Markets React to AI News

April 21, 2021
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AI is shaping businesses and playing an increasingly important role in the markets. A clear example of this occurred last week when Palantir (PLTR) and IBM announced a global partnership.

The Basics

  • Palantir is a data analytics software company. They primarily sell to US government agencies, but they’re seeking to expand into health care, energy, and manufacturing sectors.
  • The partnership between Palantir and IBM aims to accelerate business adoption of AI, leveraging both company’s existing technologies to create a product that simplifies how businesses deploy AI-infused applications.
  • Upon announcing the partnership, shares of Palantir rose nearly 6%.

Why it Matters

According to an IBM study, nearly 75% of businesses surveyed say they are exploring or implementing AI. Yet, over 30% cited limited AI expertise and data complexities as barriers to adoption. IBM and Palantir’s joint product is called “Cloud Pak for Data,” and it is specifically designed to enable users to access, analyze, and take action on the vast amounts of data that is scattered across hybrid cloud environments – without the need for deep technical skills.