Palantir Shares Surge 11% After AI Partnership Announcement with Microsoft for US Defense

Palantir Technologies Inc. revealed a new partnership with Microsoft to provide AI services to U.S. Intelligence agencies.

In its statement on August 8, Palantir divulged the plans to integrate with Microsoft's secure cloud technology to deploy its product suite to U.S. defense agencies.

The U.S. agencies use this product suite, which includes its leading data platforms, Foundry, Apollo, Gotham, and AIP, across various classified environments.After this public announcement, Palantir's shares rose 11% on the same day.

Palantir Says It Will Leverage AI to Support Defense and Intelligence Agencies

In the announcement, Palantir stated that adopting Azure's OpenAI service in Microsoft's top-secret environments would be quick.The firm has decided to focus on applying AI to areas such as action planning, logistics, and task prioritization in defense operations.

Palantir's chief technology officer, Shyam Sankar, emphasized that the collaboration between Palantir and Microsoft's capabilities will greatly aid the defense and national communities.

Palantir's reports showed good earnings. As a result, the company raised its yearly revenue estimates to $2.75 billion from the previous value of $2.67 billion. Also, it predicted that the demand for AI-driven data services will increase as 2025 draws closer.

Recent data on Tradingview shows that Palantir's stock (PLTR) has increased by 18% over the past week. PLTR is trading at $29.28, showing a 72% rise since the beginning of the year.

Palantir emerged in 2003 to provide advanced data and analytics services only to U.S. intelligence and defense agencies. However, the firm has broadened its scope to include civilian clients such as the prominent German Stanley.

Palantir now provides data solutions to Merck, a German science and Technology firm, and Airbus, a European aerospace company.

Palantir Remains Silent About Moves to Hold Bitcoin

A CNBC report in 2021 revealed that Palentir had started accepting Bitcoin payments. This decision showed Palentir's willingness to invest in cryptocurrency as part of its financial strategy.

Also, Palantir disclosed that it was considering adding Bitcoin to its balance sheet, just as Tesla and MicroStrategy had done.

It also opened up on having more than $2 billion in cash reserves available for investments. MicroStrategy was the first major firm to add Bitcoin to its reserve assets. In 2020 and 2021, it purchased Bitcoin assets worth millions of dollars.

Tesla also joined, disclosing it had bought Bitcoin worth $1.5 billion. Later, it dropped 10% of its Bitcoin assets to demonstrate its liquidity. However, since Palantir indicated that it would invest in Bitcoin, it has not provided any updates about its move.

The post Palantir Shares Surge 11% After AI Partnership Announcement with Microsoft for US Defense appeared first on The Tech Report.