Utilising cutting edge AI technology to streamline operations is becoming increasingly common in many industries, and the legal sector is no exception. One notable adopter of this trend is Klarna, the fintech behemoth. The company’s legal team has been instructed by their CEO to use AI model ChatGPT as part of their regular processes, particularly in drafting contracts.
This directive follows a successful company-wide test phase. According to Law.com, Klarna’s legal department have found that a high proportion, specifically, 86%, of their personnel are already using generative-AI models, like ChatGPT, to aid their day-to-day work.
ChatGPT, which has been developed by OpenAI, employs machine learning technology to help automate certain tasks. It is designed to respond to prompts and generate human-like text.
The call to use this tool further is part of the CEO’s wider plan, which has been characterized as a “test, test, test and explore” strategy. This signals the company’s interest in pioneering the use of AI to increase the efficiency of legal operations.
While the impact of AI on efficiency is clear, the implications for the legal profession could be far-reaching. Lawyers could divert time ordinarily spent on drafting to other core aspects of the profession, such as providing advice and strategy, thereby enhancing the overall value they provide to their clients.