Welcome back and Happy New Year! We hope you had a refreshing break and are as excited as we are to dive into 2024.

To kick things off, the US team has put together a list of our predictions and topical issues for legal trends across our key sectors for the year ahead. With a little more economic stability, we anticipate a more robust merger and acquisition (M&A) and venture capital (VC) market – albeit a slow ramp-up.  Litigation and international arbitration will remain a central feature for many clients including as a result of enforcing heightened regulatory scrutiny in the technology, life sciences, and healthcare sectors. Data privacy, artificial intelligence (AI), and compliance will continue to disrupt most sectors particularly in digital health, fintech and e-commerce. Environmental, social, and governance (ESG) issues will take greater prominence in many boardrooms this year and reporting obligations as well as internal policies will be increasingly critical to businesses and their customers. We conclude with predictions on the international HR landscape and global expansion of US tech companies. Of which, much more below…

Top things you should be thinking about in 2024:

While 2023 saw challenges for startups with a decline in unicorn creations, 2024 promises a slight VC rebound, especially in keys sectors such as health tech and AI. Noteworthy developments include a resilient European VC landscape, the ascent of hyper-specialist VCs leveraging market expertise, AI’s dominance, a potential initial public offering (IPO) resurgence, and the challenge of managing surplus unallocated capital.

Yeliz Atak, Vice President – Legal, US

Indications are that 2024 will be rewarding if economic conditions continue to improve and private equity (PE) managers take steps to navigate some approaching headwinds.

Malcolm Pobjoy, Executive Director, US Market Management

Florida, the fourth-largest US economy, saw a slight decline in transactional law in 2023, potentially continuing into 2024. Lower interest rates might boost the real estate sector. AI may improve Florida’s equity market in 2024, with Miami remaining a Latin American commercial international arbitration hub and tech law now hotter than ever.

Javier F. Samaniego, Partner, US

With the JP Morgan Healthcare Conference and BIO in diaries, predictions and issues that are front of mind include the continued Inflation Reduction Act (IRA) impact in the US on regulation, drug pricing, and M&A activities. The EU Pharmaceutical Legislation Reform will provide further access to drugs, but with looming concerns. There will be more AI excitement for advancements in research, reduction in time, and cost pressures.

Jonathan Cheng, Vice President, International Sector Advisory, US

Anyone working with data privacy knows that 2023 has been the year of AI. The areas are closely intertwined, but this isn’t all – 2024 will see companies manage more digital regulations in the UK and EU than ever before. Companies will need to manage new laws and regulator guidance across the digital space.

Emily Barwell, Senior Associate, US

We’ll see lots of activity at the intersection of AI and data law. Bolstered by recent case law, privacy regulators are gearing up to investigate automated decision-making and other aspects of AI models’ the General Data Protection Regulation (GDPR) compliance, while Europe forges ahead with Internet of Things (IOT) regulation that will impact availability of training data.

Felix Hilgert, Partner, US

The Retail and Consumer Sector is having to respond and adapt to increasing regulatory obligations as customer awareness for sustainable and environmentally friendly products continues to grow. In 2024, retailers will place an increased emphasis on sustainable and ethical practices. This will include eco-friendly packaging, responsible sourcing, and transparent supply chain management, aligning with the broader global focus on environmental and social responsibility.

Kelly Harlick, Senior Vice President, International Sector Advisory, US

If you are doing business in Europe, then 2024 is the year to set ESG strategy and ensure you will be able to comply with the raft of new ESG regulations coming into force.

Ray Berg, Partner, US

Employers and employees alike are increasingly using AI, but there are particular risks to manage in an international HR context, so we’ll see lots of companies preparing for the regulatory and technological changes to come.

Rachael Oakley, Vice President – Legal, US

Global reductions in force are full of obstacles such as a lack of clear rationale, underestimating timeframes and costs, ignoring legal procedures, neglecting consultation exercises, and neglecting formal requirements and inadequate documentation.

Alex Schlicht, Vice President – Legal, US

Silicon Valley tech giants are set to globe-trot in 2024, aiming for innovation and growth to gain market share. AI will be the focus of the digital era and making big strides. Embrace the shift as US tech firms redefine borders and reshape markets – a year of learning, unlearning and resilience ahead.

Katharina Ferguson, Senior Vice President, International Sector Advisory, US

Read our full 2024 forecast