This article first appeared on GuruFocus.
Boeing (BA, Financials) is teaming up with Palantir Technologies (PLTR, Financials) to bring artificial intelligence tools into its defense and space operations.
The deal is meant to give Boeing a single data analytics system across its military production lines, which span aircraft, satellites, spacecraft, missiles and weapons. Palantir’s software will also be used on several classified programs tied to sensitive defense missions.
For Palantir, the partnership adds to a growing list of defense and infrastructure projects. Just a few months ago, the company announced work on AI-powered software to help manage nuclear reactor construction.
After the news, investors rapidly bought Palantir shares, which went up roughly 2%, while Boeing shares stayed the same.
The partnership illustrates that both corporations are relying increasingly on AI and data to help with defense programs. The next big catalyst will likely come from updates on contract wins and how quickly Boeing can put the new tools to work.
