Palantir Technologies and Dubai Holding announced the creation of Aither, a joint venture that will deliver Palantir’s Artificial Intelligence Platform (AIP) to Dubai Holding’s portfolio of real‑estate, hospitality, finance and infrastructure businesses across more than 30 countries. The partnership was disclosed on November 6 2025 and is the first time Palantir has entered the United Arab Emirates as a commercial partner.
Aither will be structured as a 50/50 partnership, with each company contributing capital and operational expertise. Dubai Holding will provide access to its network of subsidiaries and a dedicated implementation team, while Palantir will supply the AIP, data‑integration services and ongoing support. The joint venture is slated to begin full operations in the first quarter of 2026, with an initial investment of $200 million that will be used to build a regional data center and hire local AI specialists. Management has indicated that Aither is expected to generate $150 million in incremental revenue for Palantir over the next three years, representing a 10‑15% lift in the company’s U.S. commercial segment once the platform is fully deployed.
Palantir’s Q3 2025 results, released on November 3 2025, showed revenue of $1.181 billion—up 63% from $1.004 billion in the prior quarter—and an adjusted EPS of $0.21, beating consensus of $0.17 by $0.04 (24%). The revenue surge was driven by a 121% jump in U.S. commercial revenue to $397 million, fueled by data‑center and cloud‑based AI deployments, while U.S. government revenue grew 52% to $486 million. The company’s ability to maintain a high margin—adjusted operating income rose to $2.151 billion from $1.933 billion—was largely due to pricing power in high‑margin AI contracts and improved operational leverage as the platform scales.
The Aither partnership positions Palantir to capture a rapidly growing Middle East AI market, where governments and corporates are investing heavily in digital transformation. By leveraging Dubai Holding’s extensive network, Palantir can accelerate adoption of its AIP across sectors that demand real‑time analytics, such as real‑estate asset management and hospitality operations. The joint venture also diversifies Palantir’s revenue base beyond its traditional U.S. government contracts, reducing concentration risk and providing a foothold in a region projected to see significant AI adoption in the coming years.
Investors reacted cautiously to Palantir’s earnings, citing the company’s high valuation multiples—over 90× forward earnings and 25× forward sales—as a headwind. While the strong results and raised full‑year guidance (revenue $4.396‑$4.400 billion, up from $4.14‑$4.15 billion) underscored robust demand for the AIP, the premium valuation tempered enthusiasm. Management emphasized continued focus on cost discipline and strategic investments in high‑return verticals, signaling confidence in sustaining profitability amid market volatility.
In summary, the Aither joint venture marks a significant step in Palantir’s international expansion strategy, combining local market access with its AI platform to unlock new value for Dubai Holding’s diverse portfolio. The partnership is expected to contribute materially to Palantir’s commercial growth, while the company’s strong Q3 performance and raised guidance reinforce its execution capability in a high‑valuation environment.
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