Palantir to secure $1 billion AI deal with UK military
Palantir Technologies is close to securing a contract worth nearly $1 billion (£750 million) with the U.K. Ministry of Defence, according to a report by The Times of London. The deal is expected to be announced during President Donald Trump’s visit to the U.K.
Under the agreement, Palantir will provide artificial intelligence technology to support various branches of the British armed forces, including the Royal Navy. The system will integrate data from multiple military databases to help identify recruitment gaps, assess personnel deployment suitability, and streamline the maintenance and logistics of defense equipment.
The contract is not only a major win for Palantir in expanding its overseas defense footprint but also comes with a significant commitment: the company plans to invest approximately $2 billion in the U.K. over the next five years, sources told the outlet.
Despite the positive news of the prospective deal, Palantir’s shares fell 3.4% in midday trading on Wednesday. Market watchers suggested the decline may reflect investor caution ahead of official confirmation and potential political sensitivities tied to U.S.–U.K. defense cooperation.
If finalized, the agreement would mark one of Palantir’s largest European defense contracts to date, underscoring the growing role of artificial intelligence in modern military strategy and operations.
