Who's really in control...

Editor's note: ...with a market cap of $414 billion? Palantir maintains a significant presence in Israel, operating an R&D center in Tel Aviv since 2013 and cultivating close ties with the Israeli defense sector. The company has partnered with Israel's Ministry of Defense, particularly during recent conflicts, to provide advanced data and AI technologies tailored to military and security needs. While Israel is an important hub for engineering talent and strategic deployment, Palantir's core research, product development, and corporate base remain centered in the US and other global locations, meaning its operations are influenced by—but not dependent on—Israel.

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UK Govt Signs Billion Dollar AI Military Deal with Palantir

By G. Calder | September 21, 2025

During President Trump's recent visit to the UK, Britain signed a $1 billion, five-year defence software deal with dominant AI player Palantir. This "strategic partnership", in which the AI platform will manage all the country's armed forces, also promises that the company will base its European defence HQ in London. The stated aim is speed, interoperability, and an end to the patchwork of legacy systems across the Army, Navy, and Royal Air Force.

But there are deeper concerns beneath the surface: the question of Trump's potential influence over the brokering of the deal; the UK outsourcing total control of its military operational abilities to a US-based company; and the background, motives, and moral record of Palantir itself. Who are they? Where did they come from? What else are they planning to implement in partnership with the UK government?

What is Palantir?

The company has recently grown to become the dominant force in AI-enabled decision software. It ingests and links data from sensors, intel holdings, satellites, logistics systems and communications, then orchestrates targeting, planning, tasking, maintenance and surveillance accordingly. The platform can be used in a range of functions, from businesses identifying risk and streamlining supply chains, to governments focusing on defence, policing, immigration, and active warfare.

Ultimately, it can track people, assets, processes, networks, weapons, and everything in between with a cut-throat efficiency we've never seen before. The UK is just the first step in an international takeover by Palantir, whose software currently has such a strong moat that there is zero real competition available. The company's new European defence hub, which will run from London, is a glance into its global targets. The billion-dollar deal with the UK is Palantir's first ten-figure contract outside the US – and it's just the beginning.

Who's Really In Control?

Palantir's platform is said to only be the decision layer in time-critical operations, meaning the control remains with the government over how to implement it. In terms of creating a faster, cleaner operating procedure, consolidating the UK's military backbone with one supplier may have its benefits. But concentrating strategic risk in a single foreign vendor whose recent public partnerships include Israel's Ministry of Defense and front-line Ukraine deployments comes with great risk too.

The Rise of Palantir

Palantir has grown from niche contractor to alliance standard-setter. NATO has already bought its Maven Smart System for Allied Command Operations, and the US Department of Defense recently boosted the contract ceiling by another $795 million citing "growing demand". The company ($PLTR) has a market cap today of a staggering $414 billion, having grown 1,200% since January 2024. In the past 6 months alone, the stock price has more than doubled. Every day, it seems, the company gains more momentum with stacks of defence and commercial AI wins being reported constantly. The latest with the UK government demonstrates the sheer demand for the software, having grown from deals worth millions to billions in a matter of months.

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Editor's note: Palantir's U.S. research and development is spread across several key hubs, reflecting its dual focus on government and commercial clients. Its headquarters in Denver houses executive leadership and product management, while Palo Alto remains the historic engineering base where core platforms such as Gotham and Foundry were first built. New York serves as a major commercial and enterprise engineering hub, particularly for Foundry, whereas offices in Washington, D.C. and McLean, Virginia (intelligence agencies) focus on government integration and customization for Gotham and U.S. federal contracts. Seattle hosts engineering teams linked to Apollo, Palantir's continuous deployment platform, and Boston/Cambridge is an emerging center for recruiting technical talent near MIT and Harvard. Additional offices in Chicago, Dallas, and other U.S. cities support regional engineering and forward-deployed teams. This distributed model allows Palantir to align R&D with both product innovation and direct client engagement. For Fiscal Year 2023, Congress appropriated a total of $99.6 billion for intelligence services, which includes $71.7 billion for the National Intelligence Program (NIP) and $27.9 billion for the Military Intelligence Program (MIP).

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