Legal departments within organizations are increasingly utilizing artificial intelligence to enhance their operational speed. By leveraging AI tools for drafting legal documents and conducting term comparisons across transactions, these teams are boosting their efficiency, thereby creating a competitive environment for external law firms. Companies often spend significant amounts on legal services from outside firms annually, making the adoption of AI a strategic move to reduce costs. For instance, Doug Mandell, the general counsel at Inflection AI, employed a legal AI tool from GC AI to streamline the process of creating a new data security policy, significantly reducing the time and effort involved. This shift towards AI integration is more prevalent in internal legal teams where efficiency is paramount. Unlike external counsel who bill hourly, in-house lawyers are incentivized to work swiftly as delays can impact business outcomes. This trend is compelling legal tech companies to develop solutions that cater to the evolving demands of corporate legal functions. While the adoption of AI may reduce billable hours for law firms, it enhances productivity within in-house legal teams by automating routine tasks and ensuring compliance with internal guidelines. The ultimate goal is not to replace external counsel but to empower internal teams to work more effectively and focus on strategic decision-making. The widespread acceptance of AI tools among in-house legal professionals reflects a shift in how legal services are delivered and underscores the importance of technological innovation in the industry.