Palantir Technologies won a $178.4 million contract from the U.S. Army for a project known as TITAN, an acronym for Tactical Intelligence Targeting Access Node, mobile ground stations powered by artificial intelligence and machine-learning technology.
Palantir shares were rising 6% in morning trading Wednesday to $25.36.
The company said the award includes 10 TITAN prototype stations— picture them as big bulk vehicles, not buildings—with access to space, high altitude, aerial and terrestrial sensors to provide armed forces with “actionable targeting information for enhanced mission command and long range precision fires.”
Palantir’s partners on the project include Northrop Grumman, Anduril Industries, L3Harris Technologies, Pacific Defense, Sierra Nevada Corp., Strategic Technology Consulting, and World Wide Technology.
“This award demonstrates the Army’s leadership in acquiring and fielding the emerging technologies needed to bolster U.S. defense in this era of software-defined warfare,” said Akash Jain, president and chief technology officer for Palantir’s U.S. government business, in a statement.
The TITAN award follows a $36 million award in 2022 from the Army to build a prototype for the project.
William Blair analyst Louie DiPalma wrote in a research note Tuesday that Palantir was “the heavy favorite” to win the contract over a rival group headed by Raytheon. He estimated that the two-year award would be Palantir’s fourth-largest contract by annual revenue run rate.
Comments