Palantir Technologies (NYSE:PLTR)
A specialty technology business, Palantir stock, rose in value on Wednesday, defying the market’s general downward trend. Palantir stock rose about 1 percent on the day due to a new agreement with a partner on the other side of the Pacific Ocean and an award from a well-regarded research firm.
What’s the Reason for Palantir Stock Gains?
At the close of Tuesday’s trading session, Palantir Technologies (NYSE:PLTR) stated that it has deepened its partnership with Hyundai Heavy Industries Group of South Korea. The divisions of the massive industrial conglomerate responsible for constructing ships will receive Palantir’s Palantir Foundry service. This is part of Hyundai’s broader effort to update its business in the field.
The new agreement between the two businesses is worth $20 million over the next five years. More than $45 million will be earned by Palantir Technologies (NYSE:PLTR) from contracts with the Asian firm over the next half-decade, roughly double the company’s previous haul from Hyundai.
Hyundai’s relationship with the US-based specialty tech firm dates back many years. They mentioned that Hyundai Doosan Infracore, another subsidiary of the parent firm, has been using Foundry since 2019.
Meanwhile, a technology market analyst IDC report has positioned Palantir as the top provider of AI software platforms in 2021. According to the latter’s report, “Worldwide Artificial Intelligence Platforms Software Market Shares, 2021: AI is Being Used in More Unique Ways Than Ever,” Palantir stock is now the market leader in market share and revenue.
The relationship between Palantir and Hyundai appears likely to grow. Palantir stated, “Today’s agreement marks a critical step toward the formation of a joint venture” in a news release announcing the extended arrangement. The partnership between the two companies was formalized in January with an agreement to build a big data platform for usage throughout Hyundai’s operations.
Featured Image– Megapixl @ Timonschneider