Palantir Technologies Inc.‘s (NASDAQ:PLTR) strong U.S. growth highlights a widening global gap in AI adoption, with CEO Alex Karp warning that Europe and Canada are lagging in the fast-moving technology race.
Palantir Revenue Soars 70% Amid US Dominance
On Tuesday, speaking on Palantir's fourth-quarter earnings call, Karp said the company's record revenue underscores the divide between nations embracing advanced AI and those hesitant to adopt it, reported Fortune.
"We've also seen, unfortunately, that there's a real hesitance to adopt these kind of products in the West outside of America, and the two places leading here are China and America," Karp said.
Palantir reported $1.407 billion in revenue for the quarter, a 70% year-over-year increase, with U.S. sales growing 93% and accounting for 77% of total revenue.
AI ‘Haves’ Vs. ‘Have-Nots‘
Karp framed this success as a reflection of the broader AI landscape, describing a split between "AI haves" and "have-nots."
Chief Revenue Officer Ryan Taylor added, "Our customers aren't tentatively trying AI; they're committing to it at scale," citing clients whose contracts quadrupled or quintupled over 2025.
Karp also noted slower adoption in Canada, Northern Europe, and France, despite repeated contracts with Palantir for intelligence and defense work.
AI Adoption Faces Risks, Disruption And Potential Bubble
At Davos last month, experts warned that rapid AI adoption carried both promise and peril.
PwC's global chairman, Mohamed Kande, said many companies rushed into AI without foundational systems, leaving over half seeing no tangible benefits.
Only 10% to 12% reported gains, while 56% reported "nothing out of it."
Historian Yuval Noah Harari said AI posed an identity crisis as machines outperformed humans and a disruption crisis with "AI immigrants" reshaping jobs, culture, and legal norms.
He urged countries to act quickly on policy and regulation.
Bridgewater founder Ray Dalio called AI enthusiasm the "early stages of a bubble," noting most companies had yet to translate adoption into profits, while global capital flows influenced markets more than U.S. stocks or AI firms.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Shutterstock
