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3 min read

AI and cloud innovation: shaping the future of LegalTech for software development companies 

The legal industry is undergoing a tech-driven transformation unprecedented in its history. Gartner projects that global legal technology spending will reach $50 billion by 2027, fuelled by generative AI, automation, analytics, and secure cloud services. Law firms and in-house legal teams face intense pressure to do more with less – handling growing workloads and data volumes faster and more cost-effectively.  

The question is no longer if AI fits into legal work, but how to deploy it responsibly and effectively.  

For instance, ContractPodAi has been collaborating closely with Microsoft to develop the next generation of agentic automation using Microsoft’s Azure OpenAI in Foundry Models. This collaboration highlights how AI is rapidly becoming integral to legal workflows, automating routine tasks and placing software development companies (SDCs) at the forefront of the sector’s digital evolution.  

In short, LegalTech is at a pivotal moment, offering huge opportunities to those who get it right. For software development companies (SDCs) building solutions for the legal sector, this wave of innovation presents a unique opportunity and new responsibilities, as reflected in real-world deployments.  

Leveraging Microsoft’s AI and Cloud platform 

For SDCs building these solutions, choosing a secure, AI-ready cloud platform is critical. Microsoft Azure, for example, offers one of the most secure and scalable environments for LegalTech. It meets rigorous standards, such as UK GDPR and the Data Protection Act 2018; ISO 27001, 27017 and 27018 for information security and cloud privacy; SOC 1, 2 and 3 reports; and Cyber Essentials Plus (a UK government-backed schedule) – all essential for handling sensitive legal data.  

Many top law firms and legal SDCs already leverage Azure OpenAI and the Microsoft cloud ecosystem to drive innovation. By integrating Azure’s large language models into legal workflows, they can automate document review, speed up legal research, generate high-quality content and enable intelligent contract analysis.

They can also pair Azure OpenAI with Microsoft 365 tools to jump-start solutions in contract lifecycle management, process automation and legal data insights. In short, building on a trusted cloud with ready-made AI services helps SDCs deliver value faster – without compromising on security or compliance. 

AI-powered agents are systems capable of autonomous decision-making and task execution, and they are already helping transform the legal industry. From the perspective of an SDC building solutions, there are several high-impact use cases, as shown in the graphic below:

Table of agentic AI use cases in LegalTech, mapped to software development opportunities.

From startup to scale: how ISV Success empowers software innovators 

If you’re further along in your journey as an SDC, you can leverage our ISV Success programme to expand your solution and accelerate growth. Check out some key benefits in the following graphic:

Key benefits of Microsoft’s ISV Success programme for software development companies.

ISV Success is free to join and the benefits include: 

  • Technology access: Over $125,000 in free benefits relating to Azure, GitHub, Visual Studio, Azure OpenAI and more. 
  • AI enablement: Access to Azure AI Foundry, GitHub Copilot credits and AI certification vouchers. 
  • Marketing support: Co-branding, social promotion, listing optimisation and seller webinars.  
  • Training and support: One-to-one technical consultations, community support and 24/7 Azure support. 
  • Marketplace Rewards: Performance-based incentives, including Azure grants up to $400,000. 

View all ISV Success programme benefits

Accelerate your go-to-market strategy with the Microsoft Commercial Marketplace 

The Microsoft Commercial Marketplace is a partner-focused platform that helps you grow your reach, simplify your sales process and unlock new opportunities. It’s designed to shorten sales cycles by streamlining procurement, giving you direct access to customers, and enabling customisable deals — through Private Plans or tailored pricing and terms with Private Offers.  

Once your solution is published in our marketplace, customers can: 

  • Streamline procurement and speed up onboarding of thousands of SDC and SaaS vendors
  • Maximise MACC value with 100% of licence costs counting towards their commitment 
  • Stay in control of purchase governance through RBAC, permissions and policies

Join the Microsoft AI Cloud Partner Programme 

Start accelerating success today by joining the Microsoft AI Cloud Partner Programme. Meanwhile, you can use our links below to explore the latest ISV Success programme benefits and learn how developers can create intelligent apps that help elevate user experiences.  

Find out more 

Join the Microsoft AI Cloud Partner Programme 

Explore the Microsoft Commercial Marketplace 

Watch the webinar: What is New in ISV Success – AI Benefits and More 

Get the e-book: Transform ISV Applications with Intelligent AI Personalisation 

About the author 

With a focus on driving partner success, Riz plays a pivotal role in fostering strategic partnerships within professional services. His expertise lies in collaborating with software development companies (SDCs) and other businesses with substantial growth potential, particularly those interested in AI and disruptive market strategies.