AI software firm Palantir (PLTR) announced on Thursday that it is expanding its partnership with communications company Lumen Technologies (LUMN) in order to help more businesses use artificial intelligence. The new agreement is described as a “multi-year, multi-million-dollar strategic partnership,” where Palantir will provide its Foundry and AI Platform, while Lumen will offer its advanced digital network tool, Lumen Connectivity Fabric. Together, they aim to help companies across industries quickly and securely roll out AI in complex, multi-cloud environments.
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Interestingly, Bloomberg reported that the deal is worth $200 million, though official terms were not disclosed. Furthermore, Lumen CEO Kate Johnson said that the companies are a perfect match because Palantir makes data usable, while Lumen helps move it. She added that combining their strengths allows businesses to use AI more effectively.
At the same time, Palantir CEO Alex Karp stated that the partnership comes at a time when U.S. businesses urgently need to unlock value from AI. He said that Palantir and Lumen are working together to provide both the tools and infrastructure that customers need to succeed in the AI space. In addition, the partnership builds on an earlier agreement signed just one month ago, when Palantir and Lumen teamed up to use Palantir’s AI tools to streamline Lumen’s own internal operations.
Which Stock Is the Better Buy?
Turning to Wall Street, out of the two stocks mentioned above, analysts think that PLTR stock has less room to fall than LUMN. In fact, PLTR’s price target of $157.65 per share implies 12.4% downside versus LUMN’s 26.6%.
