As we all know, India leads the world in legal services outsourcing. Since it first began in the early 2000s, it has evolved considerably, to a level of sophistication previously unimagined. In recent years the advent of AI in legal processes – from e-discovery in litigation, to contractual risk assessment and management, and even the beginnings of AI-supported judicial decision-making – has catapulted legal outsourcing still further, into another realm of capability altogether.

Where once the Indian outsourcing market was limited to the management of back-office functions, evolving quickly to encompass true legal work with the level of complexity growing over time, today with human lawyers working alongside cutting edge technology, far more strategic and nuanced legal tasks can be outsourced. This shift is not only changing the day-to-day working of all lawyers, who are now learning to work seamlessly with alongside AI, but it is also creating newly imagined opportunities for lawyers, technology experts and change management specialists – and for business leaders and investors alike.

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The legal outsourcing market today is drastically different from even a decade ago. For those seeking to advance their legal careers or explore business opportunities, the key is to distinguish between the truly innovative and those services lagging behind, positioning themselves to take advantage of this vibrant, evolving market.

Let us examine the most pivotal, market-changing developments in legal tech in the region:

AI and Machine Learning have transformed legal research, e.g., rapid access to case law, statutes, and legal commentary by the use of advanced algorithms, reducing research time. However, human oversight is essential to check results and avoid hallucinations. The best and most accurate results are achieved when humans and AI work together – which has forever changed how lawyers do their jobs.

Accelerated by the pandemic, virtual courts have become the norm with e-filing of cases and video hearings now commonplace. The transition continues with the Government’s on-going push toward fully digitizing the judiciary.

Blockchain technology is increasingly being embraced by Indian law firms for creating secure, tamper-proof ‘smart contracts’ and for use in dispute resolution.

India has seen the introduction of regulatory sandboxes by the Securities and Exchange Board of India (SEBI) and the Reserve Bank of India (RBI), allowing legal tech start-ups to test innovative services under regulatory supervision, especially in the areas of fintech and legal compliance.

As outlined above, the outsourcing market has seen significant shifts from its origins of Legal Process Outsourcing, limited to back-office functions and the very simplest of legal tasks (such as document review, legal research, and transcription services) and focused on low-cost-country savings. Today, particularly enabled by AI and other technology, the work capable of being outsourced has moved far up the value chain to Legal Services Outsourcing, encompassing far more strategic and sophisticated legal work – contract management, intellectual property services, M&A due diligence, and eDiscovery and other litigation support.

Advances in technology have only expanded this capability and made the offering more attractive. Added to this is the impact of the pandemic which drove demand for outsourcing as firms and companies adapted to remote working.

In particular, the eDiscovery industry has seen a surge in demand for project management roles, owing to the complex nature of managing electronic data in legal proceedings. eDiscovery project managers are responsible for the end-to-end process, including intake, processing, analytics, and production of data. This role encompasses many transferrable skills from law practice, including meticulous attention to detail and an intimate understanding of the legal standards for data handling and privacy.

A crucial aspect of eDiscovery project management is the ability to handle a diverse array of data types, from traditional emails and documents to emerging data forms such as social media content, instant messaging logs, and modern attachments. The challenge lies in the sheer volume and variety of data, necessitating advanced analytical tools and data management strategies to ensure accuracy and compliance.

Client-facing roles in eDiscovery are particularly desirable because they offer increased responsibility and exposure. These positions allow project managers to engage directly with clients, understand their specific needs, and tailor solutions accordingly. This not only enhances project managers’ professional growth but also builds stronger client relationships, positioning them as trusted advisors in legal technology and data management.

The evolving landscape of the legal tech industry in India presents myriad opportunities for lawyers to expand their expertise and take on more dynamic, client-centric roles, particularly in eDiscovery project management. By embracing these changes and leveraging advanced technologies, they can significantly enhance their career prospects and contribute to the innovative transformation of legal services.

Ambitious Indian lawyers can now expect to be part of a client-facing team, rather than working hidden away in the background. They shouldn’t settle for less.

And businesses and investors eyeing up the opportunities in this sector should not underestimate the continuing transformative potential of legal tech in India. As the industry matures, those who strategically invest in innovative solutions, partner with forward-thinking firms, or even launch specialized services of their own could find themselves at the forefront of a market that shows no signs of slowing. In a field that marries traditional expertise with tomorrow’s technology, the forward-looking will undoubtedly find not just growth, but the chance to redefine the future of legal services in India and beyond.

(The writer is Director of Client Services at Epiq, a global technology-enabled services leader to the legal industry and corporations.)