Palantir Technologies (NYSE:PLTR) shares mounted a charge Tuesday on news that the U.S. Army awarded the company a $250-million contract to test and develop artificial intelligence and machine learning.
The Army has awarded a new contract for up to three years to provide additional capabilities in support of the Combatant Commands (COCOMs), Armed Services, Intelligence Community, and Special Forces as they continue to test, utilize, and scale artificial intelligence (AI) and machine learning (ML) capabilities.
“Since 2018,” read Tuesday morning’s news release, “Palantir has partnered with the Army to provide leading data integration, management, and AI model training to all of the Armed Services, COCOMs, and special operators to create a common operating picture. Building on the partnership, this new phase will further the Joint All-Domain Command and Control (JADC2) efforts across these forces.”
“We’re honored to expand our partnership with the Army to continue delivering the most innovative technologies and advanced data applications across the Armed Services,” said President Akash Jain, “Maturing new concepts for how we deploy solutions in different contexts is key to maintaining our nation’s competitive advantage, and we appreciate the opportunity to support this mission.”
Recently, Palantir gained a lot of attention because its Gotham platform is the default OS for data for the U.S. military and other government agencies. Its technology was reportedly used to track down Osama Bin Laden and controversially tapped by Immigration and Customs Enforcement (ICE) to locate and deport undocumented immigrants. Supermicro impressed the market with a tight partnership with Nvidia to produce a broad range of pre-built AI servers.
PLTR shares spiked 54 cents, or 3.1%, to $18.15.