ALM's Law Firm Inc. magazine, the business magazine for law firm executives, reported today that the nation's largest law firms increased their IT operating spending by 16 percent last year, as the firms expanded their use of online collaborative tools, mobile wireless technology and voice over IP (VoIP) applications. Average total IT spending per lawyer for reporting firms grew to more than $41,000. The 12th annual Am Law Tech Survey, released today, queried CIOs and IT directors from Am Law 200 firms on hardware and software choices and plans, budgets and new areas for technology development. Results of the survey are available in the September issue of Law Firm Inc. and online at http://lawfirminc.law.com/."The nation's largest law firms are moving rapidly to take advantage of emerging tools, such as Web conferencing and blogs, to increase productivity and improve client service," said Geoffrey Smith, editor in chief of the magazine. "It's clear from our survey that IT remains a priority investment area for firms and is seen as key to building client relationships."
Among the other survey findings:
* The average firm's technology operating budget grew to $11.2 million in 2007, up from $9.7 million in 2006.
* Almost 80 percent of the law firm technology executives responding to the survey cited increased productivity as one of the biggest benefits of online collaboration, while about the same number named better client service. Only 38 percent of respondents named cost savings.
* While 45 percent of respondents reported that they planned to upgrade their desktop operating systems to Windows Vista in 2008, 36 percent reported that they had no immediate plans to upgrade.
* Almost 60% of respondents said that they had set up collaborative extranets or deal rooms for 20 or more clients in 2007.
