Palantir

KYCO: Know Your Company

Reveal Profile

29 October 2025

1) Overview of the Service Provider

Palantir Technologies Inc. is a leading provider of AI-powered software platforms that serve as central operating systems for government and commercial organizations worldwide. Founded in 2003 and headquartered in Denver, Colorado, Palantir specializes in data integration, analytics, and artificial intelligence platforms that transform complex data into actionable insights for mission-critical decision-making.

The company operates through four main platforms: Palantir Gotham for defense and intelligence operations, Palantir Foundry for commercial data integration, Palantir Apollo for continuous software deployment, and the Artificial Intelligence Platform (AIP) that enables organizations to integrate generative AI into their operations. Palantir’s solutions are deployed across more than 50 sectors, serving both public and private organizations that manage complex and highly sensitive data.

Palantir maintains a workforce of approximately 3,900-4,000 employees as of 2024, representing a 5.38% increase from the previous year. The company has established a global presence with offices across North America, Europe, and the Asia-Pacific region, including locations in New York, Palo Alto, Washington D.C., London, Paris, Copenhagen, Sydney, and Seoul.

In 2024, Palantir generated $2.87 billion in revenue, representing 29% year-over-year growth, with roughly 55% coming from government clients and 45% from commercial enterprises. The company achieved its first $1 billion quarterly revenue milestone in Q2 2025, posting 48% year-over-year growth. U.S. commercial revenue has been particularly strong, growing 64% year-over-year in Q4 2024 to $214 million and projected to exceed $1.079 billion in 2025.

From a competitive perspective, Palantir operates in the data analytics and AI platforms market alongside companies such as Microsoft, IBM, Databricks, Snowflake, and specialized firms like Alteryx and Splunk. However, Palantir differentiates itself through its focus on operational AI applications and its ability to handle highly sensitive government and enterprise data with military-grade security standards. The company holds comprehensive federal security authorizations including FedRAMP High, DoD Impact Level 5 and 6, and CMMC Level 2 certification.

Palantir has received significant industry recognition, winning multiple Dresner Advisory Services 2024 Technology Innovation Awards in categories including AI, Data Science, and Machine Learning, Cloud Business Intelligence, and Data Engineering. Forrester Research recognized Palantir as a Leader in AI/ML Platforms in 2024, citing its highest scores in analytical features, model operations, and usability.

2) History

Palantir Technologies Inc. was founded in May 2003 by Peter Thiel, Alex Karp, Joe Lonsdale, Stephen Cohen, and Nathan Gettings, emerging from the post-9/11 national security landscape with a mission to develop sophisticated data analysis tools that could help prevent terrorism while preserving civil liberties. The company’s name, derived from the “seeing stones” in J.R.R. Tolkien’s Lord of the Rings, reflected the founders’ vision of creating technology capable of providing clarity across vast amounts of complex data.

The company’s origins trace back to Peter Thiel’s experience at PayPal, where the team had developed a sophisticated fraud detection system called “Igor” to combat cyberattacks and financial crime. Thiel recognized that similar pattern-recognition algorithms could be adapted to trace terrorist financing and prevent future attacks, leading him to personally fund Palantir’s initial development with a $30 million investment.

Palantir’s early breakthrough came in 2004 when it secured backing from In-Q-Tel, the CIA’s venture capital arm, which invested approximately $2 million across multiple stages. This partnership provided not only critical funding but also credibility within the intelligence community, enabling Palantir to refine its technology through pilot programs with various government agencies over the subsequent three years.

In 2008, Palantir launched its first major product, Palantir Gotham, a platform designed specifically for intelligence and defense applications that enabled users to integrate and analyze datasets ranging from signals intelligence to confidential informant reports. The platform was initially deployed to support counter-terrorism analysis and was used by troops in Iraq and Afghanistan to avoid ambushes and roadside bombs.

The company began expanding beyond government contracts in 2010 when it partnered with commercial clients, demonstrating the versatility of its data analytics platform. That same year, Palantir formed a partnership with Thomson Reuters to launch Palantir Metropolis, a quantitative analysis tool aimed at financial institutions, though this product was later phased out in the mid-2010s.

Palantir experienced significant growth throughout the 2010s, with its valuation reaching $9 billion by 2013 and eventually climbing to $20 billion by 2015. In 2015, the company launched Palantir Foundry, a scalable platform designed specifically for enterprise clients across various industries including healthcare, manufacturing, and financial services. During this period, Palantir also made several strategic acquisitions to strengthen its capabilities, including Voicegem in 2013, Kimono Labs and Silk in 2016, enhancing its data visualization and web scraping capabilities.

The company relocated its headquarters from Palo Alto, California to Denver, Colorado in 2020, with CEO Alex Karp citing “increasing intolerance and monoculture” in Silicon Valley as a driving factor behind the move. That same year, Palantir went public through a direct listing on the New York Stock Exchange, raising additional capital to fuel further growth while providing increased financial flexibility and public recognition.

In 2023, Palantir achieved a critical turning point by reporting its first profitable year with revenue of $2.23 billion, representing a 16.75% increase from 2022. The company also launched its Artificial Intelligence Platform (AIP) in April 2023, which enabled organizations to integrate large language models and other AI technologies directly into their operations. This innovation positioned Palantir at the forefront of the AI revolution and drove much of its subsequent commercial expansion.

Palantir’s growth accelerated dramatically in 2024, with revenue reaching $2.87 billion, representing a 29% year-over-year increase. The company was added to the S&P 500 index in September 2024 and later transferred its stock listing from the NYSE to Nasdaq in November 2024. By 2025, Palantir achieved its first $1 billion quarterly revenue milestone in Q2, posting 48% year-over-year growth and establishing itself as one of the fastest-growing enterprise software companies in the market.

3) Key Executives

Alexander Karp serves as Chief Executive Officer and Co-Founder of Palantir Technologies, positions he has held since 2005 and 2003 respectively. Karp, age 58, holds a PhD in neoclassical social theory from Goethe University Frankfurt and earned his JD from Stanford Law School, where he first met co-founder Peter Thiel. Prior to founding Palantir, Karp worked as a research associate at the Sigmund Freud Institute in Frankfurt and managed high-net-worth individuals through his London-based money management firm Caedmon Group. His compensation for 2024 totaled $4.63 million, comprised of 23.8% salary and 76.2% bonuses, and he directly owns 2.41% of the company’s shares worth approximately $10.8 billion.

David Glazer serves as Chief Financial Officer and Treasurer, having joined Palantir in 2013 and assumed the CFO role in July 2020. Glazer, age 41, brings extensive experience in corporate securities law, having previously worked as an Associate at Wilson Sonsini Goodrich & Rosati from 2008 to 2013, where he specialized in advising technology companies on IPOs, mergers, and corporate governance. He holds a JD from Emory University School of Law and a BA in History and Political Science from Santa Clara University. His 2024 compensation reached $11.84 million, and he owns approximately 0.018% of company shares valued at $81.5 million.

Shyam Sankar serves as Chief Technology Officer and Executive Vice President, having been promoted to CTO in January 2023 after joining Palantir as employee #13 in 2006. Sankar, age 43, pioneered the company’s Forward Deployed Engineer model, embedding technologists directly with clients to address complex data challenges. He holds a BS in Electrical and Computer Engineering from Cornell University and an MS in Management Science and Engineering from Stanford University. His career at Palantir spans over 18 years, during which he has been instrumental in the company’s transformation from a Silicon Valley startup to a global software and AI leader. In 2024, his compensation totaled $807,050, and he owns 0.19% of company shares worth approximately $845.4 million.

Ryan Taylor serves as Chief Revenue Officer and Chief Legal Officer, having joined Palantir in 2010 and assumed his current dual role in 2023. Taylor, age 43, previously served as Chief Legal and Business Affairs Officer from 2020 to 2023 and has extensive experience in both legal compliance and business strategy. He earned his JD from Harvard Law School and holds degrees in Management Science & Engineering and Computer Science from Stanford University. His professional background includes roles as an Associate at Covington & Burling and as a Law Clerk at the United States District Court for the Central District of California. In 2024, his compensation reached $11.83 million, and he owns 0.013% of company shares valued at $58.6 million.

Stephen Cohen serves as Co-Founder, President, and Secretary, having been with Palantir since its founding in 2003. Cohen, age 42, has served as President and Secretary since 2005 and holds a BS in Computer Science from Stanford University. As one of the founding team members, he has been instrumental in the company’s strategic direction and operational management throughout its 22-year history. His 2024 compensation totaled $602,730, and he owns 0.56% of company shares worth approximately $2.5 billion.

Jeffrey Buckley was appointed Chief Accounting Officer effective March 24, 2025, returning to a role he previously held at Palantir from September 2020 through February 2023. Buckley, age 41, most recently served as Chief Accounting Officer at Human Interest, a private financial services company, and previously worked at Zynga as Chief Accounting Officer from 2017 to September 2020. He is a Certified Public Accountant and receives an annual base salary of $400,000 plus a restricted stock unit award covering $3.5 million worth of company shares that vests over multiple quarters. His appointment followed the resignation of Heather Planishek as Chief Accounting Officer in February 2025.

4) Ownership

Palantir Technologies Inc. operates as a publicly-traded company on the Nasdaq Global Select Market under the ticker symbol PLTR, having transitioned from its original New York Stock Exchange listing in November 2024. The company completed its direct listing on September 30, 2020, at a reference price of $7.25 per share, opening at $10 and giving it an initial market capitalization of approximately $16.5 billion.

The company’s ownership structure is characterized by a complex multi-class voting system designed to preserve founder control while accommodating public shareholders. Palantir maintains three classes of common stock: Class A shares carry one vote per share, Class B shares provide 10 votes per share and are convertible to Class A, and Class F shares contribute to a founder voting trust that enables the founders to control up to 49.999999% of total voting power as long as they meet minimum ownership thresholds.

As of 2025, institutional investors collectively hold approximately 49-57% of Palantir’s outstanding shares, representing significant institutional confidence in the company’s long-term prospects. The Vanguard Group emerges as the largest institutional shareholder with over 205 million shares representing approximately 9.1% ownership, followed by BlackRock with over 177 million shares representing 7.5% ownership. State Street Global Advisors holds approximately 94 million shares representing 4.2% ownership, while Geode Capital Management maintains roughly 50 million shares representing 2.2% ownership.

Among individual stakeholders, co-founder and Chairman Peter Thiel maintains the largest individual position with approximately 100 million shares representing 4.5% ownership, valued at over $19 billion. CEO Alexander Karp holds approximately 57 million shares representing 2.4% ownership, valued at over $10 billion, though he has executed significant planned sales under 10b5-1 trading arrangements. Co-founder and President Stephen Cohen owns approximately 13 million shares representing 0.56% ownership, valued at approximately $2.5 billion.

The ownership distribution reflects a balanced structure with public companies and individual investors holding approximately 47-55% of shares, ETFs representing 25-28%, mutual funds accounting for 14-15%, and insiders maintaining approximately 5% ownership. This diversified ownership base provides stability while allowing for growth capital and liquidity for both institutional and retail investors.

Notable changes in the ownership landscape include substantial insider selling activity in 2024-2025, with CEO Karp selling approximately $2 billion worth of shares and other executives conducting planned disposals under regulatory trading arrangements. Despite these sales, the founding team retains significant influence through the multi-class voting structure, ensuring strategic continuity while providing flexibility for portfolio diversification and estate planning.

The company’s subsidiary structure encompasses over 29 international entities across five continents, including wholly-owned subsidiaries in key markets such as the United Kingdom, Germany, France, Japan, Australia, and Singapore. This global subsidiary network supports Palantir’s international operations while maintaining centralized control and governance standards from its Denver headquarters.

5) Legal Claims and Actions

Based on the available regulatory and legal databases, Palantir Technologies Inc. has resolved several past legal matters while maintaining a relatively clean legal record overall. Notably, the U.S. Department of Labor filed charges against Palantir in 2016 alleging hiring discrimination against Asian applicants for software engineering positions. This matter was settled in April 2017, with Palantir agreeing to pay $1.659 million and implement enhanced equal employment opportunity compliance measures without admitting wrongdoing.

In April 2025, a U.S. district court dismissed a multi-billion dollar securities class action lawsuit that alleged the company misled investors about its growth prospects during its 2020 direct listing. That same month, the Delaware Chancery Court dismissed a related shareholder derivative lawsuit that accused company leaders, including Peter Thiel and Alex Karp, of insider trading related to the listing and subsequent SPAC investments.

In March 2025, Palantir filed a lawsuit against startup Guardian AI and its founders, both former Palantir employees, alleging theft of trade secrets related to AI software for health insurance claims. The company has taken an aggressive stance in protecting its intellectual property and proprietary technologies.

The company also resolved an arbitration proceeding against EV manufacturer Faraday & Future, with Faraday agreeing to pay Palantir $5 million in March 2024 to resolve claims of unpaid service fees according to SEC filings.

A comprehensive review of current SEC enforcement actions, federal court records, and regulatory databases did not reveal any material ongoing legal proceedings, fines, sanctions, or regulatory enforcement actions directly involving Palantir Technologies Inc. or its subsidiaries. However, it should be noted that the company’s work with classified government programs may involve confidential legal proceedings that would not be reflected in public records.

6) Recent Media Coverage

Palantir has recently engaged in several strategic partnerships to expand its AI capabilities and market reach. In October 2025, the company announced a collaboration with Nvidia to integrate Nvidia’s chips and software into Palantir’s platforms, initially targeting corporate logistics challenges. That same month, Palantir and Lumen Technologies launched a partnership to combine Palantir’s AI platform with Lumen’s fiber network, aiming to deliver enhanced AI solutions for industries like telecommunications and defense. Also in October 2025, Accenture acquired Decho, a UK-based Palantir-focused consultancy, to scale its Palantir and AI service offerings for public and commercial clients. Furthering its global defense footprint, Palantir signed a letter of intent with Poland’s Ministry of National Defense in October 2025 to strengthen cooperation in AI and cybersecurity. This followed a May 2025 announcement of a partnership with Fannie Mae to use AI for detecting mortgage fraud.

The company’s stock has experienced significant volatility amidst strong financial performance and scrutiny from short-sellers. In August 2025, Palantir reported its first billion-dollar quarter, with revenue for Q2 2025 reaching $1.004 billion, a 48% year-over-year increase, and raised its full-year guidance. Despite this, the stock plunged over 17% in August 2025 following a critical report from Citron Research, which argued the company was highly overvalued compared to AI-leader OpenAI. The sell-off has been accompanied by divestments from high-profile investors, including Stanley Druckenmiller, Paul Tudor Jones, and Sage Capital Advisors, who sold their stakes or reduced their positions in the latter half of 2025. Co-founder Stephen Andrew Cohen also sold nearly all his directly held shares in March 2025, and Cathie Wood’s ARK funds sold over $30 million in shares in May 2025.

On the legal front, Palantir has seen the resolution of past disputes while initiating new litigation. In April 2025, a U.S. district court dismissed a multi-billion dollar securities class action lawsuit that alleged the company misled investors about its growth prospects during its 2020 direct listing. That same month, the Delaware Chancery Court dismissed a related shareholder derivative lawsuit that accused company leaders, including Peter Thiel and Alex Karp, of insider trading related to the listing and a subsequent strategy involving SPAC investments. In March 2025, Palantir filed a lawsuit against startup Guardian AI and its founders, both former Palantir employees, alleging theft of trade secrets related to AI software for health insurance claims. Separately, a March 2024 SEC filing revealed Palantir settled an arbitration proceeding it had initiated against EV manufacturer Faraday & Future, with Faraday agreeing to pay Palantir $5 million to resolve claims of unpaid service fees.

The company continues to face media scrutiny and investor activism concerning the human rights implications of its government contracts. In October 2024, Norwegian asset manager Storebrand divested its holdings in Palantir, citing concerns that the company’s technology, including AI-based predictive systems, was being used by Israel for surveillance of Palestinians. Throughout 2025, reports from news outlets and human rights organizations have alleged Palantir’s complicity in war crimes through its partnerships with the Israeli military in Gaza, claims Palantir has denied as untrue and inflammatory. In March 2024, CEO Alex Karp acknowledged that his outspoken public support for Israel has caused employees to leave the company, stating, “If you have a position that does not cost you ever to lose an employee, it’s not a position.”

Operationally, the company addressed reports of a security vulnerability and announced changes to its finance leadership. In October 2025, Palantir’s stock fell over 8% after a report surfaced of an internal U.S. Army memo flagging “fundamental security flaws” in a prototype battlefield communications network built with partner Anduril Industries. Both Palantir and Anduril rebutted the claims, stating the memo was an “outdated snapshot” and that the issues were mitigated as part of the normal development process. Earlier, in March 2025, the company announced that Jeffrey Buckley, its former Chief Accounting Officer, would return to the role, following the resignation of Heather Planishek. In a separate internal development, the company reportedly cut over 60% of its IT team by automating functions using its own Foundry platform, a move framed as a strategic shift toward operational efficiency.

7) Strengths

Advanced Technology Platform and Architecture

Palantir has established a commanding technological advantage through its sophisticated AI-mesh architecture comprising eight core capabilities essential for delivering enterprise AI at scale. The company’s platforms operate on a unified, modular architecture that integrates data services, AI services, and workflow services with comprehensive security and governance frameworks. At the core lies the proprietary Ontology system, which serves as a digital twin representing business decisions, processes, and relationships rather than merely storing data. This architectural foundation enables rapid development of operational applications with AI capabilities while maintaining military-grade security standards across all deployment environments.

Comprehensive Security and Compliance Leadership

Palantir maintains an industry-leading security posture with one of the most comprehensive portfolios of federal security authorizations available in the market. The company holds critical certifications including FedRAMP High, DoD Impact Level 5 and 6, CMMC Level 2, and is notably one of only six cloud service providers to achieve IL6 accreditation. Palantir’s security infrastructure employs a defense-in-depth approach with zero trust architecture, advanced threat detection, and continuous monitoring designed to protect critical information well beyond industry standards. The company’s information security program operates with three core objectives: making Palantir safer, making customers safer, and making the world safer, reflecting its commitment to comprehensive security across all stakeholders.

Proven Track Record of Operational Excellence

Palantir has demonstrated exceptional operational execution across both government and commercial sectors, with documented success stories spanning multiple industries. The company’s Customer Service Engine achieved 90% query resolution within six weeks of implementation for a manufacturing partner, reducing response times from 20 minutes to under 10 seconds while cutting repeat queries by 75%. Notable client achievements include Sompo Japan’s $60 million profit improvement over three years with an additional $100 million expected, General Mills’ $14 million annual savings from supply chain optimization, and Walgreens’ successful scaling from 10 pilot stores to 4,000 stores within eight months.

Strategic Government Relationships and Market Position

The company has cultivated deep, long-standing relationships with critical government agencies spanning over two decades, creating substantial barriers to entry for competitors. Palantir’s government revenue exceeded $1.5 billion annualized in 2025, with the U.S. government representing approximately $1.1 billion of this total, reflecting strong institutional trust and recurring contract renewals. Recent strategic partnerships include collaborations with L3Harris Technologies for defense applications and a letter of intent with Poland’s Ministry of National Defense, demonstrating expanding international government adoption.

Innovative Product Development and R&D Investment

Palantir maintains a robust innovation pipeline with sustained investment in research and development, spending $507.9 million in 2024 representing 17.7% of revenue. The company’s development lifecycle includes experimental, beta, generally available, and legacy phases, enabling rapid iteration and customer feedback integration while maintaining production stability. Palantir’s open-source contributions and collaborative development approach with the security community reinforce its commitment to continuous innovation and knowledge sharing across the broader technology ecosystem.

Scalable Business Model with Strong Financial Performance

The company has achieved remarkable financial transformation, transitioning from substantial losses to strong profitability while maintaining impressive revenue growth rates of 29% year-over-year in 2024. Palantir’s gross margins consistently exceed 80%, reflecting the scalable nature of its software platform and efficient cost management. The company generated over $1 billion in quarterly revenue for the first time in Q2 2025, demonstrating its ability to scale operations effectively while maintaining operational efficiency and customer satisfaction across diverse market segments.

8) Potential Risks and Areas for Further Due Diligence

Heightened Regulatory and Congressional Scrutiny

Palantir faces increasing bipartisan congressional scrutiny regarding its role in federal data integration initiatives under the Trump administration. Ten Democratic lawmakers have sent letters to the company demanding information about its government contracts and compliance with federal laws, while Republican representatives have raised concerns about potential surveillance overreach. Representative Warren Davidson (R-OH) warned that combining government data points “really essentially creates a digital ID” and represents “a power that history says will eventually be abused.” This regulatory attention has intensified following reports that Palantir is central to efforts to share data across federal agencies, potentially creating comprehensive surveillance capabilities that could face legislative restrictions or oversight requirements.

Security Vulnerabilities and Defense Contract Reliability

In October 2025, Palantir’s stock dropped 7.5% following reports of an internal U.S. Army memo highlighting “fundamental security flaws” in the NGC2 battlefield communications platform developed with Anduril Industries. The memo identified critical deficiencies including uncontrolled user access to classified data regardless of clearance level, lack of audit logging, and hosting of unvetted third-party applications containing hundreds of vulnerabilities. While Palantir dismissed these concerns as “outdated snapshots” that were already addressed, the incident demonstrates potential risks to the company’s reputation and contract renewals in the defense sector, where security failures could have severe consequences for both operational effectiveness and client trust.

Significant Insider Trading and Leadership Changes

The company has experienced substantial insider selling activity, with CEO Alex Karp executing planned sales of approximately $2 billion worth of shares and co-founder Stephen Cohen selling nearly all his directly held shares in March 2025. Additionally, Palantir announced the resignation of Chief Accounting Officer Heather Planishek in February 2025, followed by the return of former CAO Jeffrey Buckley to the role in March 2025. While these transactions occur under regulatory trading arrangements, the scale of insider disposals combined with key financial leadership changes may signal concerns about the company’s long-term prospects or create market uncertainty about executive confidence in future performance.

Reputational and Human Rights Controversies

Palantir continues to face mounting criticism over its government contracts, particularly its work with Immigration and Customs Enforcement (ICE) and alleged involvement in military surveillance operations. In 2025, thirteen former employees signed a public letter condemning the company’s work with the Trump administration, with former engineer Linda Xia stating concerns about “reputational damage to the company because of its work with the Trump administration.” Norwegian asset manager Storebrand divested its holdings in October 2024, citing concerns about the company’s AI-based surveillance systems being used by Israel for Palestinian monitoring, while reports from human rights organizations have alleged Palantir’s complicity in war crimes through Israeli military partnerships. These controversies could impact the company’s ability to attract talent and secure contracts with ESG-conscious clients or international partners.

Extreme Valuation Multiples and Market Concentration Risk

Palantir trades at exceptionally high valuation multiples, including a price-to-earnings ratio of approximately 378 times 2024 earnings and an enterprise value-to-revenue multiple of 69 times, significantly exceeding industry peers and creating substantial downside risk if growth expectations are not met. The company’s geographic revenue concentration presents additional risk, with approximately 66% of revenue derived from the United States and signs of international business weakness, including a 16% shortfall in international commercial revenues in Q1 2025 and a 10% decline in international sales in Q2 2025. This dependence on the U.S. market creates vulnerability to domestic political changes, budget constraints, and limits the company’s ability to achieve the global scale necessary to justify its current valuation.

Data Privacy and Compliance Complexities

As a company handling highly sensitive government and commercial data across multiple jurisdictions, Palantir faces complex and evolving data protection requirements including GDPR in Europe, various state privacy laws in the U.S., and sector-specific regulations like HIPAA. The company’s work with classified government data and its proprietary algorithms create additional challenges for transparency and audit requirements, while its role as a data processor for clients means it must maintain compliance across diverse regulatory frameworks simultaneously. Critics have raised concerns about the company’s “black box” algorithms and lack of transparency in how data is processed and analyzed, particularly when used for predictive policing or immigration enforcement, creating potential liability for discriminatory outcomes or civil rights violations.

Sources

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