According to the report from Zion Market Research, the global legal transcription market that accounted for USD 4,508.6 Million in 2020, is expected to reach USD 9,958.1 Million by 2028. The market is predicted to grow at a CAGR of 11% through the forecast period 2021 to 2028. Legal transcription services are of great help for insurance companies, lawyers, law firms, banking companies, court recording companies, media entities and court reporters to prepare legal documents based on written or oral information.
Major trends in the global legal transcription market are –
- Increasing competition among legal organizations to attract clients, the goal of which is to provide clients with more time than document processing and formal work
- Major industry leaders provide legal transcription clients with phone calls, interrogations, announcements, tutorial courses, and other transcription options
The main challenges for this market development are – low adoption rates and ignorance in developing countries.
The major growth factors of this market are – artificial intelligence (AI), machine learning (ML) advancements, and cloud computing. These technologies are bringing significant development to the legal industry. Automatic speech recognition helps to quickly transcribe high-quality video or audio recordings. It allows users to convert speech to text. Many independent legal consultants and small law firms have embraced cloud management in their daily activities, even when the information control and security threats of cloud computing innovation are limited. Innovation in the cloud enables lawyers and attorneys to conduct profitable legal business through portable devices.
The report segments the market by product type, vertical, and region. Based on product type, the market is further divided into software and services. The software part is further divided into electronic reports and digital records. The software sector is expected to occupy a moderate market share, owing to the factor that more and more companies focus on providing advanced transcription software. At the same time, the service sector is expected to record the highest compound annual growth rate (CAGR) in the market, as vertical industries such as media and entertainment increasingly adopting transcription services. Several media production companies are considering media transcription services for the pre-production and post-production of entertainment programs.
By vertical, the market is segmented into – Legal, Medical, Media, Entertainment, BFSI, Government and Education. The education sector is further divided into corporate and academic sectors. The academic segment is further divided into K12, college students, universities, and individuals. Many government agencies are also adopting transcription services. While the medical department is expected to occupy the highest share of the market, the legal department is expected to record the highest CAGR during the forecast period. Legal proceedings require very accurate transcripts, because participants in legal proceedings rely primarily on transcripts from previous court hearings. The growing demand for legal transcription services has prompted market participants to raise funds to strengthen their portfolio of services.
Region wise, the market is divided into North America (the U.S., Canada), Europe (France, The UK, Spain, Germany, Italy, Rest of Europe), Asia Pacific (China, Japan, India, South Korea, Southeast Asia, Rest of Asia Pacific), Latin America (Brazil, Mexico, Rest of Latin America), Middle East & Africa (GCC, South Africa, Rest of Middle East & Africa).
- The Asia-Pacific market accounts for over 48% of total global revenue in 2020.
- China and India have emerged as preferred destinations for legal outsourcing due to the availability of regulatory agencies and lawyers.
- The Asia Pacific and East Asia regions are expected to grow rapidly in the next years as a result of increasing digitalization and cell phone use.
- The North America region is projected to grow at a CAGR of10.2% over the forecast period.
An increasing number of highly qualified lawyers specializing in various legal fields and having fluent English skills are increasing regional market turnover. North America accounts for a significant portion of the global legal transcription market due to the rapid implementation of legal transcription services by law firms in this area.
The major industry players include 3Play Media; Vinda; TranscribeMe; Moretti Group; Robin Medical; Peterson Reporting; TSG Reporting; Captionmax LLC; Nuance Communications; and MModal IP LLC. Industry participants are focusing on launching new transcription services to gain a competitive advantage in the market.