Palantir Gets A BUNCH of New Deals

Wendy's, Microsoft, the Air Force...and more.

Welcome back to DailyPalantir! In today’s newsletter, we are recapping all the deals Palantir got over the past 2 weeks. Let’s get into it!

Wendy’s Supply Chain Deal

Okay, this deal was really cool.

Palantir’s partnership with Wendy’s is a significant step forward for both companies, especially for Palantir as it expands its reach into the commercial sector. With this deal, Palantir’s AI technology will be responsible for optimizing Wendy’s supply chain across more than 6,000 restaurants in the U.S. and Canada. Palantir’s platform excels at analyzing large amounts of data to make faster, smarter decisions, and applying this to Wendy’s operations means smoother processes from ingredient sourcing to restaurant deliveries.

This partnership is important for Palantir because it demonstrates their ability to bring value to large commercial businesses outside of their typical government work. Wendy’s is a well-known brand, and by helping them streamline their supply chain, Palantir is showing that its AI capabilities are not limited to defense or intelligence—this technology can solve complex operational problems in the private sector as well. This deal highlights Palantir’s versatility and strengthens their presence in the commercial space, which is crucial as they look to diversify their client base.

The Wendy’s deal also points to a larger trend of AI becoming a valuable tool in industries like fast food, where efficiency and cost savings are key. Wendy’s decision to partner with Palantir shows that AI can offer a competitive advantage by making supply chains faster and more efficient. As AI becomes more integrated into business operations, other large chains could follow Wendy’s lead, and Palantir is well-positioned to be a major player in this shift. This deal could set the stage for more commercial partnerships as other companies recognize the value of AI-driven operations.

For investors, the Wendy’s partnership is particularly encouraging because it opens new doors for Palantir in the commercial sector. Wendy’s is a household name, and their success with Palantir’s technology can serve as a proof point for other companies considering similar AI solutions. This could lead to further commercial growth for Palantir, as their platform is adaptable to a wide range of industries beyond fast food, including retail, logistics, and beyond. The scalability of their technology means there is significant potential for growth.

In short, the Wendy’s deal marks a milestone for Palantir as it continues to expand into new markets. By optimizing Wendy’s supply chain, Palantir is demonstrating the broad applicability of its AI technology and positioning itself as a leader in AI-driven business solutions. This partnership not only strengthens Palantir’s presence in the commercial sector but also paves the way for future growth as more companies recognize the benefits of leveraging AI to improve operations.

Microsoft Deal

This deal solidified Palantir’s role as one of the most important companies integrating AI into the government.

They’re teaming up to bring Palantir’s AI-powered platform, AIP, into Microsoft Azure’s classified cloud environments, which means Palantir’s tech is going to be integrated into some of the most secure systems the U.S. government relies on. By connecting OpenAI’s advanced models with Palantir’s expertise in data analysis, they’re building tools that can help with defense and intelligence work in a much more efficient way. It’s a big leap forward for Palantir’s involvement in the government sector.

This deal is significant because it gives Palantir access to Microsoft’s vast network of government clients, allowing them to reach even deeper into the defense industry. Microsoft’s Azure platform is already trusted by the government for secure cloud storage, and now Palantir is bringing its AI capabilities to that mix. Palantir isn’t just adding another layer of AI—it’s providing actionable insights that are critical for national security operations. This partnership makes both companies stronger players in the defense and intelligence communities.

Technologically, this partnership is exciting because it’s all about pushing the boundaries of AI in highly secure environments. Microsoft’s Azure is one of the few cloud services that meet the strict security standards required by U.S. defense agencies, and Palantir’s data analytics add a new layer of sophistication. Together, they’re able to operationalize AI in ways that could really change how national security tasks are handled. It’s more than just automating processes—it’s about making smarter, faster decisions in areas where it really matters.

Quotes from the PR:

“Bringing Palantir and Microsoft capabilities to our national security apparatus is a step change in how we can support the defense and intelligence communities,” said Shyam Sankar, Chief Technology Officer, Palantir. “Palantir AIP has pioneered the approach to operationalizing AI value – beyond chat — across the enterprise. It’s our mission to deliver this software advantage and we’re thrilled to be the first industry partner to deploy Microsoft Azure OpenAI Service in classified environments.”

“This expanded partnership between Microsoft and Palantir will help accelerate the safe, secure and responsible deployment of advanced AI capabilities for the U.S. government,” said Deb Cupp, President of Microsoft Americas. “Palantir, a leader in delivering actionable insights to government, will now leverage the power of Microsoft’s government and classified clouds and robust Azure OpenAI models to further develop AI innovations for national security missions.”

For Palantir, this partnership also represents a big financial opportunity. Government spending on AI is only going to grow, and this deal puts Palantir in a prime position to capture a significant share of that market. With Microsoft’s reach and their combined capabilities, they’re setting themselves up to be leaders in this space. This could easily turn into a multi-billion-dollar venture as the government continues to look for advanced tech solutions to enhance national security.

In the end, the Palantir-Microsoft deal is a strategic win for both companies. For Palantir, it’s a chance to expand its role in the AI-powered defense industry while tapping into new revenue streams. For Microsoft, it strengthens their position as a trusted cloud provider for the government. Together, they’re shaping the future of AI in national security, bringing powerful, secure technology to some of the most critical operations in the country.

Other Deals

Apart from the big partnerships with Wendy’s and Microsoft, Palantir also announced a couple of other deals that highlight its growing reach, particularly in the defense sector. One of the more notable announcements was a new $8 million contract with the U.S. Air Force. This contract involves Palantir providing AI-powered mission control software and integration services for the 7th Air Force and 607th Air Operations Center. Essentially, Palantir’s tech will help accelerate the Air Force’s targeting processes by automating existing workflows, streamlining operations that are critical to defense. This contract is set to run through 2025, focusing on operations in South Korea.

What’s interesting about this Air Force deal is how it strengthens Palantir’s position within the U.S. military. Palantir’s AI is designed to help with decision-making and operational efficiency, and by securing a deal like this, they’re showing that their technology is becoming a staple for military operations. This builds on Palantir’s long-standing relationships with various branches of the U.S. government, and it’s a strong indicator that they’ll continue to lock in more contracts as the military increasingly leans on AI for mission-critical tasks.

In a similar vein, Palantir also announced a partnership with LIG Nex1, a leading South Korean defense contractor. This deal is focused on developing advanced weapon systems using big data and AI. LIG Nex1 is working on cutting-edge defense tech like unmanned surface vehicles and small synthetic aperture radar satellites, and Palantir’s software will be at the core of how these systems are managed and deployed. This partnership is significant because it not only deepens Palantir’s presence in South Korea but also shows their expanding footprint in the global defense industry.

The LIG Nex1 deal is another example of how Palantir is positioning itself as a key player in international defense tech. Defense spending is ramping up globally, and Palantir is ensuring that they are part of that wave by collaborating with major defense companies outside of the U.S. If South Korea is embracing Palantir’s technology to manage their next-gen weapon systems, it opens the door for similar partnerships with other U.S. allies like Japan, Germany, and beyond. This deal signals that Palantir is ready to go beyond just U.S. government contracts and become a global defense tech leader.

Finally, Palantir's broader strategy of securing these smaller but crucial defense contracts is becoming clear. By locking in deals like the Air Force contract and partnering with international defense firms, Palantir is ensuring that it has a strong, diversified revenue base across both commercial and government sectors. These deals, though smaller than something like the Microsoft partnership, are important because they show Palantir’s focus on scaling globally and deepening its role in national security, both in the U.S. and abroad. These partnerships solidify Palantir’s position as a critical technology provider for defense at a time when governments worldwide are ramping up their investments in AI and advanced military systems.

The deals are compounding…

The deals are beginning to compound, and that makes sense because of the growth we saw in Q2.

I mean, just look at this slide from Q2 earnings…

The reason Palantir is getting deals like Wendy’s or Microsoft is because they are able to show value and that value leads to customers wanting to sign up as soon as they can.

What’s cool is how Palantir is carving out a space in industries that haven’t always been heavy on tech. From fast food to national security, they’re showing how AI can make a real difference in day-to-day operations. These partnerships are proof that Palantir’s tech isn’t just for government use—it’s versatile enough to solve big problems across all kinds of sectors.

While the stock price jump is nice, the real story is in the company’s ongoing push to secure more deals and expand its presence globally.

This story is just getting started.

That’s it for today - see you tomorrow!

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