Freshfields' AI Strategy: Google Partnership & Flexible Tooling to Avoid Risk

At Freshfields, a prominent Magic Circle law firm, the integration of artificial intelligence is not merely a technological upgrade but a strategic imperative. Gil Perez, the firm’s head of innovation, underscores this urgency, stating that failing to embrace a learning mindset regarding AI could pose an “existential threat” to the firm in a rapidly evolving landscape. Partner Nick Frey, a member of the firm’s innovation board, echoes this sentiment, emphasizing a pragmatic approach that eschews faddish adoption in favor of genuine utility.

This pragmatic philosophy recently led to a deeper engagement with Google, a Freshfields client, to develop advanced agentic tools. While much of the legal sector traditionally relies on Microsoft Word, Freshfields’ decision to align closely with Google’s tech stack is rooted in client needs. Perez explains that clients seek reduced friction and operate with diverse technological infrastructures. Many businesses already utilize Google Drive and Google Docs, and Freshfields aims to adapt its services to seamlessly integrate with these existing client environments. This deep dive into Google’s offerings is not exclusive; Freshfields maintains relationships with other tech giants like Microsoft, reflecting a core belief that the AI realm remains in constant flux, with changes occurring almost daily. The firm is committed to keeping its options open rather than committing to a singular, all-encompassing approach.

Over several years, Freshfields has cultivated a robust internal capability for developing specialized tools. These solutions are often designed for specific, immediate needs, capable of being deployed quickly and then retired after a few months if their purpose is served, though some find long-term utility. This agility is enhanced by working with Google, leveraging its agentic offerings and tools like Notebook LM, which allows the firm to build and discard applications with remarkable flexibility as the technological landscape shifts. Perez, based in California, observes this rapid disruption firsthand, noting how quickly new solutions emerge and old ones become obsolete.

Freshfields’ strategy extends to a highly pragmatic “build or buy” philosophy. The decision hinges on specific use cases and market availability. If a specialized tool is required, such as one to sort through pleadings in a litigation context with proprietary data processing methods, the firm is willing to develop it in-house. However, if a superior commercial product emerges, Freshfields will readily acquire it, discarding its homegrown solution without hesitation. This fluid approach underscores a focus on optimal fit for the moment, including a candid assessment of what foundational AI models can truly deliver. For instance, if a basic AI model provides the core functionality, and market products merely add superficial features, the firm prefers to build its own tailored solution.

This flexibility also dictates Freshfields’ stance on vendor relationships. Perez firmly believes that relying on a single vendor is a misstep, as no single company can address the complex and diverse needs of the firm’s many partners and their global clientele. While acknowledging the capabilities of prominent legal tech AI providers like Harvey and Legora, Freshfields maintains an open mind, prioritizing solutions that integrate seamlessly with its internal tools and function effectively across multiple languages, including crucial markets like Germany, where many commercial tools falter. The firm’s emphasis is on delivering superior client service and customization, rather than chasing headlines by adopting off-the-shelf products.

The firm is also actively exploring the potential of AI agents. Freshfields has developed an agentic product that generates issues lists and formats them according to specific requirements, effectively automating a laborious task and freeing associates for more complex work. This ability to switch between different foundational models, such as GPT and Gemini, further highlights their commitment to self-reliance and choice.

While the immediate efficiency gains are evident, the broader economic rationale behind Freshfields’ significant investment in AI is still evolving, mirroring the experience of many large law firms. There isn’t yet a fully articulated economic strategy alongside the technical one; rather, the drive appears to be instinctual, fueled by a clear perception of client needs, a rapidly changing environment, and the tangible benefits of increased efficiency. Frey offers one tangible economic advantage: AI allows him to manage a larger volume of files and cases more effectively, translating into enhanced service for clients and fostering repeat business.

In essence, Freshfields’ AI strategy is defined by pragmatism, flexibility, a willingness to build in-house, and an unwavering commitment to continuous learning in a market that changes with unprecedented speed. For the firm, standing still is a profound business risk. As Gil Perez concisely puts it, “A law firm used to be the brand times the people you have, and tech was just a constant. Now tech is a multiplier to this formula.” Freshfields firmly believes that AI will increasingly amplify this multiplier effect, redefining the very nature of legal service delivery.