragmented and uneven. Legal departments are still in pilot mode, testing AI tools in isolated practice areas, which limits the data volume and quality needed to assess ROI. Only 23% of in-house lawyers use AI tools daily, and many report marginal efficiency gains. The gap between investment and impact is attributed to underdeveloped data infrastructure and inconsistent adoption across legal departments.
Why It's Important?
The slow ROI in AI adoption within the legal sector highlights the challenges of integrating new technologies into established workflows. Legal departments must focus on building strong data foundations and consistent adoption strategies to realize AI's full potential. The findings underscore the need for legal teams to align AI initiatives with enterprise goals and establish clear metrics for success. As AI tools mature, they have the potential to transform legal practice by improving risk detection, enhancing decision-making, and creating capacity for strategic work. However, achieving these outcomes requires a long-term commitment to data readiness and workflow integration.
What's Next?
In 2026, legal departments will concentrate on creating the conditions for future value rather than capturing immediate payoffs. Efforts will focus on measuring adoption, building data baselines, integrating systems, and aligning metrics with enterprise goals. These initiatives will lay the groundwork for long-term, demonstrable success. After 2026, the focus will shift from experimentation to evidence, with departments positioned to quantify AI's impact and translate early enthusiasm into verifiable efficiency, savings, and strategic value.
Beyond the Headlines
The slow adoption of AI in the legal sector raises questions about the readiness of traditional industries to embrace technological change. It also highlights the importance of cultural and organizational factors in successful technology integration. As legal departments navigate the challenges of AI adoption, discussions about the ethical implications and potential risks of AI in legal practice will become increasingly relevant.
