Palantir Looks Like a Consulting Company. Its Numbers Tell a Different Story.
Palantir is often criticized by skeptics of being a consulting firm and not a software-as-a-service company.
Overview
There is a criticism of Palantir Technologies (NASDAQ: PLTR) that refuses to go away. For all the praise surrounding its artificial intelligence (AI) software, Palantir sends engineers directly into customer organizations to solve problems. On the surface, this sounds like consulting.
While there is some truth to that comparison, Palantir's forward deployed engineers work alongside customers rather than simply handing them a software toolkit and walking away. Focusing on this process misses what Palantir is actually selling -- and, more importantly for investors, the economics of the business.
Details
If Palantir were really a consulting firm disguised as an AI company, its financial statements would eventually expose that. Instead, they're telling almost the exact opposite story.
Source
Originally published at www.fool.com.