'Lethal' and 'magical' Palantir tech is in demand by Pentagon, China, Middle East, CEO says
(2026/02/03)
- Reference: 1770147711
- News link: https://www.theregister.co.uk/2026/02/03/palantir_lethal_magical_china_middle_east/
- Source link:
Palantir is shaping the "under-the-hood" practices of the US Defense Department as demand for its software grows across warfighting, shipbuilding, and weapons procurement, CEO Alex Karp said during the company's fourth-quarter earnings call on Monday.
“One of the unusual things that unfortunately we can’t talk about is also just how much we can shape what’s going on under the hood, including how do you orchestrate something in a defense or civilian context?” Karp told investors. “It’s not that we’re the deciders, but it is the first time that we can help shape the footprint against which we execute.”
In December, the company announced it signed an up to $448 million deal with the US Navy to deploy [1]ShipOS , which has demonstrated small-scale successes in streamlining processes used within the Maritime Industrial Base, the network of private companies that build American warships.
[2]
In some of those early tests, the company has used its digital twinning technology to reduce the time General Dynamics Electric Boat spent planning a submarine schedule from 160 hours to 10 minutes. It also claims that at the Portsmouth Naval Shipyard, the material review process has shrunk from “weeks” to under one hour.
[3]
[4]
“From the beginning, we have stuck to our very strong values of expanding what we believe is the noble side of the West, which means being lethal on the front end, meaning outside, against adversaries, if necessary,” Karp said. “Hopefully adversaries do not want to mess with us.”
Palantir CTO Shyam Sankar said this has set off a wave of demand across the Department of Defense as the company’s Maven platform provides the Pentagon with the ability to coordinate from “the factory floor to the foxhole” in order to deliver “lethality.”
[5]
“We’re starting with the sub fleet, but people are asking us to help with all sorts of different weapon systems: fighters, bombers, surface vessels, drones, weapons themselves, munitions, and it’s a big area for us that spans not only the production of the weapon, but also attainment of them,” Sankar told investors. “And if you think about lethality, the ability to deliver combat power, you need an integrated ability to do this from the factory floor to the foxhole and Maven is a huge investment that has changed how we fight across the joint force on the foxhole side.”
The company made a fortune off US taxpayers last year, as its government business surged 55 percent to $1.86 billion. In the fourth quarter alone, the company grew its government business 66 percent versus the same time last year to $570 million, for an annualized run rate of $2.28 billion.
Next year, the company expects total annual revenue of $7.19 billion, a 60 percent increase over the $4.48 billion it made this year.
[6]Palantir declares itself the guardian of Americans' rights
[7]Palantir CEO claims AI will mean western economies won't need immigration
[8]Britain's Ministry of Defence signs on the dotted line with Palantir
[9]Palantir wants to set the juice loose with new AI power initiative
Karp said the challenge for Palantir is to keep up with expectations, as over the last year it has supported what he said were the most interesting, intricate, unusual operations that the US government has been involved in, which he can’t talk about.
“We’re not in the business of delivering the best products. We’re in the business of delivering projects that are magical on the front line and we unfortunately can’t talk about some of that, but we’ve seen that in the last year, magical implementations that have actually changed how people view US deterrents," Karp said during the call. “Obviously, the primary heroes here are the war fighters. But you know, the implementation orchestration, which (Sankar) and many, many people at Palantir have spent tireless nights working on has actually changed what people are able to do.”
[10]
Palantir’s government business is also seeing stronger adoption in parts of the Middle East and in China, Karp claimed. Those are geographies where strong-arm leaders with authoritarian regimes have traditionally been in place or have recently surged to power. He said Canada and Europe have been reluctant to buy advanced American defense software, often favoring domestic suppliers.
“So Arab countries and Israel, you see adoption. You see wide scale adoption in China, and you see lack of adoption in Canada, Northern Europe, and in Europe in general,” he said. “One of the countries that has the clearest idea of the problem is France, but they don’t really know how to solve it, because the solution involves buying American products, particularly Palantir.” ®
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[1] https://www.theregister.com/2025/12/10/palantir_navy_448_million_contract/
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[6] https://www.theregister.com/2026/02/03/palantir_american_rights/
[7] https://www.theregister.com/2026/01/21/palantir_ceo_karp_claims_ai/
[8] https://www.theregister.com/2026/01/28/mod_palantir_deal/
[9] https://www.theregister.com/2025/12/04/palantir_chain_reaction/
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[11] https://whitepapers.theregister.com/
“One of the unusual things that unfortunately we can’t talk about is also just how much we can shape what’s going on under the hood, including how do you orchestrate something in a defense or civilian context?” Karp told investors. “It’s not that we’re the deciders, but it is the first time that we can help shape the footprint against which we execute.”
In December, the company announced it signed an up to $448 million deal with the US Navy to deploy [1]ShipOS , which has demonstrated small-scale successes in streamlining processes used within the Maritime Industrial Base, the network of private companies that build American warships.
[2]
In some of those early tests, the company has used its digital twinning technology to reduce the time General Dynamics Electric Boat spent planning a submarine schedule from 160 hours to 10 minutes. It also claims that at the Portsmouth Naval Shipyard, the material review process has shrunk from “weeks” to under one hour.
[3]
[4]
“From the beginning, we have stuck to our very strong values of expanding what we believe is the noble side of the West, which means being lethal on the front end, meaning outside, against adversaries, if necessary,” Karp said. “Hopefully adversaries do not want to mess with us.”
Palantir CTO Shyam Sankar said this has set off a wave of demand across the Department of Defense as the company’s Maven platform provides the Pentagon with the ability to coordinate from “the factory floor to the foxhole” in order to deliver “lethality.”
[5]
“We’re starting with the sub fleet, but people are asking us to help with all sorts of different weapon systems: fighters, bombers, surface vessels, drones, weapons themselves, munitions, and it’s a big area for us that spans not only the production of the weapon, but also attainment of them,” Sankar told investors. “And if you think about lethality, the ability to deliver combat power, you need an integrated ability to do this from the factory floor to the foxhole and Maven is a huge investment that has changed how we fight across the joint force on the foxhole side.”
The company made a fortune off US taxpayers last year, as its government business surged 55 percent to $1.86 billion. In the fourth quarter alone, the company grew its government business 66 percent versus the same time last year to $570 million, for an annualized run rate of $2.28 billion.
Next year, the company expects total annual revenue of $7.19 billion, a 60 percent increase over the $4.48 billion it made this year.
[6]Palantir declares itself the guardian of Americans' rights
[7]Palantir CEO claims AI will mean western economies won't need immigration
[8]Britain's Ministry of Defence signs on the dotted line with Palantir
[9]Palantir wants to set the juice loose with new AI power initiative
Karp said the challenge for Palantir is to keep up with expectations, as over the last year it has supported what he said were the most interesting, intricate, unusual operations that the US government has been involved in, which he can’t talk about.
“We’re not in the business of delivering the best products. We’re in the business of delivering projects that are magical on the front line and we unfortunately can’t talk about some of that, but we’ve seen that in the last year, magical implementations that have actually changed how people view US deterrents," Karp said during the call. “Obviously, the primary heroes here are the war fighters. But you know, the implementation orchestration, which (Sankar) and many, many people at Palantir have spent tireless nights working on has actually changed what people are able to do.”
[10]
Palantir’s government business is also seeing stronger adoption in parts of the Middle East and in China, Karp claimed. Those are geographies where strong-arm leaders with authoritarian regimes have traditionally been in place or have recently surged to power. He said Canada and Europe have been reluctant to buy advanced American defense software, often favoring domestic suppliers.
“So Arab countries and Israel, you see adoption. You see wide scale adoption in China, and you see lack of adoption in Canada, Northern Europe, and in Europe in general,” he said. “One of the countries that has the clearest idea of the problem is France, but they don’t really know how to solve it, because the solution involves buying American products, particularly Palantir.” ®
Get our [11]Tech Resources
[1] https://www.theregister.com/2025/12/10/palantir_navy_448_million_contract/
[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/publicsector&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2aYJ-DBlWRpXa-EiSsOn_ZAAAAFM&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
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[6] https://www.theregister.com/2026/02/03/palantir_american_rights/
[7] https://www.theregister.com/2026/01/21/palantir_ceo_karp_claims_ai/
[8] https://www.theregister.com/2026/01/28/mod_palantir_deal/
[9] https://www.theregister.com/2025/12/04/palantir_chain_reaction/
[10] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/publicsector&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33aYJ-DBlWRpXa-EiSsOn_ZAAAAFM&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[11] https://whitepapers.theregister.com/
One of the unusual things...
Pickle Rick
...that unfortunately we can’t talk about is...
Let me just stop you there pal.
CRM
elsergiovolador
CRMs with mean salesmen that make grunts cream their pants.
From the factory floor to the foxhole
Anonymous Coward
But
>> We’re starting with the sub fleet
Submarines and foxholes really don't work well together: "Shall I demonstrate the automatic trenching tool now, Captain?" "NOOOOO!"
> but people are asking us to help with all sorts of different weapon systems: fighters, bombers, surface vessels, drones
Still not good mixed with foxholes...
Maybe pick up a few more appropriate soundbites, show us you really have a grip on all those little differences in user requirements that show off an in-depth* knowledge of the challenges they face?
* In-depth knowledge, submarines and foxholes, geddit? Oh, suit yourselves.
material review process has shrunk from “weeks” to under one hour
Computer says yes! Onward Christian soldiers!