Axiom 2026: In-House Teams Prefer ALSPs Over Law Firms 2:1 for AI-Enabled Work — 7% Past Piloting, 100% Increasing Spend

Axiom's 2026 In-House Legal AI Report — 528 in-house legal leaders across six countries — found that in-house teams prefer ALSPs over law firms for AI-enabled legal work by more than two to one (52% to 24%), and rate ALSPs above consulting firms, law firms, AI vendors, and industry associations as trusted advisors for AI implementation guidance. Every in-house team currently using AI plans to increase spending next year — yet only 7% have moved past piloting to a systematic, measured deployment, and 83% cannot demonstrate ROI from last year's investment. The preference gap between ALSPs and law firms is structurally predictable: ALSPs have built AI and process capability as the core of their product, while law firms have built AI as a layer over a billable-hour delivery model. The finding that in-house teams trust ALSPs more for AI guidance than they trust the law firms that have been their primary legal advisors for decades represents a reputational realignment that managing partners at traditional firms should be treating as a strategic emergency rather than a passing survey finding.