April 29, 2025

Rise of AI and Explosion in Data Volumes Weigh Heavily on Corporate Legal Teams

The Ability to Add Value Increasingly Hinges on Efficiency as Costs and Demand on Resources Rise

TORONTO, April 29, 2025 – The 2025 State of Corporate Law Department report from Thomson Reuters (Nasdaq/TSX: TRI), a global content and technology company, reveals how the general counsel’s (GC) office is redefining the function of their departments in strategic terms. Compared to 2024, the term “value” was cited three times more often, showing a clear shift in how legal leaders frame their priorities. GCs now assess their work not just by how well they protect the business, but by how effectively they enable growth. This shift comes as legal departments face mounting pressure from rising complexity and demand. GCs increasingly cite technology and efficiency improvements as critical enablers, with 75% expecting generative AI to have a transformational impact on their organizations and 57% pointing to data volume as a driving force.

"The complexity of the business environment is increasing at an unprecedented rate. Our customers are telling us that they need to work better across the enterprise to serve the organization and C-suite priorities,” said Matt Busbridge, general manager, Corporates, Thomson Reuters. “With data volumes exploding – 57% of GCs cite this as a transformational influence – and regulatory requirements becoming more stringent, GCs are under pressure to deliver more value to the business while managing risk. As a result, we're seeing a significant shift in the way legal departments operate, with a focus on strategic advice, efficiency, and innovation."

The report, which is based on research from the Thomson Reuters Institute, highlights the challenges and opportunities facing corporate legal departments in a volatile year. Drawn thousands of interviews with GCs and other professionals, a clear pattern emerged: to remain strategic partners to the business, in-house teams must increase efficiency, embrace AI, and reallocate resources toward higher-value work.

AI, Data, and Efficiency: Key Levers of Legal Transformation

According to a recent report on CEO priorities, CEOs are prioritizing key strategic objectives, including increasing customer satisfaction, improving operational efficiency, driving organic revenue growth, and enhancing brand profile and reputation. To support these priorities, GCs are focused on delivering strategic advice and solutions that drive business growth and mitigate risk. The report also reveals that over a third (35% of all surveyed) of GCs plan to increase their spend on technology in the next year, with a focus on greater efficiency of work. This investment in technology is expected to help legal departments better support the business and drive growth. In fact, the report finds that in-house lawyers predict they could free up an average of 13 hours per week within the next five years, thanks to the adoption of AI and other technologies, enabling them to focus on more strategic initiatives.

Talent and Tech Combine to Reshape Legal Teams

The report also highlights the importance of talent and skills in driving the transformation of the legal department. With 93% of GCs believing that new roles will be created within corporate legal departments, the legal department of the future will require a different set of skills and expertise. GCs are looking for professionals with skills such as adaptability, enthusiasm for new technology, and problem-solving abilities, as well as expertise in areas such as AI, cybersecurity, and data privacy.

The report's findings are based on a survey of 2,485 GCs and surveys of other professionals and provide valuable insights and guidance for GCs and legal departments looking to navigate the complex and rapidly changing business environment. For more information about the 2025 State of the Corporate Law Department Report, please visit:
https://www.thomsonreuters.com/en-us/posts/corporates/state-of-the-corporate-law-department-2025/

About Thomson Reuters:

Thomson Reuters (TSX/Nasdaq: TRI) informs the way forward by bringing together the trusted content and technology that people and organizations need to make the right decisions. The company serves professionals across legal, tax, accounting, compliance, government, and media. Its products combine highly specialized software and insights to empower professionals with the data, intelligence, and solutions needed to make informed decisions and to help institutions in their pursuit of justice, truth, and transparency. Reuters, part of Thomson Reuters, is a world-leading provider of trusted journalism and news. For more information, visit tr.com.

Media Contact:
Lindsay Bomar
+ 1 817-729-5644
Lindsay.Bomar@tr.com