Legal AI startup Legora reaches $5.6B valuation as rivalry with Harvey intensifies

NVIDIA has expanded its footprint in the AI ecosystem through its venture arm, NVentures, which has backed Legora in what is reportedly its first investment focused on legal AI technology.

The Swedish-founded startup, which uses artificial intelligence to help legal professionals streamline their work, is emerging as a strong competitor to U.S.-based rival Harvey.

NVentures joined Atlassian and other investors in a $50 million Series D extension round for Legora. This comes just one month after the company secured a $550 million Series D.

During that period, the Y Combinator-backed company surpassed $100 million in annual recurring revenue (ARR), a milestone that helped push its post-money valuation to $5.6 billion.

Although this valuation still trails Harvey’s, the gap has narrowed somewhat. Harvey recently reached an $11 billion valuation after Sequoia Capital increased its investment. That round also included participation from Andreessen Horowitz, Coatue Management, Conviction Partners, Elad Gil, Matt Miller through Evantic, and Kleiner Perkins.

Prominent investors also support Legora, but the company emphasises its client base as a key differentiator. It counts major law firms such as Bird & Bird, Cleary Gottlieb, and Linklaters among its customers. According to the company, its platform — launched just 18 months ago — is now used by more than 1,000 law firms and in-house legal teams across 50 markets.

Harvey also has significant traction in this space, claiming 100,000 lawyers across 1,300 organisations as users. Its client base includes firms like Hengeler Mueller and Latham & Watkins, as well as corporate legal teams at companies such as T-Mobile and Bridgewater Associates.

With ambitions of global leadership, both companies are expanding into each other’s key markets. Legora has opened multiple international offices, with a strong focus on the United States, while Harvey is expanding its presence in Europe.

The competition has also extended into branding and visibility. After Harvey, led by CEO Winston Weinberg, launched a campaign featuring actor Gabriel Macht — known for his role in the TV series Suits — Legora responded with its own marketing push starring Jude Law under the slogan “Law just got more attractive.”

Both startups are also navigating a broader competitive landscape shaped by major AI model providers. Since their products are built on top of large language models, companies like Anthropic could eventually become direct competitors. When Anthropic recently introduced a legal-focused plugin for its Claude model, several publicly traded legal software companies saw their stock prices decline.

Legora CEO Max Junestrand has downplayed these concerns.

“Foundation models are improving quickly, but the real value is in how they’re applied,” he said in a statement, adding that legal teams adopting AI effectively today will influence how the industry evolves.

NVentures’ investment signals confidence that Legora may have built enough differentiation to compete not only with rival startups but also with the AI model providers themselves. At the same time, Nvidia has shown a willingness to spread its bets across the AI sector, having previously invested in both Anthropic and OpenAI.