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Editor’s Note: The integration of Generative AI into legal technology is poised to define the competitive landscape in 2025. This article explores the anticipated shift from using GenAI as a tool for personal productivity to leveraging it for collaborative intelligence across teams and departments. Drawing parallels to historical strategies, the piece highlights how organizations that commit to education, policy development, and incentivized adoption will be positioned to achieve breakthroughs in efficiency and innovation. As leaders in the legal technology industry consider their approach to GenAI, this analysis offers actionable insights into the steps necessary to unlock its full potential while emphasizing the risks of superficial or fragmented adoption.

Industry News – eDiscovery Beat

From Penny Packets to Breakthroughs: Generative AI and Legal Tech in 2025*

ComplexDiscovery Staff

As the legal technology industry moves into 2025, the integration of Generative AI (GenAI) will likely experience a key transition, marked by a stark separation between organizations that merely accept GenAI as a personal productivity tool and those that strategically harness its collaborative potential across teams and departments. This shift, fueled by organizational leadership’s acceptance, comfort, and commitment to GenAI, will redefine competitive dynamics and innovation trajectories within the industry.

A historical military analogy provides a compelling lens to view this expected transformation. In World War I, armored tanks were deployed in “penny packets,” small and isolated units that lacked coordination and mass. While these early uses of tanks were innovative, they failed to fully exploit the strength and potential of armored warfare. In contrast, World War II saw the emergence of cohesive armored divisions, with tanks employed in large formations that combined firepower, mobility, and support systems to achieve breakthroughs that were impossible under the earlier, fragmented approach. This shift in strategy highlighted the immense power of synergy and coordination in maximizing a resource’s effectiveness.

Similarly, in 2025, organizations leveraging GenAI solely as a standalone tool for individual productivity will echo the “penny-packet” approach of World War I. These organizations may achieve incremental improvements, but they will fall short of transformative gains. By contrast, those adopting a collaborative, team-based approach to GenAI—akin to the large-scale armored formations of World War II—will unlock its full potential. These organizations will achieve breakthroughs in operational efficiency, decision-making, and innovation that far surpass what isolated usage can offer.

Key differentiators in 2025 will include:

  1. Commitment to Education and Incentivization: Forward-thinking organizations will invest in educating their teams on the effective and ethical use of GenAI. This will include providing incentives for appropriate usage, coupled with robust training programs designed to establish a strong foundational understanding of these tools across all levels of the organization.
  2. Implementation of Proper Policies and Controls: Successful adoption will require carefully crafted policies, privacy guidelines, and security measures to ensure that the use of GenAI aligns with organizational and industry standards. Organizations that proactively address these areas will reduce risk and build confidence among stakeholders.
  3. Leadership Acceptance and Advocacy: The comfort and endorsement of GenAI by leadership will be a critical driver of organizational success. Leaders who demonstrate an understanding of and commitment to GenAI as a transformative tool will inspire confidence and drive adoption across teams and departments.

The lesson from military history accentuates the importance of scale, strategy, and synergy. Organizations that fail to move beyond isolated, ad hoc applications of GenAI risk becoming the modern equivalent of “penny-packet” strategists, achieving only marginal gains while their competitors forge ahead with coordinated and comprehensive approaches.

The legal technology providers that commit to harnessing GenAI as a cornerstone of their operational strategy—supported by a culture of collaboration and innovation—will be best positioned for success. This separation, based on organizational readiness and willingness to integrate GenAI, will likely define the industry’s trajectory for years to come, influencing not only the tools and technologies available but also the expectations and outcomes for legal professionals worldwide.

Post Script: Impact on eDiscovery Revenue — Building Toward 2026 Gains

The adoption of collaborative Generative AI (GenAI) in 2025 is anticipated to significantly reshape revenue opportunities in the eDiscovery market. While immediate benefits will include efficiencies in task execution, the broader revenue impact—derived from cost savings and expanded opportunities—will likely manifest fully by 2026.

Organizations that invest in collaborative GenAI practices in 2025 will benefit from faster, more precise document reviews, automation of repetitive processes, and scalable workflows. These advancements will translate into tangible cost savings, reducing labor-intensive tasks and accelerating project timelines. Additionally, collaborative GenAI will enable providers to expand service capabilities, equipping them to tackle more complex or higher-volume projects that were previously unattainable due to resource constraints.

By 2026, these early investments will culminate in measurable revenue gains. The ability to deliver better results with fewer resources will not only enhance profitability but also attract new clients and retain existing ones. Furthermore, providers leveraging collaborative intelligence will be well-positioned to offer premium services, driving higher-margin opportunities and sustaining long-term growth.

In contrast, organizations that fail to adopt collaborative GenAI may find themselves constrained by outdated processes, unable to compete with more agile and innovative peers. Their inability to scale or adapt may relegate them to the fate of “penny packet” employment—operating in isolation, achieving marginal improvements, and missing out on the breakthrough potential of coordinated, team-based GenAI adoption. These organizations risk being left behind in a market increasingly defined by efficiency, collaboration, and innovation.

The strategic imperative is clear: 2025 is the year to build the foundation for collaborative GenAI use, ensuring not just immediate efficiency gains but also the opportunity for sustainable revenue growth in 2026 and beyond.

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*The use of a military analogy in this article is intended solely to illustrate the strategic evolution of technology adoption and its impact on organizational effectiveness. It does not imply or equate the scale, gravity, or nature of legal services and legal technologies to warfare. The analogy serves as a conceptual tool to highlight the importance of coordination and collaboration in achieving breakthroughs, drawing on historical examples to emphasize strategic insights relevant to professional contexts.


Assisted by GAI and LLM Technologies

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Source: ComplexDiscovery OÜ

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Photo of Alan N. Sutin Alan N. Sutin

Alan N. Sutin is Chair of the firm’s Technology, Media & Telecommunications Practice and Senior Chair of the Global Intellectual Property & Technology Practice. An experienced business lawyer with a principal focus on commercial transactions with intellectual property and technology issues and privacy

Alan N. Sutin is Chair of the firm’s Technology, Media & Telecommunications Practice and Senior Chair of the Global Intellectual Property & Technology Practice. An experienced business lawyer with a principal focus on commercial transactions with intellectual property and technology issues and privacy and cybersecurity matters, he advises clients in connection with transactions involving the development, acquisition, disposition and commercial exploitation of intellectual property with an emphasis on technology-related products and services, and counsels companies on a wide range of issues relating to privacy and cybersecurity. Alan holds the CIPP/US certification from the International Association of Privacy Professionals.

Alan also represents a wide variety of companies in connection with IT and business process outsourcing arrangements, strategic alliance agreements, commercial joint ventures and licensing matters. He has particular experience in Internet and electronic commerce issues and has been involved in many of the major policy issues surrounding the commercial development of the Internet. Alan has advised foreign governments and multinational corporations in connection with these issues and is a frequent speaker at major industry conferences and events around the world.