This IT giant is taking over the Pentagon. A "mega contract" goes to a Trump supporter's company.
Where Palantir gains, other companies without Thiel's track record lose. In April, Defense Secretary Pete Hegseth announced plans to cut $5.1 billion in IT consulting contracts with firms like Accenture, Booz Allen, and Deloitte. In a memo announcing the cuts, Hegseth stated that the Pentagon would be forced to shift more IT work in-house.
It turns out that many of these companies that lost contracts are still working for the Pentagon—but through Palantir. In late July, Palantir and Deloitte announced a partnership that includes the so-called "Enterprise Operating System" (EOS), aimed at unifying data across organizations.
As part of its partnership with Accenture, Palantir will train and certify at least 1,000 Accenture employees in Foundry software and artificial intelligence technologies.
Not everyone is thrilled with Thiel's company's monopolization of public offices in the US. They point to obvious risks and controversies. "The fact that one company has monopolized software and become its gatekeeper—an 'application factory' for the government—in a sense, with its presence in every agency, part of the defense and intelligence complex, raises enormous concerns about integrity, competition, and puts Palantir in a unique position that may never have existed before," says Juan Sebastián Pinto, a former Palantir employee and critic of the company.
RP