MW Palantir could be a big winner of Trump's $185 billion 'Golden Dome'
By William Gavin
Software is critical to the missile-defense program, and that may mean 'many' billions of dollars worth of new business for Palantir
President Donald Trump has ordered his administration to develop the "Golden Dome," a missile-defense program expected to cost $185 billion.
Palantir Technologies may be winning a slice of the U.S. government's major missile-defense program - and that could be worth an estimated billions of dollars to the defense-technology company.
President Donald Trump last year ordered his administration to develop a plan for a space-based shield capable of intercepting ballistic, cruise and hypersonic missiles, which he dubbed the "Golden Dome." Hundreds of companies are competing for a role in developing the program, which is expected to cost $185 billion and slated for completion by 2035, according to the Pentagon official overseeing the project.
Palantir (PLTR) is working with several companies on software for the program, including the defense-technology firm Anduril and AI startup Scale AI, according to the Wall Street Journal, which cited a person familiar with the matter. Space-based communications-technology firm Aalyria Technologies told MarketWatch it is also working on software for the Golden Dome, but declined to provide additional details.
Palantir declined to comment. Representatives for Anduril and Scale AI did not immediately respond to requests for comment.
Traditional defense contractors Lockheed Martin (LMT), Northrop Grumman $(NOC)$ and RTX $(RTX)$ are also helping with the software, which would connect the sensors that can detect and track airborne threats. Space Force Gen. Michael Guetlein, who is leading the project, this month likened the software to a "glue layer" connecting the various parts of the system and helping officials coordinate a response.
The group of technology companies aims to have software for the missile-defense program ready for testing by this summer, according to the Journal. Successful testing could win them a potentially lucrative role developing the Golden Dome.
Rosenblatt analyst John McPeake on Wednesday wrote that the first phase of the program, which is intended to be finished by 2028, could be worth "many" billions of dollars to Palantir. He reiterated a buy rating on Palantir's stock with a $200 price target.
"Given the significant trend towards AI and automation inmissile-target systems, we think there is good chance that the percentage of the budget spent on software will be greater than prior programs," McPeake said in a note to clients.
Given Palantir's tight-knit relationship with the Defense Department, McPeake expects the company to get "at least their fair share" of the agency's spending. Palantir's Maven AI system is set to become an official program of record, which will provide a steady stream of funding, Reuters reported last week, citing a memo from a senior Defense official.
More than half of Palantir's $4.5 billion in revenue last year came from government customers. It made $1.9 billion from work just for the U.S. government in 2025. Palantir last July was awarded a 10-year contract with the U.S. Army worth up to $10 billion.
Read: These stocks are cheaper ways to invest in Palantir's success
Palantir shares have gained more than 15% over the past month as investors saw potential for growth after the U.S. kicked off a conflict with Iran on Feb. 28. The stock is still down nearly 13% year to date, though it's up about 1% in midday action on Wednesday.
"If you were attacked and you needed to coordinate, you would have to have a coordinating function. There's only one product that can actually do that for security," Palantir CEO Alex Karp told CNBC on March 12, referencing Palantir's own software.
Read: Iran war volatility is pushing retail investors to sell stocks, but they aren't leaving the market entirely
-William Gavin
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(END) Dow Jones Newswires
March 25, 2026 13:30 ET (17:30 GMT)
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