Palantir Technologies
Palantir Technologies has evolved from a private intelligence contractor into one of the most influential firms in the world. Founded through the support of the U.S. Central Intelligence Agency, the company now sits at the center of national security infrastructure, commercial data analytics, and global politics. Its rise illustrates how the nature of our democracy and capitalist systems intertwined with technological innovation continue to define the future of governance and society.
Overview
Palantir was founded in 2003 by Peter Thiel, Alex Karp, Joe Lonsdale, Stephen Cohen, and Nathan Gettings. Palantir’s official mission statement, as listed in its SEC filings and on its corporate website, “Is to empower organizations to protect liberty while they use data to make better decisions.” Palantir specializes in data analysis, surveillance technology, and artificial intelligence. Early backing came from In-Q-Tel, the CIA’s venture-capital fund that invests in technologies designed to strengthen intelligence operations. Between 2003 and 2008, the CIA was Palantir’s only customer, using its data analysis system to track patterns and networks related to terrorism, national security, and potential threats to the American public.
The firm remained private for nearly two decades before going public on September 30, 2020, through a direct listing on the New York Stock Exchange. Direct listing or direct public offering (DPO), means its founders and early investors sell their own shares straight to the public on the open market, instead of going through Wall Street investment banks to issue new stock. The firm skyrocketed on the open market and in September 2024, Palantir was officially added to the S&P 500 index, replacing American Airlines. This milestone marked its transition from a classified contractor to a global corporate powerhouse. Palantir’s public valuation has reflected that transformation. In 2022, its stock traded at roughly 6 dollars per share, but as of October 2025 it has surged to around 200 dollars per share, a thirtyfold increase. Analysts attribute this dramatic rise mostly to Palantir’s expansion into artificial intelligence and machine-learning analytics. The launch of Palantir’s Artificial Intelligence Platform (AIP) in 2023 made the company one of the most visible beneficiaries of the global race to integrate AI into defense, health, and data software.
Expansion
Palantir’s influence within the federal government and corporate America has expanded rapidly. Palantir's commercial total contract value was reported at $843 million, up 222 % for last year. On October 28th 2025, Palantir announced a new partnership with NVIDIA “to accelerate and optimize complex enterprise and government systems.” The agreement combines Palantir’s software with NVIDIA’s advanced computing systems to help companies make faster operational decisions and manage supply chains more efficiently. The partnership marks another step in Palantir’s goal to integrate its software across every sector that relies on large scale data. Most significantly, the company recently secured a $10 billion US Army contract, placing its software at the core of military logistics and intelligence planning. Palantir also contracts with the U.S. Treasury, the Department of Homeland Security (DHS), the Centers for Disease Control and Prevention (CDC), Immigration and Customs Enforcement (ICE), and the Social Security Administration (SSA). Each of these contracts involves systems that gather, organize, and analyze sensitive data on finance, health, defense, security, and citizenship. Since all of these databases operate through Palantir’s platforms, the company has more access to information than any singular government department. This level of integration means that data from all these different sectors can be cross referenced within the same private system, giving one company a comprehensive view of the nation’s most personal information.
Hybrid
Although Palantir is now a publicly traded company, it operates in a hybrid space, in which they maintain more flexibility than federal agencies and more privacy than public corporations. Palantir is able to expand on the open market while still operating under strict confidentiality agreements. The nature of Palantir’s software gives it access to vast amounts of public records and government data, but unlike a federal department, it is not democratically accountable. Government officials are appointed by elected representatives, while Palantir’s leadership is chosen by private shareholders and executives. Public institutions must comply with oversight legislation such as the Freedom of Information Act, congressional review, and procurement transparency laws. Contractors are not subject to those same requirements. This model enables Palantir to operate within government systems while remaining largely self-directed.
Source: Yahoo Finance
Thiel
Palantir’s rise is closely tied to the influence of its co-founder Peter Thiel. “I no longer believe that freedom and democracy are compatible.” April 13, 2009. This statement reflects Thiel’s technocratic and utilitarian mindset where innovation and efficiency take precedence over representative judgment. Notably in September 2025, Thiel delivered a four-part lecture series on the Antichrist at Commonwealth Club in San Francisco. In these lectures, he described a future in which fear of technology, especially artificial intelligence and climate change, could be used to justify global control and suppress human creativity. Thiel believes that accelerating technological development is essential to maintaining freedom and human progress, and that stagnation or overregulation could lead to a form of collective decline. In 2005 Thiel founded "Founders Fund," a venture capital firm that invests in ambitious, world-changing ideas rather than short-term profitability. Some of these companies include SpaceX, Neuralink, OpenAI, and Palantir. Notably, before launching Palantir Thiel founded PayPal alongside Elon Musk, pioneering finance and online payment infrastructure.
Thiel is also one of Silicon Valley’s most politically active investors. His 15 million dollar contribution to J.D. Vance’s 2022 Senate race in Ohio remains the largest personal donation in Senate history. Vance, who worked for Thiel at Mithril Capital and considers him a mentor, has since become a close political ally. As Vance’s national profile grows and speculation increases about a possible 2028 presidential campaign, Thiel’s influence within Washington continues to expand. While Palantir’s government contracts are awarded through standard procurement processes, its leadership’s connections to policymakers have certainly strengthened the company’s visibility and trust within federal agencies.
Implications
Palantir’s transformation from a CIA-backed startup into the central data analysis infrastructure of the U.S. government illustrates how the nature of our democracy, capitalism, and technological advancement are redefining the direction of the modern world. Driven by innovation and efficiency, Palantir will continue to expand while seeking to balance state oversight with corporate autonomy. Palantir’s founders and executives operate in a powerful network that connects Silicon Valley, Washington, and Wall Street. As artificial intelligence becomes central to both defense and governance, Palantir’s role as contractor and corporate entity will remain influential and controversial in equal measure. Palantir’s mission is to protect liberty, but the freedom it claims to protect may not survive the authority it demands to secure.