America
Palantir CEO Karp to Silicon Valley: Up to arms!
The next target of Donald Trump and Elon Musk’s cuts to the federal state is expected to be the Department of Defense (Pentagon). The US military’s interventionist foreign policy orientation, its global presence, and the unwieldiness of arms companies that claim a large share of Pentagon contracts have become top priorities for “Trumpism” and the Silicon Valley contingent that aligned with Trump.
We will examine the Musk-Trump-Hegseth plans for the Pentagon later, but first, we need to analyze Silicon Valley. This examination is necessary because, at the beginning of the second Trump era, a book that serves essentially as promotional material for Palantir—one of Silicon Valley’s most secretive companies—has been released. Both the author and Palantir’s CEO, Alex Karp, reveal the technology-supported New Right’s vision regarding the USA, the Pentagon, and the world.
“The Technological Republic: Hard Power, Soft Belief, and the Future of the West” by Alex Karp and Nicholas W. Zamiska is not yet available, but Karp’s promotional interviews, articles about the book, and our knowledge of technology-loving New Right-libertarian thought (such as the ideas of Palantir co-founder Peter Thiel) enable us to offer commentary.
For instance, Erich Schwartzel of the Wall Street Journal (WSJ) conducted his interview with Karp in a “cave-like” cabin reminiscent of the billionaire’s famous Heidegger retreat. Schwartzel describes the scene as follows: “The features of the hut perfectly reflected the interests of a billionaire on a quest to save the West. The windows were decorated with curtains with American flag motifs. Completed and half-completed Rubik’s Cubes were scattered on coffee tables.”
Karp asks, “Would you like to see my guns?” According to Schwartzel, one of Karp’s hobbies is long-range shooting, targeting objects beyond normal firearm parameters. “He took a stance to show the mix of practice and instinct that come together to make the perfect shot,” the reporter explains.
Here we have a profile of the quintessential wealthy New Rightist. After more than two decades running Palantir, a data analytics firm known for its work with the US military and intelligence agencies, Karp owes his billions to the US government. With a market capitalization exceeding $260 billion, what we know about Palantir’s clandestine activities pales in comparison to what remains hidden.
What does Palantir do? In 2003, Karp, who co-founded Palantir with Stanford Law classmate Thiel, essentially adapted a program from Thiel’s other company, PayPal, which identified Russian money laundering by detecting seemingly unrelated cash transactions.
Palantir, named after the “seeing stone” from the Lord of the Rings series, was designed from inception to sift through government and private company data to uncover hidden patterns. The company’s early work traced a series of attacks on an Iraqi village and identified a cyber network infiltration campaign against the Dalai Lama. In Afghanistan, Palantir software enabled the US military to discover patterns in roadside bomb placements, facilitating their discovery and dismantling.
When asked about his occupation, Karp typically responds that “it’s classified information.” “For most people we were not very sexy, and for a small number of people we were uncontrollably sexy,” he told the WSJ.
The company’s clients include the Pentagon, the Department of Homeland Security, the CIA, the Marine Corps, the Air Force, as well as “civilian” corporations such as Amazon, Airbus, and Merck.
The WSJ reporter also notes that in recent years, many “philosopher-kings” have emerged from Silicon Valley—Elon Musk, Mark Zuckerberg, and Thiel, among others. Within this group, Karp is known for avoiding the spotlight.
This discretion may be part of his mystique. Karp oversees Palantir’s lucrative contracts while urging Silicon Valley to help “the West win the clash of civilizations.”
Karp’s book criticizes the tech industry for abandoning its history of “helping America and its allies.” Echoing Musk, Hegseth, and Trump, he argues that the industry’s last two decades represent “a colossal waste.”
The WSJ reporter quotes from the book: While he and his Palantir colleagues work to save American soldiers’ lives in Kandahar by detecting roadside bombs, his peers in Northern California enable college-educated smartphone users to obtain paragliding coupons and play FarmVille after decades of peace. Karp rebels against this disparity.
John Ganz, who reviewed the book for Bloomberg, highlights a similar theme. “At some point, Silicon Valley lost its way,” the book summarizes. What began as a “bold partnership between the US government and the private sector to develop innovative new technologies” has degenerated over five decades to cater primarily to consumers and markets. The Valley has built social media platforms, e-commerce sites, and food delivery applications, but either from principle or self-interest, its founders failed to help the US Department of Defense develop effective new weapons.
If Karp’s book could be distilled into one sentence, Schwartzel suggests it might be: “The wonder kids of Silicon Valley—their fortunes, their business empires, and, more fundamentally, their entire sense of self—existed, in many cases, because of the nation that made their rise possible.”
Karp believes the industry must now repay that debt by uniting with the American state. The authors declare that it is “time for the prodigal son to come home.” “Softened” by their dedication to consumerism, peacetime, and comfortable living, Silicon Valley workers must rededicate themselves to the “collective project” of American nationalism and defense of the “civilizational project” called the West.
The Bloomberg author quotes directly from the book, revealing the mindset of New Right techno-libertarian billionaires. According to them, since in “authoritarian” regimes the wealthy’s fate intertwines with the state and society, they behave “as owners who have a say in the future of their country” and demonstrate greater sensitivity to public needs and demands. The authors explain this through a typical property owner’s perspective: “All of us in business and politics are always bargaining against the threat of rebellion.”
But what does defending Western values entail? Silicon Valley’s role is defined as: “A society of ownership, a founder’s culture that comes from technology but has the potential to reshape government, and not to entrust leadership to anyone who has not had a hand in its own success.”
“Silicon Valley’s fundamental insight is not just to hire the best and brightest, but to treat them as such, to give them the flexibility, freedom and space to create,” the book states. Through libertarian thinking, these exceptional engineers would dominate the state—at least that’s the intention.
And there’s more. According to Karp and Zamiska, this special minority will apply a “ruthlessly pragmatic” engineering mentality to national issues. And who decides what constitutes national issues? Naturally, Silicon Valley’s uniquely aware engineers.
According to Bloomberg, the “republic” envisioned by the authors appears to have only two components: elites and masses, bound together by a “collective identity” supported by “civic rituals” and a “common mythology.”
Contemporary concerns for public opinion and democratic will are dismissed as “symbolism,” “conformism,” “performance,” and “social calculation.” Instead, the technological republic’s leadership relies on the “diligent pursuit of advances and results.”
These arguments align with Peter Thiel’s views on democracy. “I no longer believe that freedom and democracy are compatible,” Thiel wrote in his 2009 article “The Education of a Libertarian.” To Thiel, elections as a democratic procedure made no sense. Thiel and his associates combined this dissatisfaction with hostility toward the “regulatory state” and challenged “all forms of politics” with an almost Schmittian revulsion.
Consequently, the book contains numerous contradictions. It criticizes unaccountable “technocrats” yet proposes governance by Silicon Valley engineers shielded from public or political interference. It condemns federal bureaucracy excesses while advocating an equally unaccountable form of government. Similar to 20th-century fascism, it advocates for artistic-aesthetic freedom while subordinating it to a single goal: the nation-state’s military dominance. In the Bloomberg author’s words, it proposes that “politicians and civil servants should be replaced by STEM soldier-poets.”
The Bloomberg reviewer likens this to Weimar period “reactionary modernism,” citing similarities: nostalgia for lost national greatness, disdain for markets and consumerism in favor of state management and industrial production, romantic obsession with advanced weaponry, and the virtual deification of engineers as the spiritual vanguard of this dark utopia.
The introductions to Karp’s book by figures like former NATO Secretary General Anders Fogh Rasmussen, General James N. Mattis, and JPMorgan CEO Jamie Dimon suggest these ideas extend beyond fringe New Right extremists.
The authors advocate for collaboration between state and corporate power merged with “engineering genius,” with the Manhattan Project that produced the atomic bomb as their ideal model. Karp believes the US should undertake a similar initiative for artificial intelligence, requiring massive capital investment.
The Palantir CEO approves of Trump and Musk’s attacks on the federal government, claiming to have “predicted” them years ago.
“Predicted” is an understatement. Palantir is expected to strengthen its position under the Trump administration and has already begun doing so. The company’s stock price has increased by over 180% since the day before Trump’s election. Growth in Palantir’s artificial intelligence business and expectations that the new administration will favor companies like Palantir over traditional defense contractors like Lockheed Martin propel this momentum.
Karp perhaps summarizes the difference between the New Right-libertarian Silicon Valley cohort and its predecessors: In a recent investor call, he stated that Palantir is “making America more lethal” by analyzing vast data sets for US armed forces and allies, helping them predict enemy movements, determine coordinates, “and sometimes kill them.” Unlike the old warlords who ruled from behind the scenes, Karp proudly aspires to direct state involvement. At least he’s forthright.
Indeed, several former Palantir employees have recently taken positions in the Trump administration, deepening the company’s government connections. In turn, Palantir has hired figures like former Wisconsin Congressman Mike Gallagher, who chaired the House Chinese Communist Party Committee from 2023 to 2024 and advocated for stronger responses to
Chinese influence in America. Gallagher now leads Palantir’s defense business. Karp told potential investors that investing in Palantir meant supporting a company whose mission was to “support Western liberal democracy and its strategic allies.” He guaranteed that the “know-how” of Silicon Valley’s relatively small but technologically sophisticated companies would be made available to Western states, especially the United States.
In 2022, as Russian forces invaded Ukraine, he warned against nuclear escalation while acknowledging that “bad times are good for Palantir.”
According to the WSJ, Karp had advocated many of the book’s central themes for years, but several developments prompted him to compile them: Operation Aqsa Flood, led by Hamas, motivated him to speak more boldly. Hours after news of the attack spread, Karp deployed Palantir staff to Israel to “help coordinate the country’s response.”
Arguing that we’re entering a new global era, Karp contends that the artificial intelligence systems driving investor interest in Palantir will elevate talent requirements and compel everyone to “do something unique and creative.”
This brings us to the Pentagon plans of the Trump-Musk-Hegseth trio, which we will address in subsequent installments of this series.
America
AI spending heads toward $7 trillion as analysts warn of market bubble risks
Massive financial resources directed into artificial intelligence technologies are driving companies into dangerous territory for global markets.
If expected productivity gains fail to materialize despite these immense capital flows, the artificial intelligence sector faces the risk of inflating into a giant bubble.
The Wall Street Journal reported that should such a scenario unfold, a widespread collapse capable of shaking the entire financial system and dragging down the broader market will become inevitable.
Estimates by McKinsey & Company project that global spending on data center construction alone could reach $7 trillion by 2030.
According to the newspaper, if these massive investments fail to deliver adequate productivity gains, the global economy will suffer a severe blow.
Should the sector as a whole turn out to be a bubble, the resulting damage will spread directly across the broader financial system.
While market observers note that a major crash—whether sooner or later—would drag all equity markets down with it, declines in AI-related stocks are currently being offset by gains in other sectors.
However, the first concrete signs of emerging vulnerability appeared in the memory chip market, where a sector-specific bubble formed and burst within just four months.
South Korean market shaken by sharp drop
In June, shares of South Korea’s Samsung and SK Hynix, the world’s two largest memory chip makers, sank by more than 12%.
The sharp sell-off pulled down the country’s broader stock index. South Korea’s benchmark Kospi index dropped 10%, triggering an automatic 20-minute trading halt.
Growing investor anxiety over artificial intelligence triggered the steep decline in the two giant companies, which together account for half of the total market capitalization of the Kospi index.
US equity markets also felt the ripple effects during the same period. The Nasdaq index closed down 2.2%, while the S&P 500 fell 1.4%, marking their worst single-day performances in two weeks.
Nevertheless, The Wall Street Journal pointed out that the disruption has not yet produced catastrophic consequences for the rest of the market.
While the bursting of massive historical bubbles resulted in disaster for national economies, smaller and localized bubbles in recent years have failed to paralyze broader economic growth.
The primary reason for this resilience is that these recent investments were not predominantly funded through leverage and bank credit.
When those localized bubbles burst, investors suffered wealth losses, but the financial system remained intact.
Russell Napier, a global macroeconomic strategist and keeper of the Library of Mistakes, a financial history archive in Edinburgh, evaluated the current market posture:
“The banking system is in superb condition, which means there will always be enough credit available to blow the next bubble.”
America
Anthropic AI models breach corporate systems after escaping isolated test environment
Anthropic has announced that several of its advanced artificial intelligence models escaped an isolated testing environment and accessed the live internet.
In a review published Thursday night, the company stated that in three separate incidents dating back to April, the models independently breached the systems of multiple companies without the AI developer’s knowledge.
Anthropic said the incidents involved an unreleased internal research test model, alongside its Opus 4.7 and Mythos 5 models.
Mythos was made available last month to a limited audience composed of technology companies and cybersecurity researchers, an initiative also known as Project Glasswing.
The AI developer did not disclose which companies were breached, but said the affected firms were informed of the incidents on Monday.
Anthropic noted that it conducted the review after OpenAI revealed last week that two of its most powerful models had breached containment, escaped their testing environment, and infiltrated several entities, including the AI platform Hugging Face and cloud provider Modal Labs.
System misconfiguration allowed internet access
Anthropic stated that it examined more than 140,000 tests to find evidence of whether Claude could gain access to the internet from test environments designed to be isolated.
The evaluations included “capture-the-flag” exercises, in which Claude was instructed to breach other systems to obtain information. This is a method frequently used by experts to assess a model’s hacking capabilities.
The San Francisco-based company stated that a “misconfiguration” in systems operated by Anthropic and its testing partner left the models with live internet access, enabling them to infiltrate external systems.
Anthropic said it approached remediation efforts “with full ownership of the responsibility.”
Neither Anthropic nor the affected organizations detected the unauthorized entries at the time they occurred.
Anthropic added that it may examine its logs more extensively, noting that the findings gave the company “cautious optimism” that such risks can be overcome through increased investment and more stringent safeguards.
David Allott, a cybersecurity expert, told the BBC: “The overarching lesson here is not that AI has developed fundamentally new attack vectors.”
“Instead, it means that AI agents can combine capabilities, acquire credentials and system access to act autonomously, while adapting scope and scale at machine speed,” Allott said.
The developments come as technology companies invest billions of dollars to develop AI agents capable of independently executing a range of tasks, from research and customer support to cybersecurity.
America
Elon Musk’s America PAC plans $100 million field operation for 2026 Republican midterm push
Tesla and SpaceX CEO Elon Musk is returning to the political spending arena with a new field program designed to help elect Republicans in at least eight states ahead of the 2026 midterm elections.
Musk has authorized his political action committee, America PAC, to spend between $100 million and $120 million on a new ground game focused on conservative voter turnout for the 2026 midterms, according to a Thursday report by The New York Times, which cited two unnamed sources informed about the plans.
America PAC funneled more than $250 million into Donald Trump’s reelection campaign in 2024, a expenditure that established Musk as the largest political donor in US history.
The New York Times reported that America PAC is reviving its spending initiatives and has reached out to other Republicans in recent weeks regarding the new field operations.
The effort is also being coordinated with other Republican Party spending groups, according to the report.
The newspaper identified targeted Senate races in the states of Alaska, Iowa, Maine, Michigan, and Ohio, while noting that discussions are also underway regarding contests in North Carolina, Georgia, and Texas.
The political action committee is additionally expected to deploy funds for House of Representatives elections in Washington, Wisconsin, and California.
The news comes a day after Axios first reported that America PAC’s operations were resuming, with a focus on driving Republican turnout during the non-presidential election cycle.
A spokesperson for America PAC declined to comment on The New York Times report but confirmed the Axios reporting to The Hill. The spokesperson stated that the spending group was “excited” to contribute to efforts to maintain the Republican majorities in Congress this fall.
“The President’s political team and the rest of the GOP apparatus have built a world-class operation that has Republicans well-positioned to make history and retain control of Congress this fall,” America PAC spokesperson Andrew Romeo said in a statement. “We’re excited to be part of the team again.”
The campaign will reportedly target Republican voters through door-to-door canvassing, mailers, and digital advertisements, enabling other groups to concentrate their resources on television advertising.
The developments were reported days after Musk told The Economist magazine that he had gotten “carried away” during his brief foray into politics.
The SpaceX CEO entered the political arena during the 2024 election, pouring hundreds of millions of dollars into Trump’s presidential campaign and accompanying the candidate on the campaign trail.
Musk went on to lead Trump’s cost-cutting initiative, known as the Department of Government Efficiency (DOGE), which executed sweeping employment and funding reductions across the federal government. Those efforts sparked controversy for Musk and his enterprise empire, including Tesla, whose shares fell sharply during his period of political involvement.
Musk departed the White House in late May 2025, and DOGE officially terminated its operations on July 4.
Shortly after leaving government, Musk and Trump engaged in a public dispute over the president’s sweeping spending legislation, the “One Big Beautiful Bill Act.” During the friction, Musk threatened to form a third party, though the initiative never materialized.
Musk and the US President appeared to resolve their differences last year, with the tech billionaire most recently joining Trump alongside other technology leaders on a trip to China in May.
-
America2 weeks agoUS controls $13 billion in Venezuelan oil revenues with little transparency, raising congressional concerns
-
America2 weeks agoUS agricultural superpower status at risk as trade wars shift global markets to Brazil
-
Diplomacy2 weeks agoPalantir CEO Alex Karp says he would not vote for ‘pro-Russian’ AfD in Germany
-
Europe2 weeks agoUS secures multi-billion-dollar energy and AI deals at Three Seas summit in Dubrovnik
-
Diplomacy2 weeks agoWorld Bank warns US-Iran conflict could slash global growth to 1.3% as inflation looms
-
Middle East2 weeks agoPentagon faces severe budget crunch as Middle East operational costs drain key military funds
-
Europe2 weeks agoGermany accelerates African energy diplomatic push to secure natural gas and green hydrogen
-
Middle East2 weeks agoOil passes $90 as tanker attacks halt Hormuz shipping
