Palantir Technologies Inc. Class A Common Stock

Stakeholder relations · Employee engagement and culture

Our culture emphasizes rapid innovation and advancement of successful hires who may in some cases have limited prior industry expertise and prioritizes customer outcomes over short-term financial results, and if we cannot maintain or properly manage our culture as we grow, our business may be harmed.

Stakeholder relations · Customer satisfaction and loyalty

Our ability to renew or expand our customer relationships may decrease or vary as a result of a number of factors, including our customers' satisfaction or dissatisfaction with our platforms and services, the frequency and severity of software and implementation errors, our platforms' reliability, our pricing.

Reputation and brand · Brand damage and negative publicity

Our reputation and business may be harmed by news or social media coverage or other external scrutiny of Palantir or our leadership. If such news or social media coverage presents inaccurate, misleading, incomplete, or otherwise damaging information regarding Palantir or our leadership, such coverage could damage our reputation in the industry and with current and potential customers, employees, and investors.

Reputation and brand · Corporate social responsibility

We may not enter into relationships with potential customers if we consider their activities to be inconsistent with our organizational mission or values. We generally do not enter into business with customers or governments whose positions or actions we consider inconsistent with our mission to support Western liberal democracy and its strategic allies.

Geopolitical and trade · Government funding and budget changes

A decline in the U.S. and other government budgets, changes in spending or budgetary priorities, or delays in contract awards have affected and may continue to significantly and adversely affect our future revenue and limit our growth prospects. Because we generate a substantial portion of our revenue from contracts with governments and government agencies.

Geopolitical and trade · Trade policies tariffs and sanctions

Governmental trade controls, including export and import controls, sanctions, customs requirements, and related regimes, could subject us to liability or loss of contracting privileges or limit our ability to compete in certain markets. Our offerings are subject to U.S. export controls, and we incorporate encryption technology into certain of our offerings.

Innovation and product development · Product development and randd investment risks

If we do not successfully develop and deploy new technologies (such as technologies incorporating AI) to address the needs of our customers, our business and results of operations could suffer. There is no assurance that our enhancements to our platforms or our new product features, capabilities, or offerings will be compelling to our customers, gain market acceptance, or have a positive or material impact on our business.

Market position and competition · Pricing pressure and margin compression

Some of our larger competitors have substantially broader and more diverse product and service offerings and may be able to leverage their relationships with distribution partners and customers based on other products or incorporate functionality into existing products to gain business in a manner that discourages customers from purchasing our platforms, including by selling at zero or negative margins.

Customer and revenue · Changing customer preferences and behavior

If the market for our platforms and services develops more slowly than we expect, our growth may slow or stall, and our business, financial condition, and results of operations could be harmed. The market for our platforms is rapidly evolving and relies on a number of factors, including customer adoption, customer demand, changing customer needs.

Customer and revenue · Customer concentration and key customer dependence

Historically, existing customers have expanded their relationships with us, which has resulted in a limited number of customers accounting for a substantial portion of our revenue. If existing customers do not make subsequent purchases from us or renew their contracts with us, or if our relationships with our largest customers are impaired or terminated, our revenue could decline, and our results of operations would be adversely impacted.

Customer and revenue · Revenue concentration in specific products or segments

Our top three customers together accounted for 16% and 17% of our revenue for the years ended December 31, 2025 and 2024, respectively. Historically, existing customers have expanded their relationships with us, which has resulted in a limited number of customers accounting for a substantial portion of our revenue.

Market position and competition · Market cyclicality and demand volatility

Seasonality may cause fluctuations in our results of operations and financial position. Historically, the first quarter of our year generally has relatively lower sales, and sales generally increase in each subsequent quarter with substantial increases during our third and fourth quarters.

Cybersecurity and data protection · Third party data security and vendors

We rely on the technology, infrastructure, and software applications of certain third parties, such as AWS and Microsoft Azure. If any of these third-party services experience errors, disruptions, security issues, or other performance deficiencies, these issues could result in errors or defects in our platforms, cause our platforms to fail, our revenue and margins could decline, or our reputation and brand could be damaged.

Digital transformation and innovation · Technology obsolescence and evolution

The introduction of new products and services by competitors or the development of entirely new technologies to replace existing offerings could make our platforms obsolete or adversely affect our business, financial condition, and results of operations.

Technology infrastructure · Disaster recovery and business continuity

Our systems and the third-party systems upon which we and our customers rely are also vulnerable to damage or interruption from catastrophic occurrences such as earthquakes, floods, fires, power loss, telecommunication failures, cybersecurity threats, terrorist attacks, natural disasters, public health crises, geopolitical tensions.

Data and privacy · Regulatory investigations and penalties

Failure to comply with governmental laws and regulations or contractual requirements could harm our business, and we have been, and expect to be, the subject of legal and regulatory inquiries, which may result in monetary payments or may otherwise negatively impact our reputation, business, and results of operations.

International and currency · Foreign exchange and currency exposure

Our results of operations and cash flows are subject to fluctuations due to changes in foreign currency exchange rates, particularly changes in the Euro, Japanese yen, and British pound sterling. When the U.S. dollar strengthens compared to other currencies, it generally increases the real cost of our platforms to our customers outside of the United States.

Capital structure and performance · Financial performance volatility

Our quarterly results of operations, including cash flows, have fluctuated significantly in the past and are likely to continue to do so in the future. Our sales cycle is often long, and it is difficult to predict exactly when, or if, we will actually make a sale with a potential customer, particularly large government and commercial customers.

Market and investment · Market volatility and economic cycles

Our business depends on the economic health of our current and prospective customers and overall demand for technology. In addition, the purchase of our platforms and services is often discretionary and typically involves a significant commitment of capital and other resources.

Project and contract management · Government contract dependency

A significant portion of our business depends on sales to the public sector, and our failure to receive and maintain government contracts or changes in the contracting or fiscal policies of the public sector has adversely affected and could continue to adversely affect our business, results of operations, financial condition, and growth prospects.