00:00Tell us about why Palantir is just outperforming, is peerless in your perspective.
00:05So first, thank you so much for having me here. I'm happy to share this with you too.
00:10And I think Palantir has proven that has been the winner of this AI implementation.
00:18And I mean, not only about like investment, but actually the growth they are unlocking.
00:24The customers actually go into them because they can prove that they can actually extract value
00:29from these AI implementations. And it doesn't only stop with those customers,
00:34but also other software peers that are partnering with Palantir because they also want to be part of this.
00:41They have like really good software, but they are still struggling to actually make that software work.
00:45And Palantir is like, from a fundamentals perspective, actually proving that they can extract value from those implementations.
00:53Your note is such a joy to read because you're using wonderful analogies going back to the matrix,
00:58whether you're going to blue pill or whether you're going to red pill.
01:00But what's interesting is you're thinking that ultimately the red pill is there with Palantir.
01:04And they are unlike the 95% of failed pilots that MIT drew a focus on.
01:10They're managing to make AI work. But why? What is it different about Dr. Karp, Daddy Karp,
01:16however you see him, and indeed the go-to market focus that they have?
01:21I think what is different first is that they have been working on this infrastructure that is actually what makes AI be operationable for more than 20 years.
01:32This is something that today has more value than anything because of like the acceleration on AI and the new software that we have.
01:40But like this ontology that they have, that is like the data integration that can actually unlock value from all these different like data pods
01:48and like have the human to be able to interoperate with that, that has been in the works for more than 20 years.
01:56And that's why they are a real winner.
01:59And from a customer perspective, you have to take into account that they work with the U.S. government.
02:05And they have worked with the U.S. government for so long.
02:08So they know how to do complex operations.
02:11And they are translating all that know-how into the commercial world.
02:15That is why I think they're a winner. They were prepared for this.
02:19Mariana, a part of the pressure on the stock this morning, and we need to acknowledge it,
02:23is that Michael Berry of the big short fame or Cyan Asset Management, his firm,
02:28have disclosed some bearish wages, including on Palantir, put options, is the form that they've taken.
02:37But there's clearly some bigger picture worry about valuation.
02:41And are we or are we not in an AI bubble?
02:44The way that you put it in your note is to discern what is real and what is not real.
02:49What is it you see in Palantir that gives you the conviction it is real?
02:53What makes me convinced about being real is what when you hear about the customers
03:00and the transformation they are seeing from implementing Palantir's product,
03:05they are actually saving money. They are doing things faster, cheaper, better, smarter.
03:12Those real changes are the ones that make me optimistic about it.
03:15And we have said this over time. I'm really convinced that even if the AI bubble were to burst,
03:23Palantir will survive because it's the structure to actually extract that value
03:29and do more with AI agents or whatever is next from stochastic models
03:34or anything in software and computing and everything.
03:38You write that seeing is believing, Mariana. I've attended quite a few AI pecans.
03:43And what happens is you have these customers go on stage and demo how they actually use Palantir.
03:50Like there are so many people out there that are like, what does Palantir even do?
03:53They do. You know, I've seen the demo and you get a sense for how it works.
03:57So then that takes me to the commercial growth, 121% growth year on year in the U.S.
04:02The nervousness out there is that it's only the U.S.
04:05That commercial business isn't growing internationally.
04:08I think when you think about international, you have to take into account two things.
04:14Number one, there are larger customers there that like were already hardly like a lot penetrated
04:20and that the Palantir is putting their focus in the U.S.
04:24So it's also demand is like amazing for AI in general.
04:29And we see that with all the cap it's being invested.
04:32But if you have to actually catch up with that demand and execute on that,
04:36you have to take into account where you put your efforts and your resources.
04:39And I think it's aligned with that.
04:40The Palantir is putting most of their commercial resources focus in the U.S.
04:44The Palantir is putting most of their resources in the U.S.
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