Shares of Palantir have soared nearly 60% since its IPO in September.
Michael Nagle/Bloomberg
Palantir shares were trading sharply higher on Monday after the company announced a partnership with IBM for a new software offering that combines IBM’s hybrid cloud data platform with Palantir’s program for building applications.
The jointly developed Palantir for IBM Cloud Pak for Data is expected to be released in March. As part of the partnership, Palantir (ticker: PLTR) is adopting IBM’s Red Hat OpenShift, a software platform that allows the application to run anywhere in the hybrid cloud. (Hybrid clouds use a combination of public cloud and on-premises computing resources. It’s an area where IBM has been trying to carve out a leadership position.)
In a joint announcement, Palantir and IBM (IBM) said that the new software is intended to “simplify how businesses build and deploy AI-infused applications with IBM Watson,” the company’s artificial intelligence computing platform, to help users access, analyze, and take action on data found across hybrid cloud environments, without a need for deep technical skills.
The companies said the new product will leverage Palantir’s Foundry software–its platform for finding insights in corporate data–and integrate it with IBM data services, such as Watson. IBM and Palantir said the new software will include an easy to use “no-code/low-code“ environment for building applications that use AI to inform data-driven decision making and automate tasks and processes.
The companies said the new software will have applications in many data-rich markets, including retail, financial services, manufacturing, health care and telecommunications.
“Palantir was founded to build software for the world’s most critical institutions,” Palantir CEO Alex Karp said in a statement. “Our partnership with IBM combines our forces to put our joint solution into the hands of the institutions and people who need it most and will propel the world’s most critical institutions into an unprecedented new digital age. We share IBM’s commitment to the adoption of responsible and ethical AI.”
Palantir shares have spiked about 11%, to $37.61 on Monday. IBM stock was up 0.6%, to $122.55.
Write to Eric J. Savitz at [email protected]
