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Palantir Bags $800 Mn Worth Of Pentagon Contract

Palantir Technologies is a data analytics firms based in Silicon Valley, with Peter Thiel as its founder. Thiel has been Trump’s adviser and has been involved in the venture capital concern In-Q-Tel that is backed by the CIA. Palantir has received a significant army contract having value of nearly $800 million. The information has been confirmed by CNBC.

This marks the first instance of this company backed by venture being called a record defense program. Such programs of records are usually the largest, multi-year type of projects presented by Pentagon.

This contract would need Palantir to construct a system of intelligence to help soldiers when in remote locations, termed as a Common Army Distributed Ground System, also abbreviated as DCGS-A. Previously, Washington Post had reported this.

There have been rumors of Palantir, being close to the initial stage of offering, having defeated Raytheon, which is comparatively more traditional, a defense contractor than Palantir, without any roots in the Silicon Valley.

Maureen Stevens, on behalf of Raytheon expressed the firm’s disappointment on the decision of the army regarding the initial order for delivery. However, they feel that it represents only a fraction of the total amount of systems and are confident of actively competing for future orders by continuing to operate in close quarters with the Army for their needs regarding intelligence. Raytheon had been previously entrusted with a ten year contract by the DCGS-A last March which was included in the Army’s “multiple delivery” agenda. The Pentagon refused to provide any immediate comments for the situation.

This deal can potentially surpass Palantir’s recent government-awarded contracts, which includes one award worth $222 million in 2016, coming from Defense Department’s Command for Special Operations (SOCOM). This particular sole-source contract was for logistics and technology software. The support project termed as “Fusion of All-Source Information” was intended to combine intelligence as well as other information compiled by SOCOM. This organization oversees special units of operations of all U.S. military branches.