r/legaltech
Morgan & Morgan is spending $1 billion on AI. What happens to the firms that can’t?
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Morgan & Morgan just committed $1 billion to AI and technology over the next decade. They have already spent roughly $300 million building their own internal AI platform, MX2, which reportedly has nearly 5,000 monthly users. It is being used for things like medical record extraction, document generation, case search, trial preparation, and agentic workflows. The most interesting part to me isn't the $1 billion number. It's what this means for everyone else. Morgan & Morgan can hire engineers and build proprietary AI infrastructure around the way its lawyers actually practice. The average 5, 20, or 50 lawyer firm obviously can't spend hundreds of millions building its own technology. But those firms are competing in the same market. Over the next few years, I think we're going to see a growing divide between firms that simply give their lawyers access to ChatGPT or another AI tool and firms that actually redesign their workflows around AI. Those are two very different things. An AI-native law firm isn't necessarily a firm with its own model or engineering team. It could simply be a firm where intake, research, drafting, document review, knowledge management, client communication, and administrative work have been intentionally rebuilt around AI, while lawyers remain responsible for judgment and final work product. Morgan & Morgan's bet seems to be that this becomes a...
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[comment u/pengy452] I think eventually it will be more or less equalized. If you are doing legal research then the Reuters cocounsel or basic Harvey will basically cover 99% of what you need. These bespoke AI plays are a waste of money in my opinion