Palantir Technologies filed a formal protest against the Defense Intelligence Agency’s plan to build a custom military intelligence system called ASTRA, designed to support AI-enabled intelligence analysis for global military operations. The company argued that the government should purchase commercial solutions rather than developing custom tools, citing federal acquisition rules favoring market-available products. The DIA initially attempted corrective actions in May 2026, but Palantir escalated by filing a follow-on protest in July, ultimately forcing the agency to withdraw the ASTRA solicitation entirely by late July 2026. Following the announcement, Palantir shares rose approximately 1% in pre-market trading on July 24, 2026, with analysts noting the potential for a new ASTRA-related contract opportunity in the coming months.
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