President Donald Trump praised Palantir in a recent post on Truth Social, highlighting the company's contributions to military operations. He noted its effectiveness in warfare capabilities, suggesting that the U.S. military employs Palantir's AI-powered Maven Smart System for identifying targets in the Middle East. The company reportedly derives over half of its revenue from government contracts, including significant partnerships with the Pentagon and Immigration and Customs Enforcement.
Despite previous criticisms of Trump, Karp has shown support for the current administration’s policies. Notably, he has defended Palantir against allegations regarding its role in surveillance practices. This defense has caused some internal dissent, particularly following Karp's vocal support for Israel after the October 7 Hamas attacks, which led to employee departures.
Palantir's connection with AI lab Anthropic, which has faced scrutiny due to concerns about the use of its technology in autonomous weapons, adds to the company's complex position in the market. Karp has indicated plans to phase out Anthropic's models from Palantir's platform, although this transition has not yet occurred.
Amid these developments, Burry continues to express skepticism about Palantir's long-term value, maintaining short positions against the stock. Following the decline, Palantir's shares are currently trading around $126.