So Alex Carp just went on CNBC and he left the entire panel absolutely speechless. Let's check it out, All right. So you're kicking off this inaugural Summit today. Uh, you have a lot of U.S leaders here in government, um, and defense and other areas of the government right now today.

with so much focus on AI and the potential of AI, what is Palantir's focus when it comes to its work with the US Government? Well, there are two things we're working on. One is power chair related, but arguably, even more importantly, Um, the U.S Uh has every major provider of AI which is in every other Industrial Revolution You've had just diversity of countries that have had the talent and the products in this revolution. They're really all in America. So how do we get the US government to use innovation from providers? Very few of these providers, uh, work closely or closely enough with the US government.

Now, in part that that's because many of these providers have had a somewhat timid view of helping the US governments. The the Silicon Valley motto has been get rich, you get nothing and they've obviously often extended that to the US government. So my focus and our focus in DC is one uh to basically embarrass other people in AI to work with the US government. It's like we're doing very well here.

You should also get involved. uh to talk to legislators to explain to them that uh, way too few of our dollars are being spent on AI Uh, Palantir, Um is one of I think the first company since the 50s that has produced government products that are in high demand commercially. So how do we get more companies that have commercially available products meaning products that are proven on in the by in a competitive environment into the US government And how do we share knowledge? So that's the part that we're doing here. We have a lot of clients, many of which are sensitive and they get to talk to each other here about what they're doing, what's worked, and what's not all right.

We'll talk more about your class in just a bit. I Do want to ask you just a few days ago you were in Senate Majority Leader Chuck Schumer's AI meeting. It was a closed door meeting. The pressing: the public not in the room not allowed in the room.

A lot of big name Tech leaders were there. we're talking Bill Gates Senator Pachai Mark Zuckerberg What was said there? Can you give us your takeaway? the headlines where it was all about regulating II Ai and government regulation and also I want to ask you, do you think the public should have been allowed in the room? Well, um, uh, so they're they're The overarching discussion was how do you advance artificial intelligence Meaning, how do we allow especially uh, commercial uh Enterprise in America to adopt AI develop Ai and provide it to the US government and Enterprise while simultaneously mitigating some of the obvious risks of AI namely one, we don't know where the road is going and what happens if AI becomes generative Iei becomes so powerful that in fact, it's a risk to humankind. Okay, so that that is a real issue and there's a lot of consensus that we have to have some way of mitigating the risk. Then there's a there are other discussions of on the way there.

uh, how do you have artificial intelligence that has governance guard rails can prove that it's not discriminatory? Um. And then there's the issue I'm passionate about is uh, Given the risks, we also have to model as one of the greatest risks that our adversaries namely Russia or China develop tools that are vastly superior to ours and change the world order. Um I Thought it was a very, very productive discussion. Um I Guess it's an unpopular view that occasionally you have to begin discussions in private, but it is my view and I I don't I'm sure at some point these discussions will be open and no legislation will happen.

but in the end we all have to come in there and say this is what. Okay, I really believe it's Very. It's already very hard to get people to show up and kind of go naked. Uh, but they're not going to go naked in public with public scrutiny and there's a super, uh, heterogeneous group of people there.

From union leaders to Tech leaders. Among Tech leaders, you have kind of more corporate people than you have the freak. Show Uh, so getting us referring to yourself, but they they get verification understood I Do want to ask about one thing. we just showed some video of you sitting next to Elon Musk and you said, how do you get to use AI in a way that doesn't hurt Humanity that's a question that he's been wrestling with.

he's been talking about the dangers of AI So were there in-depth discussions about how to use AI responsibly as you mentioned. so it's not discriminatory story so it doesn't actually hurt Humanity Yeah, that's what we discussed and there were a very do you have details Are there some details? Well, I mean I can tell you what I said which is uh I said look there are there. There are two camps. There's those that think AI is safe and those are things dangerous and I'm in the third Camp which is it is dangerous and if we don't actually work on it, our adversaries will and we will lose all of our human rights.

if that was my position. um, and that that and so and I think that is is the it is. What am I doing in DC What am I doing every day, both as an individual and as the co-founder and leader of Palantir is pushing America to adopt AI with governance responsibly. In the commercial context, what does governance mean? Governance means? You can look at the Out product output of a large language model or the inputs into algorithms and say, is this something that protects our data, protects our health records, make sure they're not being used in a discriminatory way, and on the battlefield.

Is there some human Supervision in the chain where we make lethal decisions? And where does that data come from? Who controls it? Who can ratchet this back? Who can ratch us up? And do we have superiority that is so great that our adversaries are afraid to attack us? The standard for the U.S can't be parody because we're basically benevolent actors in the world, despite discrimination. certainly from the comparative perspective. Maybe the only benevolent actors. Uh, and the best way to make sure that we have a safe world is to make sure that our adversaries know that our weapons are far superior to theirs.

That's what I'm interested in I Want to ask more about the meetings? You have a chance to speak directly with Senate Majority Leader Schumer And do you believe do we need an AI Czar Department of AI regulation? Or something like that? We are going to have regulation and it. There's a and and some forms of Regulation I support. Like what the form of Regulation I support is? Um, we must the US's leaders control the risk to our civilization of out of control. Rogue AI So we need.

And there it's both a combination of my view of Regulation and people who can implement this who are both technically and uh, uh uh, philosophically proficient. So it's a rare class of person because you're going to need to be able to in an unbiased way look at what someone is doing and report if there's a risk to our civilization. and then there's I Want to ask you so you don't think the public should be at the early stages of a conversation with this much magnitude. You know? my job is to produce technology that transforms and puts America and his allies in a superior position and to advocate for Governors governance structures.

And I am doing this in public and in private. And what I can tell you is I'm telling you exactly what I tell people in private, whether it's Senator Schumer or leaders of the world or my employees or peoples of people abroad. whoever I'm meeting I am telling you the same thing so you you can be rest assured that you're hearing in public what I said in private and what I say in public and in private. Is there's a he that there's a real risk here, But there.

the upside is that America will outperform all other Western countries because if we produce the technology, we have a legal structures that allow us to implement it and we have the best talent and we're the most Innovative On the military context, we we are poised to win, but we have to make sure we actually win. We're poised to win. It's not the same thing and that's what I'm saying in public and in private. So actually we have a question for you from the New York Stock Exchange Alex it's Sarah Eisen just I Mean it's great to hear this color and and the philosophy behind how we think about Ai and regulation.

I'm curious though, what it, what it's going to mean for your business because there has been a lot of enthusiasm and excitement in the market around Palantir as an AI play. what does growth look like from governments from commercial from International as as we adopt generative AI Um I Think for us and for everyone, what you're going to see is radical growth in the U.S slower growth in Europe um growth in the U.S because people are going to adopt the best, uh, most robust, most useful Technologies Um and very quickly. Um, what you're going to see in the market and then I'll get to us is you're going to see in the market. Um, you've had a massive interest in AI Many of these products deliver poetry and will make allow me to do write an essay.

Maybe I Know nothing about the products that are going to do well in the sense that people are going to pay for them, are going to have output differentials. So you're going to change the margins of a business. You're going to rebuild a supply chain. You're going to move a company from uh, individual, point-based company to a portfolio way of managing it.

And and those companies are going to succeed uh in the U.S market? Um, how are we doing? It's very early days and that you know you don't want to be out there being too optimistic and we're being very careful to kind of move slower than we could. but we de facto cannot keep up with demand for our AIP product. We built these precursor technologies that are not understood yet, but the clients understand them because they are asking how do I work with a large language model in a safe way? A government way where I can make them more precise and change the underlying dynamics of my business within days. Um, and what we've seen is a in the last month of 50 50 increase in people using our AIP product in a month.

So um, you know the other thing about can I interrupt Geox For once here we have another question for you. From the New York Stock Exchange I Want to get some of our anchor questions in as well? it's David Faber I Just want to follow up on that. Um, you know in terms of productivity and what's going to be available to the Enterprise as a result of the adoption that you're talking about one step down from threat to humanity. But what about threat to workers? Where are you in terms of how many jobs will be replaced as opposed to potentially simply aided to go work on higher end things? Um, this is a super important question.

Um, you know, typically technology is misaligned with the worker and so there's obviously a lot of concern about among working men and women that you know. radical increase in in in in in technological development will decrease both lead to a decrease in jobs and it and put pressure on their salaries. I Think AI incorrectly implemented. So not long ago we had one percent of the U.S Hospital care market.

Now we have 16. Why do we have what is going on with this radical increase? We're making doctors and nurses more effective. We're making factory workers more effective by the way. One of the most important attributes of AI That's not been discovered yet and will be discovered is you can take manufacturing that maybe has been culturally specific to Japan or Korea And we have one company that is a A Japanese company producing a highly technical product in America just like they produced in Japan with American workers.

And why can they do that? Because through enhanced software algorithms and AI we can control the manufacturing environment for Americans as if it was Japan That means American work. So then you get the agility creativity Ingenuity of America with methodologies we've not been able to produce here in the largest and most important Market in the world. So I I think and this is a message that's going to take you have we actually have to show rather than tell because workers are going to be skeptical. but it's actually true.

So this was one of the most coherent Alex Carps we've seen in a long time. I don't know how many Alex carbs are there in reality I mean the dude probably cloned themselves many times over I don't know if that's the original one, but this version release candidate? Perfect. No ramblings, no theological philosophical space aliens. Straight and to the point.

Absolutely love that he deserves a full 10 out of 10. I Think Alex Carp has really come forward a lot in this quality. As a communicator from about two years ago now, he did say something very, very important which I want you to listen. He said that the United States is currently leading the AI artificial intelligence Race by a huge difference which I think is super important because whatever you want to say about tech and money, that is the next Battleground AI is going to be the next Battleground And it is super important that the United States is leading in this race.

Now, if you're the sort of person who is not comfortable with U.S dominance and U.S being the leader, then you can check the out of my video I don't care I want this to be the case and I'm happy that he's saying that. and I actually think that he's 100 right? I Feel more comfortable going to sleep in the world where America has my back then Saddam Hussein or Libya or Russia I mean I'm okay, okay with the Us being dominant. If you're not, go right ahead. there's the door.

now. Look, um, he did talk about something very important here that the fact of the matter is that Talentier is the first company in existence that have created high quality, high-end government products that have bled on and evolved into very in-demand commercial products. Usually the commercial World leads the Innovation and then it trickles down into the government applications. This was the other way around.

You know? Penalty was founded about, you know, two decades ago by Peter Thiel with the full intent of going commercial at some point. but it started off as a government contractor. It then expanded into companies like Airbus like quasi governments and now we're talking about commercial application. Now for some reason, the interviewer, when he was listing the list of famous people who attended this Senate hearing about the AI regulation he failed to mention Elon Musk I Wonder why I Don't know why he wouldn't mention him in that list of dignitaries, but you know it is what it is now.

Alex Carp did talk about his relationship with the with Elon Musk and the AI regulation. All that stuff. He did say that he believes that AI can be potentially extremely dangerous to humanity. He isn't in the camp of the tree hugging Kumbaya singing people who just sit there and hope for the best and pray that AI will just be okay.

He understands the dangers of AI which is something he aligns very well with Elon Musk for example, but he says, look, if we're not going to get ahead of this, if we're not going to dominate this field, for sure our enemies is going to weaponize AI against us. So whatever you think about Ai and whatever the dangers that we may face, the bigger Graver danger is if we don't get ahead, our enemies are going to weaponize this against us so we have no choice but to chase this race. Unfortunately, this is the world we live in. This isn't some La La Land We have to be real about it.

I Absolutely love that answer from him now. He also said that AI regulation is important. That's obviously a no-brainer plain vanilla statement. But here's the crazy part.

when they brought in Sarah Eisen and she asked him about growth which is the important question about talenty right now because we know they have a lot of new clients, but we don't really see their transparency in the translation to new Revenue flows. You know the revenue growth is not the same level as the clan growth recently, and that's the question she was going for and he gave it a little bit of a different answer. He's really becoming a better politician because what he said was this look he said look the overall market right now for you know, for us and our Technologies is mainly going to be based on us, it's not going to be EU it's going to be mainly Us in just a little bit in the EU because of the way you know they tackle the businesses. The biggest baddest market for enterprise software for AI is going to be North America and in that aspect, the United States So but the one thing he said here which really blew my mind is that look chat GPT and he took a direct shot at GPT and I Love it he said look Chat Gbt can write you poems.

It can write you articles about things you have no idea about and that's great. That's perfect. That's really really good. but um, there's nothing in this that gives you a Competitive Edge As a business when you're going on the you know in a Cutthroat Market as a business you need an AI tool that's going to give you a Competitive Edge not write your poems and articles.

Something that actually is transformative in a way that it generates not only like cool stuff, actual business advantages so they're not competing with chat GPT. By the way, they're completely not I'll explain in a second what he was talking about but he's basically saying look, Chachi PT is a nice little gimmickies thing but if you're looking for the next big player, we haven't really seen any reveal on the global Mass stage yet now. he did say they cannot keep up with demand for AIP and I'll explain for a second what he means now. AIP is a shovel.

What do I mean by a shovel? Look back in the days of the gold prospectors, everybody was trying to prospect for gold. That was the big money. But what? People tend to forget that during the gold rush, the biggest millionaires were not created by prospecting gold. The biggest millionaires were created by people who sold shovels.

The shovel sellers for the prospecting made more money than the shovelers. And that's true in every single industry. So what AIP is AIP is the shovel in the Gold Rush AAP isn't really a generative, generative. Well, I said it.

So weird. The Narrative I don't know my Russian comes out. It's not really. It doesn't really generate AI content, right? It's not what it does.

AIP is a tool to be used with whatever large language models of choice your company applies and it uses that Llm large language model to basically, um, deploy a better business intelligence. AI driven based AIP is kind of like a tool that people use and companies use to make better sense of their data using their existing AI Generational tools I Don't know if you can say generational tools? What the hell is going on? Who wrote the script for today's video? Oh, we don't have scripts. Um, yeah, where are we going? We don't need scripts Marty and that's a reference from Back to the Future. In any case, you get my point.

But when you're saying, look, we are the shovel. We help people utilize their AI tools better and we have 50 increase in our clients month over month Right now. Imagine what it means: 50 increase in clients in the month? That's just he was talking about the last month. I Can't even imagine what it means for an annual year-over-year growth.

Now he's talking about clients. Not that he isn't talking about revenues, because on the revenue side, we really haven't seen that impact yet. and they're very intentional about it. If you read the book by Peter Thiel that he wrote six years ago, zero to one which I highly recommend.

There's no affiliate links in my in my bio, just go get it on. Amazon In that book, he said, look, we're going to generate this new industry that doesn't really exist yet. and when we create this new industry New Market We're going to go so fast, we're going to become a monopoly in this new market that does not yet exist. which is literally what they're doing with AIP Right now, there's a lot of generative AI tools out there.

Plenty of them, but AAP is very, very unique. That's the only one of its kind really at this scale. So they're rushing to get the entire Market as fast as they can. It's very, very similar to FSD.

For example, if they're going to grab the entire Market, it's going to be very hard to compete. It's going to be way cheaper to just buy AIP or license AIP than to build something of your own. So they're grabbing market share even at loss, right? As a lost leader so that they can later convert it to revenues. The test of this will be in about I Want to say two years? In about two years.

we're gonna see if all this new clientele they acquired all this new market share they acquired can actually be monetized and translated to massive exponential Revenue growth. That's going to be the big test of Palantir, but you shouldn't expect this in the next six to 12 months. This is probably two years away now. He was also asked about the fact that what happens if AI causes loss of jobs I Mean look, this isn't communist USSR right? We're not in the business of keeping jobs.

Or I mean you know, just to keep jobs around. If it's more efficient to have less jobs, that's the more economical thing to do. That's what we do. And then the people who lose their jobs, they adapt and they find new jobs.

This is how Communism works. Communism gets to, you know, employ five people over a person that does one job instead of having that one person work the assembly line. Now they have five guys in the Russian Factory where they build cars because they need to give five people jobs and that's why the cars looks the way they are. That's why the factory looks the way they are.

That's why the USSR economy collapsed Because this doesn't work. Keeping jobs for the sake of keeping jobs is not a good idea. This isn't communist USSR And people do adapt. There's always been a you know when the the Industrial Revolution happened, people adapted the AI Revolution is going to happen.

People will find new jobs that didn't exist. Everybody will be okay. Don't worry now. One Last Thing Before I Let you guys go.

If you enjoyed this video, this is what you do right now. You hit the like button. I'm just kidding. Don't hit nothing.

Don't smash nothing. Don't like nothing. Don't buy nothing. I'll see you next video I Almost had you there.