CapitalG and Menlo Ventures co-lead Series C investment with participation from Andreesessen Horowitz to advance ediscovery technology, fuel international expansion
OAKLAND, California, March 10, 2020 /PRNewswire/ -- Everlaw, the cloud-based ediscovery and litigation platform, today announced it has closed a $62 million Series C funding round led by new investor CapitalG and existing investor Menlo Ventures, with participation from existing investors Andreessen Horowitz and K9 Ventures. With this investment, Everlaw's total funding reaches $96 million, and Jesse Wedler, partner at CapitalG, will join the company's board of directors. In addition, Everlaw has achieved a FedRAMP Authority to Operate at the moderate impact level with support from the U.S. Department of Justice (DOJ), enabling the DOJ to securely implement the platform for ediscovery, collaboration, and document review for productions, investigations, and litigation.
The digital universe is growing exponentially, expected to reach 44 trillion gigabytes this year. As the volume of data grows and ediscovery workloads become more demanding, litigators and investigators are struggling with the cost and complexity of mining through massive troves of documents. Evidence is the lifeblood of law, but only a small fraction of documents are relevant in any given case, which is why modern ediscovery is a new imperative for quickly uncovering that needle of truth in the haystack required to advance justice. Everlaw's cloud-based ediscovery solution enables legal teams to easily find relevant information for internal investigations and litigation, and to collaborate on research, analysis, narrative-building and courtroom-ready presentation of the material. It uses artificial intelligence to quickly reveal connections and insights in all types of written and multimedia data that might otherwise be overlooked and that can help make or break a legal case.
"The stakes for uncovering the truth and upholding justice have never been higher. Yet the process to find this information is incredibly challenging, and we want to give teams the tools they need to find the needles in the haystack — those critical pieces of evidence that change the trajectory of their cases," said AJ Shankar, founder and CEO of Everlaw. "This investment will help us further scale growth, from recruiting efforts to continued international expansion and investing in new features so organizations around the globe can use our truth-finding machine to advance justice and the rule of law."
Everlaw has been gaining momentum within a market expected to grow to $17 billion by 2023. The company is the first cloud-native software to earn a FedRAMP Moderate Authority to Operate with support from the DOJ, an achievement that reflects Everlaw's commitment to security. Both data stored and the number of matters on the platform have more than doubled year-over-year, with customers such as Hilton, Dick's Sporting Goods, Juniper Networks and the National Association of Attorneys General, and global law firms like Travers Smith, Orrick, Covington & Burling LLP, and Greenberg Traurig LLP. In addition, journalists, educators and nonprofits rely on Everlaw every day to do their jobs. Processing up to 500,000 documents per hour, Everlaw's technology is five times faster than the nearest cloud competitor, with its largest case reaching 68M documents.
Quotes from Investors
"Everlaw is modernizing the way litigators and investigators bring evidence to light," said Jesse Wedler, partner at CapitalG. "Technology is well-suited to address today's data overload problem, and with their world-class engineering team and cloud-native product, Everlaw is enabling litigation teams to focus on truth discovery and leave the manual work to the machines."
"The legal industry continues to replace broken, manual workflow with modern software," said Tyler Sosin, Menlo Ventures partner and Everlaw board member. "As a category-leader, Everlaw can build a multi-billion dollar business. But ediscovery is just the tip of the iceberg: We believe that Everlaw can extend their product offering to customers, with purpose-built software that brings new efficiency to the legal sector."
"Everlaw is changing the way legal teams uncover the truth buried in mountains of data and documents," said Steven Sinofsky, board partner at Andreessen Horowitz. "Everlaw has already established itself as a leader in the $11 billion ediscovery market, and promises to make a lasting impact defining modern work solutions for litigators."
Quote from Analyst
"Everlaw is well-positioned to transform the legal industry," said Ryan O'Leary, lead analyst at IDC. "And, with the explosion of data, transforming often highly manual ediscovery processes is needed to bring ediscovery into the digital age. Large corporations in particular will greatly benefit from efficiencies gained through Everlaw's unique search capabilities and AI-powered technology."
About Everlaw Everlaw blends cutting-edge technology with modern design to help government entities, law firms, and corporations solve the toughest problems in the legal industry. Everlaw is used by Fortune 100 corporate counsels and household brands like Hilton and Dick's Sporting Goods, 76 out of the AM Law 100, and all 50 U.S. state attorneys general. Based in Oakland, California, Everlaw is funded by top-tier investors, including CapitalG, Menlo Ventures, Andreessen Horowitz, and K9 Ventures.