Startups Weekly: Technology and the Legal Landscape
Welcome to the latest edition of Startups Weekly, a newsletter that provides a weekly rundown of the latest news and trends in the world of startups and technology. This week, we explore the intersection of technology and the law, with a focus on AI tool picks, tokenized AI, AI M&A dealflow, DePIN Watch, AI funding news, and Prompt Vault.
AI Tool Picks
Artificial intelligence (AI) continues to shape and disrupt various industries, and the legal sector is no exception. In recent years, we’ve seen a rise in the use of AI tools for contract review, legal research, and document analysis. These tools are designed to help lawyers and legal professionals save time and improve the accuracy of their work. One notable example is “AI-powered contract review tool Kira Systems”, which raised $50 million in Series A funding earlier this year. As AI technology continues to advance, we can expect to see even more innovative tools emerge in the legal space.
Tokenized AI
The concept of tokenization, or the process of converting real-world assets into digital tokens, has gained traction in the world of finance. Now, we’re seeing this trend extend to the world of AI. “Tokenized AI platforms, such as SingularityNET”, are using blockchain technology to create decentralized AI networks, enabling AI algorithms to communicate and collaborate with each other. This has the potential to revolutionize the way AI is developed and utilized, as well as provide new opportunities for AI startups and investors.
AI M&A Dealflow
The AI industry is also experiencing a surge in mergers and acquisitions (M&A) activity. In the first half of 2025, “there were over 200 AI M&A deals globally, totaling $28.6 billion in value”, according to a report from CB Insights. This is a significant increase from the previous year, showing the growing interest and investment in AI technology. Some notable deals include Microsoft’s acquisition of Nuance Communications for $19.7 billion and NVIDIA’s acquisition of Arm for $40 billion. As the AI market continues to expand, we can expect to see more M&A activity in the future.
DePIN Watch
As AI technology becomes more prevalent in our daily lives, there are growing concerns about privacy and security. One issue that has emerged is the use of deepfake technology to manipulate and deceive individuals. In response, the Defense Advanced Research Projects Agency (DARPA) has launched the “Deepfake Prevention by Identifying Network-Generated (DePIN) Watch program”, which aims to develop tools to detect and prevent deepfake videos. This is a critical step in addressing the potentially harmful effects of deepfake technology.
AI Funding News
Despite the challenges of the past year, AI startups continue to attract significant funding. In the first half of 2025, “AI startups raised $52.5 billion in funding globally”, according to PitchBook data. This is a record high and a 52% increase from the previous year. Some notable AI funding news includes UiPath’s $2 billion Series C round and Nuro’s $500 million Series C round. This influx of funding highlights the growing demand for AI technology and its potential for driving innovation.
Prompt Vault
Finally, we have Prompt Vault, a new AI-powered tool designed to help lawyers draft contracts more efficiently. Developed by the legal technology company LegalSifter, Prompt Vault uses machine learning algorithms to analyze and suggest changes to contracts, saving lawyers time and reducing the risk of errors. This is just one example of how AI is being integrated into the legal landscape, and we can expect to see more tools like this emerge in the future.
Market Pulse
Overall, the AI industry continues to evolve and make significant strides in various fields, including law. As we move forward, it’s essential to stay updated on the latest trends and developments in this ever-changing landscape. Keep an eye out for more updates on AI and the legal landscape in future editions of Startups Weekly.
