KEY POINT
- Record Revenue: Palantir’s $1.41 billion in Q4 revenue marks the highest quarterly total in the company’s history.
- AI Platforms Driving Growth: Adoption of Palantir’s AI powered software accelerated growth across government and commercial business units.
- Public Scrutiny: Despite strong financial performance, civil liberties groups continue to question the company’s government contracts.
DENVER — Palantir Technologies Inc. on Monday reported record quarterly revenue of $1.41 billion for the final three months of 2025, a 70 percent increase from the same period last year, the company said. The growth was driven by strong demand for its artificial intelligence analytics software from US government agencies and commercial clients worldwide.
The company’s latest results highlight the expanding role of AI driven data platforms in both public and private sectors, even as Palantir faces scrutiny over government contracts tied to immigration enforcement
The Denve based analytics company said its fourth quarter revenue surpassed analysts’ expectations, reflecting the growing adoption of its AI enabled data solutions.
Commercial business sales, particularly in the United States, showed rapid expansion, while government contracts remained a significant portion of revenue.
Palantir also forecast full-year 2026 revenue of $7.18 billion to $7.20 billion, signaling continued momentum for its analytics and AI services.
Founded in 2003 by Peter Thiel, Alex Karp and a team of engineers, Palantir initially focused on software for intelligence and defense agencies. Its platforms, including Foundry and Gotham, enable organizations to consolidate and analyze complex data sets to improve decision making.
In recent years, the company has expanded its commercial footprint while maintaining government contracts, a strategy that has contributed to record setting revenue growth. Q4 2025 marked the company’s largest quarterly revenue to date, continuing a year-long trend of double digit gains.
Industry experts say Palantir’s results illustrate the growing demand for AI driven analytics in operational decision making.
“Organizations are increasingly integrating AI platforms to manage complex data workflows efficiently,” said Dr. Priya Natarajan, senior technology strategist at Tech Horizons Research in New York.
“Palantir’s software provides a scalable solution for both commercial and government clients.”
At the same time, Michael Roberts, director of the Open Data Policy Center, emphasized the importance of oversight. “Deploying advanced analytics in government operations, particularly in enforcement and immigration, requires transparent governance to protect civil liberties,” Roberts said.
Alex Karp, Palantir’s chief executive officer, said the company’s AI investments are paying off. “Our platforms are helping clients make decisions faster and more accurately than ever,” Karp said in the earnings release.
Civil society advocates also weighed in.
Laura Chen, senior policy analyst at the Digital Rights Alliance, stressed transparency. “AI tools used in government must have safeguards to ensure they do not infringe on individual rights,” Chen said.
Palantir expects continued growth in 2026, fueled by expanding commercial adoption and multi year government contracts. The company plans to enhance its AI offerings, strengthen international partnerships and maintain its position as a key player in the analytics sector.
At the same time, analysts note that regulatory scrutiny, competition, and geopolitical conditions could influence revenue growth and contract renewals.Palantir’s record $1.41 billion quarter highlights the company’s growing influence in AI powered data analytics.
Its performance underscores a global trend of increasing investment in AI solutions, while raising important questions about governance and responsible use of technology in sensitive areas.
1: How much revenue did Palantir make in Q4 2025?
Palantir reported a record $1.41 billion in Q4 2025, a 70% increase from the same quarter last year.
2: What is driving Palantir’s revenue growth?
Growth is driven by strong demand for AI-powered data analytics from U.S. government agencies and commercial clients.
3: Does Palantir face criticism for its government contracts?
Yes, civil rights groups have raised concerns about Palantir’s work in immigration enforcement and sensitive government operations.