Pentagon Drafts $244M No-Bid Contract for Palantir
Give Palantir up to $244M through 2028, says internal Defense Department memo
An internal Defense Department memo directs subordinates to award Palantir up to $243.9 million in no-bid contracts through March 2027, with further funding options through 2028. The memo, signed by Deputy Secretary Stephen Feinberg, cites Palantir's help in improving defense industrial base efficiencies. Critics note the lack of competitive justification, and Palantir faces scrutiny over political connections, including investments by Trump and Vance.
This memo might be characterized as the Deputy Secretary of Defense merely asking his subordinates for ideas, but the lack of any reference to the need to justify this exception suggests they are either unaware of the statutory requirements for competition, or don’t believe it’s important to remind their subordinates of the importance the need to justify this non-competitive contract.