Norm AI Raises $120 Million at a $1.2 Billion Valuation Led by Khosla Ventures

Norm AI, setting the norms of agentic law, led by John Nay and the team, has raised a $120 million Series C at a $1.2 billion valuation, led by Khosla Ventures, the first institutional investor in OpenAI. Blackstone, Bain Capital Ventures (BCV), Craft Ventures, Coatue, Vanguard, New York Life, TIAA, Tony James (former President, Chief Operating Officer, and Executive Vice Chairman of Blackstone), Jeff Hammes (former Chairman of Kirkland & Ellis), and Fenwick LLP also participated.

Norm Ai is building agentic law for high-stakes legal work by combining AI engineering with legal expertise to embed law into AI agents.

Through its affiliated AI-native law firm, Norm Law, attorneys supervise and improve these agents to deliver legal services more efficiently. By pricing based on outcomes rather than hours, the platform creates a client-aligned model that differs from traditional hourly billing and usage-based AI economics.

Norm Law is led by Mike Schmidtberger, former Chair of the Executive Committee at Sidley Austin, and supported by senior legal professionals from leading global law firms and investment organizations.

Norm AI is used by clients representing more than $30 trillion in assets under management, enabling in-house legal teams to deploy AI agents for complex legal workflows. The company’s technology is also being used to supervise other AI agents operating in regulated, high-stakes environments.

According to Founder and CEO John Nay, Norm Ai is building an interface between AI and law to align legal services with clients while helping ensure AI systems operate in accordance with human values.

Investors highlighted Norm Ai’s ability to bring AI-native legal services to regulated industries, with a model designed around trust, efficiency, and client-aligned outcomes. The company is gaining adoption among leading financial institutions and enterprises seeking faster, more scalable legal workflows.