Legal AI startup Legora hits $5.6 and its battle with Harvey gets hotter

Nvidia has laid a new brick In its artificial intelligence empire. NVentures, its venture capital fund, backed Legora, It is said Its first legal investment in artificial intelligence.

By leveraging artificial intelligence to help lawyers simplify their work, the Swedish-born legal tech startup is competing with an American company Harvey.

Along with Atlassian and other new financial investors, NVentures has joined Legora’s cap table as part of $50 million Series D extension Which comes a month after startup $550 million Series D.

In the interim, this Y Combinator alum Exceeded $100 million in annual recurring revenue (ARR) – a milestone that contributed to its new post-cash valuation of $5.6 billion.

This brings Legora’s valuation a little closer to Harvey’s, which reached $11 billion last month when Sequoia Tripled On its investment. Andreessen Horowitz, Quato, Partners in Condemnation, Elad Gil, Matt Miller EvanticKleiner Perkins also participated in that tour.

Legora also has backing from high-profile venture capital firms; But it’s more focused on the big names it’s got as clients, like Bird & Bird, Cleary Gottlieb and Linklaters. According to the company, the platform it launched just 18 months ago is now used by more than 1,000 law firms and in-house legal teams in 50 markets.

Harvey has a game in this area as well. He – she Claims 100,000 lawyers across 1,300 organizations are clients, from global law firms like Hengeler Mueller and Latham & Watkins to corporate legal teams at companies like T-Mobile and Bridgewater.

With the ultimate goal being world leadership, the Harvey vs. Legura rivalry is one they intend to play on each other’s turf. Legora has opened multiple offices around the world with a major focus on the United States for its expansion. On the contrary, Harvey Rushing towards Europe.

With so much capital to spend on both sides, that battle has moved to mindshare. Not long after Winston Weinberg Company Harvey signed on for a brand partnership With actor Gabriel Machtwho plays a high-powered lawyer in the TV series Suits, Legora launched an advertising campaign Featuring movie star Jude Law Under the slogan “The law has become more attractive.”

Both companies may be right to bet big on marketing. Regardless of the competition, it is built on large language models made by the AI ​​giants that could become their competitors. When Anthropic Launched the Legal Plugin for Claude Not long ago, many legal software companies listed on the stock exchange saw their stocks decline.

Of course, Max Gunstrand, CEO of Legora, says he’s not worried.

“The basic models are improving rapidly, but the real value is in how we apply them,” he wrote in a statement. He also explains how the startup instills FOMO among its target users, noting that “legal teams that effectively embed AI today will shape how the industry evolves.”

NVentures’ investment is also a sign that Legora may have enough of a moat to protect it from model makers and its larger rivals.

However, Nvidia is also known for hedging its bets – it has invested in both In Anthropy and OpenAI before Perhaps the decision has been made.