Of America's public defense companies only Palantir Technologies (#6) was founded in the 21st century. Much of the list goes back to the late 1800s/early 1900s. We are now bigger than BAE Systems and L3Harris Technologies. We are 80% of Northrop Grumman's marketcap. And we are just getting started. Next: We are going to create more value for the warfighter by growing the Primes' marketcap (software defined industrialization, driving margin and multiple expansion through their FFP contracts), and helping new defense tech entrants succeed at scale through the First Breakfast. (https://lnkd.in/gWhKvwTJ).
From his newsletter - and the reason that we face such staunch resistance in the form of lobbying efforts to stymie the ability to enforce modern architectural standards and practices and security governance. “Disruption is painful. The automotive industry is a good example of what it looked like when software upended traditional business models to deliver outsized value. Historically, automotive OEMs (e.g., Ford, General Motors), like the DoD, only valued buying things - hardware - from their suppliers. The traditional OEMs didn’t invest in software or value it, in the literal sense that they spent no money on it. They let their hardware suppliers build it and manage it, and the software was included in the price of component. This led to a proliferation of distinct software systems in a car. Ford CEO Jim Farley talks about 150 modules from different suppliers written in different programming languages with millions lines of code. This is a consequence of a hardware-first approach. At the opposite end of the spectrum, Tesla makes software-defined vehicles, and they spend more on their software R&D than their hardware…
I’ve been evaluating the Palantir technology and I am impressed with the extensive ontology model, decoupling and interoperability of multiple AI systems as well as new capabilities in XR and LLM. Well done.
If you want better testing/demonstration of MIL STD 464, EMP requirements, or related E3 areas, we’d love to help. We’ve worked thousands of programs for major DoD projects over the years, are cleared, and can handle anything across the test/analysis regime in E3 on most of the stuff Palantir supports!
Lousy comparison though. Most of them have to work with atoms and actually make things.
As Gandalf would say, 'A wizard is never late, nor is he early, he arrives precisely when he means to.' I guess the time is now. Congrats on the growth.
Loving both the market cap and even more so the MC/employee! Holy moly, that's great!
That is impressive.
Defense Tech Advisor | HQ Space Force Reservist | ex-Shield AI & True Anomaly | MIT & USAFA
5moThat market cap per employee 🤌🏻