Can Lexis unRavel Westlaw?

Lexis announced this week they have acquired Ravel Law. With acquisitions like Lex Machina and now Ravel, Lexis has seemingly cornered the market on analytics and data-driven decision making.

In recent years, due to Westlaw’s incredible popularity with law school graduates, and some notable problems with LexisAdvance rollouts, Lexis’ value–and pricing–diminished. However, Lexis has regrouped, formulating a strategy to rebound by acquiring new, innovative companies and reinvesting in law school programs. Most importantly, Lexis is promising to knit it all together, linking the new products with a common gateway into an improved LexisAdvance.

The Ravel acquisition is an important pivot point, and we think Lexis’ usage and pricing are headed for a bounce-back. Westlaw is ripe for a take-down. The market will continue to become less tolerant of Westlaw’s high pricing compared to Lexis’ (more than double). For the first time in a while, it is an excellent time to ‘buy’ Lexis, for firms that can negotiate a reasonable and optimal price.