Just four months after achieving a valuation of $3 billion, Harvey AI has now reached a significant new milestone, securing a $300 million Series E funding round at a $5 billion valuation. The investment round was co-led by prominent venture firms Kleiner Perkins and Coatue, with additional participation from existing investors including Conviction, Elad Gil, OpenAI Startup Fund, and Sequoia.
This recent fundraise follows closely on the heels of a similar $300 million Series D round, announced only four months prior, in which Sequoia took the lead to value the company at $3 billion.
Unlike many of its peers in the AI sector who aim to keep team sizes relatively lean, Harvey AI is expanding its workforce swiftly. From a current team size of approximately 340 employees, the three-year-old company plans to double its headcount utilizing the fresh infusion of capital. A significant portion of these new hires will focus on developing and extending AI-powered products beyond the legal profession, such as solutions built specifically for tax and accounting professionals.
Harvey AI’s main products currently support lawyers by automating document reviews and drafting contracts, with its client base numbering 337 legal firms and organizations. According to recent reports, Harvey AI’s growth trajectory remains robust—the company reached an annualized revenue run rate of $75 million by April, marking a rapid increase from the $50 million run rate recorded earlier in the year.
Competition in the legal tech AI space remains formidable, highlighted by well-established rivals such as Ironclad, which has ten years in the industry, and Clio, a 17-year-old company that itself raised $300 million last year at a valuation of $3 billion. Harvey AI appears poised to build further on this momentum, confidently charting its own course in a competitive market landscape.
