AI TECH
Legal AI is no longer niche
Harvey AI, the startup automating legal work, has raised $300 million in Series E funding, bumping its valuation up to $5 billion.
The round was co-led by Kleiner Perkins and Coatue, with support from familiar backers like Sequoia, the OpenAI Startup Fund, Elad Gil, and Conviction.
This comes just four months after Harvey secured another $300 million in a Series D round led by Sequoia.
While many AI companies are keeping things lean, Harvey’s going the other way.
The three-year-old firm already has 340 employees and plans to double that with the new funding.
The essentials:
Harvey just raised another $300M, doubling its valuation to $5B in four months.
It plans to double its team size and expand into areas like tax accounting.
Revenue jumped from $50M to $75M annualised within a few months.
Big Law? Never heard of her
Some of those hires will help the company branch out beyond legal services into other professional areas, such as tax accounting.
Harvey’s tools, which help lawyers review documents and draft contracts, are now used by 337 legal clients.
It’s also growing fast on the money side.
In April, Harvey hit an annualised revenue run rate of $75 million, up from $50 million earlier in the year, according to Reuters.
It’s competing with older players in the space, like Ironclad (founded in 2014) and Clio (2008), both of which have raised large rounds themselves.
Everyone else is downsizing. Harvey’s out here hiring like it’s Black Friday.