Generative AI, the Next Phase of Artificial Intelligence, Demonstrates Potential in Legal Processes

Icertis research projects that by 2026, 85% of legal teams will employ Generative AI (Gen AI) to drive greater productivity in compliance. Gen AI is an AI technology capable of generating text, images, audio, video, and synthetic data.

• 85% of professionals believe legal and compliance departments will make extensive use of Gen AI within the next three years.

• 36% of professionals see positive impact from Gen AI in resource allocation, 67% believe it will enable more work to be done in-house, and 70% think broader technology adoption will lead to cost savings.

• Contract management is viewed as a suitable domain for AI's transformative capabilities, yet currently only 19% of professionals consistently rely on Gen AI for pre-contract management activities such as contract creation and review. Gen AI usage for post-contract management stands below 8%, revealing an opportunity to expand its application throughout the contract lifecycle.

• Despite these opportunities, approximately 40% of professionals lack confidence in Gen AI tools, and 33% report insufficient access to the necessary technology for their roles. Consequently, skills development is essential for successful Gen AI adoption.

Icertis Chief Evangelist Bernadette Bulacan emphasizes that Gen AI presents clear opportunities in contract management, particularly in driving enterprise transformation, and that Icertis has made significant advances in contract-centric operations by leveraging contract data through AI to generate greater revenue, larger savings, and reduced risk.