Something has gone completely wrong: Palantir CEO Alex Karp slams OpenAI,
says AI industry is "effing insane"

Date:
Thu, 02 Jul 2026 10:40:00 +0000

Description:
Palantir CEO Alex Karp hits out at Anthropic and OpenAI in heated interview.

FULL STORY ======================================================================Copy link Facebook X Whatsapp Reddit Pinterest Flipboard Threads Email Share this article 0 Join the conversation Follow us Add us as a preferred source on Google Newsletter Subscribe to our newsletter Palantir CEO Alex Karp has hit out at the state of the AI industry, saying it was "effing insane" that the technology is being used in areas such as military and national security.

In a heated interview with CNBC Squawk Box , the controversial billionaire also hit out at top AI firms such as OpenAI, claiming he had spoken to major CEOs outside of the industry who were "livid" at how some companies are doing business. Karp also accused some major AI companies of imposing a wealth tax on businesses by charging high fees for their services, all while collecting data which may be used to improve their own AI models and tools. Latest
Videos From Watch full video here: "Completely wrong" Karp's ire was particularly focused on the token model being used by the likes of Anthropic and OpenAI, especially as costs continue to rise, but companies look for a better return on their investment.

Im not throwing shade at them, but something has gone completely wrong, he said. The basic view among enterprises in this country is Im going to chillax and waste my time with tokens. You may like OpenAI exec says AI 'doomers' are holding back incredible economic opportunities Sam Altman urges Anthropic and the Pentagon to 'find a way to work together' Quote of the day by Anthropic CEO Dario Amodei: "Humanity is about to be handed almost unimaginable power, and it is deeply unclear whether [we] possess the maturity to wield it" warnings on the looming threat of beyond-human AI

This includes a range of Chinese firms, with Karp warning the US not to underestimate the speed of progress being seen at its great rival.

Rising AI prices have led many businesses to pivot towards building and training their own models, rather than relying on outside providers, with so-called "open weight" models able to perform at a fraction of the cost. Are you a pro? Subscribe to our newsletter Sign up to the TechRadar Pro
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Karp's frustration was clearly visible, with one CNBC host commenting, You sound pretty angry, with the CEO responding, This is the voice of American business that is being channeled through me.

To shore up its own support, Palantir recently announced a major partnership with Nvidia which will see the latter's AI services used to create custom models for US government agencies.

What aligns me with Nvidia, and I think is what the technical customers want, which is control over their compute, their models, their data stack and their alpha, Karp told CNBC . They want to know they own the means of production. Its not being transferred to someone else. What to read next Quote of the day by Anduril CEO Palmer Luckey: 'There's no moral high ground in using inferior technology' challenging the dominant narrative over AI use in defense Microsoft CEO Satya Nadella warns AI dominance could 'hollow out entire industries' OpenAI CEO admits AI job replacement prediction was wrong

This follows recent criticism by the US government of firms such as
Anthropic, whose Mythos 5 and Fable 5 AI models were deemed a national security risk and shut down shortly after release.

Karp went on to criticize the US government for its reliance on AI companies in creating new technology for the military and national security.

Are we really going to outsource the battlefield of this country to the consensus view in Silicon Valley? That is effing insane," he noted. Follow TechRadar on Google News and add us as a preferred source to get our expert news, reviews, and opinion in your feeds.



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Link to news story: https://www.techradar.com/pro/something-has-gone-completely-wrong-palantir-ceo -alex-karp-slams-openai-says-ai-industry-is-effing-insane


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