adapting pricing in the ai era: a new law firM landScape
Technology Section SectionCo-Chairs: KurtSanger – BuchananIngersoll & Rooney & CarolineSpradlin – PhelpsDunbar
ai not only improves efficiency but also redefines the value of legal services.
The legal industry stands on the brink of a major transformation driven by the rapid integration of artificial intelligence( AI) into legal practice. As law firms increasingly leverage AI to streamline tasks— from document review and legal research to drafting and client communication— traditional billing models are being challenged. The key question is: how should law firms adapt their pricing strategies to reflect these technical advances?
The Federal Bar Association’ s The Legal Industry Report 2025 highlights AI’ s growing role, revealing that 31 % of respondents personally use generative AI at work— a significant rise from previous years. This data underscores that AI is no longer a niche tool but a mainstream resource that boosts efficiency and reduces the time spent on many legal tasks.
Historically, law firms have relied heavily on hourly billing, which is simple but often fails to accurately reflect the value of services and can lead to unpredictable costs for
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