Tech Giants buying into Law Firms
Tech giants, such as Google and Amazon are set to be the next disrupters within the legal sector. With Google moving into the insurance sector recently, the legal profession does not seem that far away, especially with the ‘entrepreneurial risk taking approach they have’.
Tech giants like Google and Amazon are already starting to buy into law firms, gaining vast amounts of knowledge about the legal industry, which could help them acquire the knowledge and have a greater insight into the inner workings of a law firm. This may allow them to become a big competitor for firms in the future. This situation may also allow huge conglomerates like Amazon and Google to bring bigger law organizations together in order to generate more profit.
This prediction was made by ABS pioneer Gallen, who believes the vast amount of knowledge that can be required from the insurance sector, which Google have recently moved into, is the same as the vast amount of knowledge that can be acquired from law firms, helping them to set up competitive businesses.
He states ’in the next three to five years, that’s where the real disruption is going to come in.’ This prediction from Gallen was then backed by another professional Irana Richards, of Barclays, who said that today’s new law firms should be prepared for new competition along the same lines of that created by Netflix in the film industry and Purple Bricks in real estate. ‘It’s legal, I don’t know when, but it’s going to happen,’ she said.