We all need to keep an eye on Palantir & Germany

Some new things I've learned..

Welcome back to DailyPalantir! In today’s newsletter, we’re diving deep into the relationship between Palantir and Germany with some new information I found.

What Has Palantir Done In Germany?

So, a few newsletters ago, I mentioned that Germany has been quietly trying to bring Palantir back into the country. Alex Karp has spoken on why they haven’t been able to scale in Germany as much as they’d like — the ideological elite consider the company to be evil — which has led to the lack of true scale in the country. However, certain high ranking officials believe the terrorism threats have become too strong in the country and actively want Palantir back in action.

Today, I found another article published by the German media publication, Handelsblatt, which gets 20M monthly readers.

After reading this article, all need to pay more attention to what's going on with Palantir in Germany. 

3 new things I learned from the article:

First, the platform dismantled the network of Reich Citizens (neo-nazis) in 2022. Palantir prevented a major terrorist attack in 2018. 

Second, the platform was used 14,500 times in 2022 alone -- I did not know that. 

Third, what was newly revealed in this article that was not known to the public at all before:

"The investigating authorities in North Rhine-Westphalia (NRW) are also enthusiastic. There, the Palantir platform is called "Cross-Database Analysis and Research" (DAR) and is used daily. "With the help of the DAR system, police officers have recognized the planned attack on the Don Bosco Gymnasium in Essen and successfully prevented it," North Rhine-Westphalia Interior Minister Herbert Reul (CDU) told Handelsblatt about a success that has not yet been publicly known." 

Many high-level officials in Germany are campaigning to bring the platform back and make it available nationwide. Unfortunately, Federal Minister of the Interior, Nancy Faeser, rejected the nationwide introduction with the idea of building their own version of Palantir. 

Germany’s Issue With Palantir

The article goes in depth into explaining how some of Germany’s political class think of Palantir and why it’s been hard for them to succeed there.

Essentially, the country thinks of Palantir as a scary company trying to take all of their data. This doesn’t make much sense and is laughable to those that understand Palantir, but it still is the sentiment that exists.

From the article:

Germany's hesitation to fully embrace Palantir’s software for nationwide use by its police forces is rooted in a combination of data protection concerns, legislative considerations, and financial implications. The country has some of the world's most stringent data privacy laws, which play a significant role in evaluating any technology that handles personal information. As a result, the perception of Palantir + strict perspectives on data privacy leads to Palantir being seen as a company that won’t live up to Germany’s values.

Data protection is at the forefront of Germany's concerns with Palantir’s software. The General Data Protection Regulation (GDPR) sets high standards for personal data handling within Europe, and there are apprehensions about whether Palantir’s systems fully comply with these regulations. German authorities are particularly cautious about technologies that could potentially infringe on individual privacy rights or lead to unauthorized surveillance.

The lack of relevant legislation to oversee such advanced analytical tools as those provided by Palantir also contributes to Germany's resistance. There needs to be a clear legal framework that defines how predictive policing tools can be used without violating citizens' rights. Without this framework, adopting such technology becomes fraught with legal uncertainties.

However…none of this really makes sense in the context of Palantir.

The Irony of Germany not Liking Palantir

The irony of Germany's stance on Palantir, given both entities' emphasis on data privacy, is what makes this so frustrating. Germany has a well-documented sensitivity to matters of personal information security and surveillance, which can be traced back to its experiences with state surveillance during the Nazi era and the Stasi in East Germany. This historical backdrop has shaped a national ethos that fiercely protects individual privacy rights.

Palantir, however, was founded with the vision of protecting people's fundamental rights while enabling institutions to effectively analyze large volumes of data. The company asserts that it designs its products with privacy and civil liberties in mind. Palantir’s platforms are built to help organizations integrate their data without compromising security or privacy; they have implemented various features aimed at ensuring users can control access to sensitive information.

However, despite Palantir's professed commitment to data protection principles, there remains skepticism among German officials and public alike regarding the application of these principles in practice. Concerns persist about whether software from an American company like Palantir could become a tool for excessive surveillance or could be misused beyond its intended scope—especially given past revelations about U.S.-based technology companies' involvement in mass data collection activities.

The other tech companies like Facebook and Google DO NOT CARE about data privacy and civil liberties in the same way Palanitr does — yet Germany is acting as if they are the morally superior country by rejecting Palantir. It just does not make that much sense, but it’s up to Palantir to get them to recognize this.

The article shows that Palantir even hosts panels in Germany about civil liberties:

Alex Karp has critiqued this irony over the past years.

Karp’s criticisms of Germany and other countries not using Palantir often revolve around the idea that by not utilizing Palantir's advanced data analytics capabilities, these countries may be missing out on critical opportunities to enhance their national security and intelligence operations. Karp argues that in an era where data is a key asset in both commercial and government sectors, failing to leverage state-of-the-art tools could put a country at a strategic disadvantage.

Karp also emphasizes the importance of aligning with Western values and technological standards. He believes that governments, especially those within NATO and allied Western nations, should integrate commercial sector technology into their operations to maintain readiness for various geopolitical scenarios. By adopting advanced software like Palantir’s platforms, these countries could better protect their interests and uphold democratic principles.

Additionally, there is an element of economic pragmatism in Karp's critique. As European countries seek digital sovereignty and consider developing homegrown alternatives to American tech giants' offerings—including those from Palantir—Karp underscores the current capabilities and proven track record of his company’s software in operational contexts.

Now, the question is if Karp can meaningfully use these critiques to bring Germany on board. This is one of the largest media publications in Germany giving the case for why high ranking officials are calling for Palantir to come back. This article comes 2 weeks after another article put out something similar like this. It seems like officials in Germany want to use Palantir, they just can’t get it through via politics. If the threats and safety get bad enough (not hoping for this at all) then it may force them to use Palantir, but hopefully that happens before then.

Why Getting Germany Matters

Securing Germany as a client would be a significant achievement for Palantir's international business and its dealings with NATO due to several strategic factors. Germany is Europe's largest economy and has substantial influence within the European Union and NATO. A partnership with Germany could serve as an endorsement of Palantir's capabilities, potentially leading to further adoption by other countries within these organizations.

Germany’s position as a leader in the EU means that its decisions often set precedents for other member states. If Palantir were able to navigate the stringent data protection laws in Germany successfully, it would demonstrate their software’s compliance with GDPR, which could alleviate similar concerns in neighboring countries.

Moreover, NATO is an alliance that values interoperability among its members' defense systems. If Palantir were integrated into German defense operations, it might encourage broader use across the alliance, enhancing collective security efforts through improved data sharing and analysis capabilities.

Overall, I think Germany is going to come around -- if the continued time they spend building their own Palantir creates a significant opportunity cost against actually protecting the Germany people -- something will change. 

I imagine Karp and the team are monitoring the situation closely to see when they can come back and pitch the platform again to be used for the whole country. If they get that done, other EU countries will come around as well -- this might be what is needed to truly reaccelerate international government growth.

That’s it for today - see you tomorrow!

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