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Navy Awards $448 Million to Palantir for AI ‘Ship OS’ to Accelerate Submarine Work

The two-year pilot ties vendor pay to measurable gains across the submarine industrial base.

Overview

  • Initial rollout targets two major submarine builders, three public shipyards, and roughly 100 suppliers before possible expansion to surface ship programs.
  • Palantir’s Foundry-powered Ship OS will integrate legacy planning, inventory, and operations data to identify bottlenecks and apply predictive analytics.
  • Navy-cited pilot results include reducing Electric Boat’s schedule planning from 160 manual hours to under 10 minutes and cutting Portsmouth Naval Shipyard material reviews from weeks to under an hour.
  • The effort is managed through the Maritime Industrial Base program and Naval Sea Systems Command, with funding drawn from this year’s reconciliation spending legislation.
  • Payments to Palantir hinge on demonstrated productivity gains, with officials touting early time savings while cautioning about workforce limits and scaling the approach across the wider industrial base.