Palantir Hires Former Senator to Manage $2 Billion Federal Portfolio
The software firm brings on Jon Tester to advise on government work as Democrats prepare to take control of Congress in January.
By John Ferrari ·
Palantir has hired former Montana Senator Jon Tester to serve as an advisor on its government services business. The former Democrat joins the artificial intelligence company as it faces renewed scrutiny from lawmakers who are set to take over the majority of Congress in January.
The software firm, which holds $2 billion in federal contracts, operates across multiple government departments. According to government records, the largest share of that portfolio belongs to the Departments of Defense, Homeland Security, and State. Palantir also works with the Departments of Agriculture, Veterans Affairs, and Health and Human Services. The company is currently valued at more than $350 billion.
Tester, who served in the Senate for 18 years, lost his reelection bid in 2024. He described his new role as strictly advisory and not a lobbying position. He told NPR that Palantir has a story to tell and needs to communicate it effectively to the incoming legislative bodies.
The hiring follows a period of tension between the tech industry and Democratic legislators. During President Trump's second term, Palantir faced accusations from Democrats that its tools aided mass surveillance of Americans and immigrants. Senator Ron Wyden, D-Ore., led a group of 31 lawmakers in demanding answers about the company's contracts with the Department of Homeland Security.
Palantir has consistently denied conducting or enabling mass surveillance. The company states that it builds tools for agencies to organize their own data rather than gathering or manipulating private information. Wyden's office indicated that his committee intends to revisit these questions as he becomes the chairman of the Finance Committee. His staff noted that compulsory processes remain an option if the company does not respond adequately next year.
The relationship between Palantir's leadership and Democrats has been strained in recent years. CEO Alex Karp, a self-described liberal, has criticized Democratic stances on immigration and artificial intelligence. He argued in a 2025 interview that many Democrats privately agree with his views on restrictive immigration policies. Tester, who was an early critic of the PATRIOT Act, said his concerns about government surveillance remain. However, he stated that Palantir is different because it does not build large databases or trade in private data.
Over a dozen former employees publicly criticized the company last year over a $30 million contract with U.S. Immigration and Customs Enforcement. The contract was for a tool designed to track migrant movements in near real-time. Former staff members argued that this work violated the company's internal code of conduct. Tester said he will focus on the government services side of the business as the new Congress begins its session.
