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He continued by stating that American enterprises are quietly "livid," as "they are paying for tokens that create no value," and that the AI players "are stealing [their customers'] weights and alpha." The latter items refer to customers' business processes and interconnections between their data, along with the data itself. Palantir's shares jumped about 9% the day of the interview, while those of other AI companies experienced a dip.
Palantir's CEO just exposed Sam Altman and Dario Amodei for robbing every Fortune 500 company.Within two minutes, Alex Karp took the entire frontier AI industry apart on national television.His exact words: "Every single enterprise in this country, these people are LIVID.… pic.twitter.com/132b5s6dQG July 1, 2026
For context, many of Palantir's products are on-premises solutions or a variation thereof, and they carry a truckload of certifications like the DOD-required CMMC Level 2 or ISO27001/17/18. Karp's business also alleges that it does not train any models and merely utilizes other entities', without retraining them with customer data. Instead, the company's particular approach is coined "ontology" and, as a simplification, focuses on business data classification, entity definitions, and behavior.
Improving the training of an LLM requires an influx of new and improved information, which is why Karp claims that frontier labs are double-dipping by both selling customers LLM utilization all while using their data for improving said LLMs — in other words, the risk for a customer is that they're arguably teaching the bots' abilities and information that could get their business easily replicated and potentially replaced.
He puts the value of a token in question by using an old business analogy: if the frontier players supposedly generate so much value for their customers, why don't they treat it as an investment and charge a percentage of said value? Not too long ago, Palantir CTO Shyam Sankar shared the same view in an equally abrasive manner: "more tokens means more slop," questioning the productivity gains of the "tokenmaxxing" fad that tech leaders like Nvidia's Jensen Huang have promoted.
OpenAI CEO Sam Altman admits AI token costs are becoming 'a huge issue.'
Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
- Macro rates and liquidity can dominate flows
Reference reading
- https://www.tomshardware.com/tech-industry/artificial-intelligence/SPONSORED_LINK_URL
- https://www.tomshardware.com/tech-industry/artificial-intelligence/palantir-ceo-alex-karp-claims-ai-companies-are-stealing-customers-data-while-charging-them-for-unproductive-tokens-says-livid-businesses-are-paying-for-tokens-that-create-no-value#main
- https://www.tomshardware.com/subscription
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Informational only. No financial advice. Do your own research.