San Diego, December 15, 2025

The U.S. Navy has entered a $448 million contract with Palantir Technologies to implement AI-driven improvements in shipbuilding and maintenance. This initiative is aimed at enhancing efficiency and reducing delays within the Maritime Industrial Base (MIB), ultimately bolstering fleet readiness. By leveraging advanced AI tools such as the ShipOS platform, significant operational transformations are anticipated over an initial two-year period.

Navy Partners with Palantir to Modernize Shipbuilding

Investment in AI to Boost Efficiency in San Diego’s Maritime Sector

San Diego, CA – The U.S. Navy has awarded a significant $448 million contract to Palantir Technologies, aiming to enhance shipbuilding and repair processes through the integration of artificial intelligence (AI). This strategic initiative underscores the Navy’s commitment to modernizing its Maritime Industrial Base (MIB) and aims to drive efficiency and reduce operational delays in a crucial sector for national defense.

This initiative could lead to transformative changes in how ships and submarines are built and maintained, enhancing the U.S. Navy’s readiness and effectiveness in carrying out its missions. By embracing cutting-edge technology, the contract reflects a broader trend within the federal government of leveraging advanced tools to support military operations and combat readiness.

Key Details of the Contract

• Contract Value: $448 million
• Duration: Initial two-year period
• Objective: Deploy Palantir’s ShipOS platform across the MIB to integrate AI into shipbuilding and maintenance operations

Expected Outcomes

• Efficiency Gains: Pilot programs have showcased remarkable improvements; for instance, General Dynamics Electric Boat cut submarine schedule planning from 160 manual hours to under 10 minutes, while Portsmouth Naval Shipyard achieved a reduction in material review times from weeks to less than an hour.
• Operational Impact: The integration of AI is projected to streamline supply chains and accelerate production timelines, ultimately boosting fleet readiness by ensuring timely delivery of ships and submarines necessary for Navy operations.

Background Context

This partnership with Palantir Technologies is part of a comprehensive strategy to modernize military operations across the board. The Navy’s investment in the ShipOS platform demonstrates a commitment to enhancing operational efficiency through AI and data-driven insights. By reducing delays and costs associated with traditional shipbuilding and maintenance practices, the initiative aligns with the broader goal of maintaining a competitive edge in maritime capabilities.

Palantir Technologies Inc. Stock Information

As of December 13, 2025, Palantir’s stock (PLTR) is trading at $183.57, reflecting a decrease of $3.96 (-2.11%) from the previous close. The stock reached an intraday high of $187.50 and a low of $177.69, indicating the dynamic performance of the company’s shares following this significant contract announcement.

Frequently Asked Questions (FAQ)

FAQ Schema in JSON-LD Format

{
  "@context": "https://schema.org",
  "@type": "FAQPage",
  "mainEntity": [
    {
      "@type": "Question",
      "name": "What is the ShipOS platform?",
      "acceptedAnswer": {
        "@type": "Answer",
        "text": "The ShipOS platform is an AI-driven system developed by Palantir Technologies, designed to modernize shipbuilding and maintenance processes within the U.S. Navy's Maritime Industrial Base. It integrates real-time AI-powered tools to enhance efficiency and reduce delays in shipbuilding and repair operations."
      }
    },
    {
      "@type": "Question",
      "name": "How will the $448 million contract impact the Navy's operations?",
      "acceptedAnswer": {
        "@type": "Answer",
        "text": "The contract aims to deploy the ShipOS platform across the Maritime Industrial Base, integrating AI into shipbuilding and maintenance operations. This integration is expected to streamline complex supply chains, accelerate production timelines, and directly support fleet readiness by delivering more ships and submarines on time to meet Navy operations."
      }
    },
    {
      "@type": "Question",
      "name": "What were the results of the pilot programs?",
      "acceptedAnswer": {
        "@type": "Answer",
        "text": "Early pilot programs have demonstrated significant improvements. For example, at General Dynamics Electric Boat, submarine schedule planning was reduced from 160 manual hours to under 10 minutes. At Portsmouth Naval Shipyard, material review times were decreased from weeks to less than one hour. These results indicate the potential of the ShipOS platform to enhance operational efficiency."
      }
    },
    {
      "@type": "Question",
      "name": "What is the duration of the contract?",
      "acceptedAnswer": {
        "@type": "Answer",
        "text": "The contract is set for an initial two-year period, during which Palantir Technologies will implement the ShipOS platform across the Maritime Industrial Base."
      }
    },
    {
      "@type": "Question",
      "name": "How does this contract affect Palantir Technologies Inc.?",
      "acceptedAnswer": {
        "@type": "Answer",
        "text": "The contract represents a significant expansion of Palantir's defense portfolio, adding a substantial recurring revenue stream. It underscores the company's growing role as a critical technology provider for military operations, particularly in the realm of AI and data integration technologies."
      }
    }
  ]
}

Key Features of the ShipOS Platform

Deeper Dive: News & Info About This Topic

HERE Resources

General Dynamics NASSCO Partners with South Korean Leaders to Boost U.S. Shipbuilding
Secretary of the Navy Addresses Warship Maintenance Challenges in San Diego
USS Pierre Completes Sea Trials as Final Independence-Class Ship
Hanwha Philly Shipyard Plans to Expand Operations

Author: STAFF HERE SAN DIEGO WRITER

The SAN DIEGO STAFF WRITER represents the experienced team at HERESanDiego.com, your go-to source for actionable local news and information in San Diego, San Diego County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Comic-Con International, San Diego County Fair, and San Diego Pride Festival. Our coverage extends to key organizations like the San Diego Regional Chamber of Commerce and United Way of San Diego County, plus leading businesses in biotechnology, healthcare, and technology that power the local economy such as Qualcomm, Illumina, and Scripps Health. As part of the broader HERE network, including HEREAnaheim.com, HEREBeverlyHills.com, HERECostaMesa.com, HERECoronado.com, HEREHollywood.com, HEREHuntingtonBeach.com, HERELongBeach.com, HERELosAngeles.com, HEREMissionViejo.com, and HERESantaAna.com, we provide comprehensive, credible insights into California's dynamic landscape.