Palantir’s US commercial revenue overtakes government business at $984m

Palantir’s US commercial business generated $984m in revenue in the third quarter, overtaking its US government sales of $953m for the first time, according to its earnings release. Total revenue rose 96% to $2.31bn, exceeding analyst expectations, with net income more than doubling to $1.13bn. The company closed 212 deals worth at least $1m each, and ended September with $10.4bn in cash and US Treasury securities.

Chief executive Alex Karp told CNBC that Palantir’s growth is happening without a salesforce and described the “Sovereign AI movement” as creating a stark divide in the sector. Karp has called for nationalisation of leading AI labs to manage liability, repeating this stance in recent interviews.

Palantir raised its full-year revenue forecast to up to $8.534bn, projecting at least $3.559bn in US commercial revenue. The company’s shares fell 3.1% on Monday, with volatility continuing after hours, as investors weighed competition from AI firms like Anthropic and concerns over valuation. Some governments, such as Germany’s, are considering local alternatives for AI tools.