Elon Musk's DOGE, Tightening Purse Strings Spell Trouble For Palantir: Here's Why The AI Darling Is Facing The Heat

Quick Summary:

What Happened: The Alex Karp-led company has had a tough couple of weeks, with the stock dropping nearly 33% since mid-February, losing $90 billion in market capitalization, all in response to the ongoing efficiency drive within the US Federal Government that seeks to cut unnecessary expenses.

The DOGE team recently uncovered 1,000s unused software licenses within the government, and the Department of Defense went a step further and canceled its contracts with Oracle Corp.(NYSE:ORCL), citing delays and cost overruns.

Palantir Inc.(NASDAQ:PLTR) has a lot at stake with the federal budget about to get slashed to the tune of $1 trillion by May this year, as part of the D.O.G.E.initiative, spearheaded by Elon Musk.

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Article Details

Author / Journalist: Vishaal Sanjay

Category: Technology

Markets: United States

Topics: Oracle Government Tech ORCL Doge US38141G1040 Markets PLTR Palantir Analyst Ratings Elon Musk Benzinga US68389X1054 GS

Source Website Secure: Yes (HTTPS)

News Sentiment: Negative

Fact Checked: Legitimate

Article Type: News Report

Published On: 2025-04-02 @ 07:12:00 (1 days ago)

News Timezone: GMT +8:00

News Source URL: benzinga.com

Language: English

Article Length: 486 words

Reading Time: 3 minutes read

Sentences: 22 lines

Sentence Length: 23 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © Benzinga

News ID: 27533198

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