Robin AI, a UK lawtech firm, is seeking a buyer after failing to secure a $50 million (£38 million) funding round. The company, backed by notable figures like Revolut's Nik Storonsky and Monzo's Tom Blomfield, has listed itself on an insolvency marketplace while exploring future options. This move follows layoffs affecting about a third of its 170 staff in London and New York. Robin AI has not confirmed or denied the insolvency listing rumors.

Robin AI, backed by Revolut co-founder Nik Storonsky, is seeking a rescue buyer after failing to secure a $50 million funding round. The London-based legal AI firm, which has raised over $50 million previously, is now for sale on an insolvency marketplace, risking nearly 200 jobs. Despite having clients like PwC and UBS, Robin AI has not turned a profit, posting £12 million in losses with £8 million in annual revenue. The sale highlights concerns over an AI market bubble.

A survey by Robin AI of 4,152 people across the US and UK found that only 30% at present would trust a legal AI tool ‘to represent them on its own’. Meanwhile, only 10% said legal services are ‘truly accessible to everyone’, and just 23% believe good quality legal services are available to the average person.Also, respondents said they would need a 57% discount to choose a legal AI system over a human lawyer. I.e. the general public doesn’t yet really value the output – or expect to value the output – of legal AI systems. Yet, some people would still use that approach out of desperation in order to find an affordable legal provider. Although, the majority would prefer not to, if possible, for now