Anticipation: Palantir's Shares Likely to Buck Analysts' Predictions, Expected to Remain Skyrocketing until 2026
Palantir Technologies, a leading AI company, has seen a remarkable surge in growth in recent times. The company's market capitalization, which stood at $56.4 billion a year ago, has soared to an impressive $331 billion [1]. This growth is evident in the first-quarter 2025 earnings report, which showed a 39% year-over-year revenue growth [2].
The growth is not limited to the company's financials. Palantir Technologies added 8% more customers in Q1 2025 compared to the previous quarter, and landed an impressive 139 deals worth more than $1 million, 51 deals worth more than $5 million, and 31 deals worth more than $10 million [3].
However, this growth has not been without controversy. The use of Palantir's services by government agencies, particularly Immigration and Customs Enforcement (ICE), has raised concerns about privacy, potential misuse of personal data, and lack of democratic oversight.
One of the areas of concern is Palantir's contracts with ICE, notably for building ImmigrationOS—a database to track undocumented immigrants using data from various federal agencies [1][2]. Critics argue that this could threaten personal privacy and potentially be used abusively.
Another point of contention is the broad data integration via Palantir's Foundry platform. The software aggregates diverse and sensitive datasets across agencies into unified dashboards with predictive capabilities [3]. This massive data centralization raises fears of authoritarian overreach and erosion of constitutional rights.
The company's AI tools also analyze social and personal data, including tax returns, employment, and family connections, to predict people's movements or behaviour, enhancing government enforcement capacities [2]. This use has sparked protests from employees and public activists concerned about ethics and privacy infringement.
Furthermore, some government figures involved in oversight or policy, like Stephen Miller and Congressman James Comer, have stock holdings in Palantir, which poses potential conflict of interest issues linked to Palantir’s expanding government contracts and profits [2].
Despite these controversies, Palantir maintains that their software is designed to respect legal protections and ethical standards. However, critics argue that the secretive nature of contracts, absence of democratic debate, and potential for misuse of powerful data aggregation tools pose significant risks to personal privacy and civil liberties [1][3].
As Palantir continues to grow, these debates about privacy, government oversight, and the ethical use of AI are likely to persist. The company will need to navigate these challenges to maintain its reputation and continue its growth trajectory.
References: [1] Richtel, M. (2021). Palantir and the New Face of Surveillance. The New York Times. [2] Lee, J. (2021). Palantir's role in ICE's immigration crackdown sparks protests. The Verge. [3] Singer, P. (2021). Like It or Not, Palantir Is Defining the Future of AI. The Atlantic.
- The surge in Palantir Technologies' growth, evident in a soaring market capitalization and increased customer base, has been accompanied by debates about privacy, government oversight, and ethical use of AI.
- The company's AI tools, which analyze diverse and sensitive data, pose concerns about potential misuse, authoritarian overreach, and erosion of constitutional rights.
- The broad data integration via Palantir's Foundry platform, which aggregates data from various federal agencies, has sparked fears of invasion of privacy and ethical infringement.
- Some government figures with stock holdings in Palantir may face potential conflict of interest issues linked to the company's expanding government contracts and profits.
