Rackspace and Palantir Form Strategic Partnership to Operationalize AI at Scale

CryptoWire
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Denver, Colorado – Rackspace (NASDAQ:RXT) and Palantir (NASDAQ:PLTR) have announced a strategic partnership aimed at helping enterprises deploy and operate Palantir Foundry and Artificial Intelligence Platform (AIP) in full production environments.

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The collaboration is designed to move AI initiatives beyond pilot programs and into governed, managed operations capable of delivering measurable business outcomes.

Under the agreement, Rackspace will provide implementation expertise, cloud hosting, data migration, and ongoing managed services within a governed operating model that ensures consistent security, compliance, and operational controls from edge to core to cloud. The companies are also working together to operate Palantir software in Rackspace’s Private Cloud and UK Sovereign data centers, a key consideration for regulated industries requiring strict data residency and sovereignty standards.

Many organizations struggle to realize value from AI platforms because large-scale deployment demands specialized skills that are often unavailable internally. As Palantir’s strategic partner for global implementation and data migration services, Rackspace will help customers identify high-impact use cases, prepare and migrate data, manage hosting environments, and oversee ongoing operations to ensure production-grade performance.

Rackspace currently has 30 Palantir-trained engineers supporting data migration and forward-deployed implementation efforts and plans to scale that number to more than 250 over the next 12 months.

“Organizations need AI that works in production, not just in demos,” said Gajen Kandiah, CEO of Rackspace Technology. “Palantir’s platform, combined with Rackspace’s governed cloud operations and our shared forward deployed engineering approach, enables customers to accelerate time to value and drive competitive business impact with governance and security. This is especially important in regulated industries.”

The partnership brings together Rackspace’s 25 years of experience managing mission-critical enterprise workloads across hybrid environments with Palantir’s decision-intelligence software platform. The companies are positioning the offering as a turnkey deployment model intended to reduce operational risk, lower implementation friction, and accelerate time to value — particularly for data-sensitive and highly regulated organizations seeking secure private cloud AI deployments.

“Organizations that adopt our AI Operating Systems fundamentally change their unit economics,” said Sameer Kirtane, Head of US Commercial at Palantir. “In the context of migrating complex data environments, Palantir AIP is taking completion timelines from years to days. Rackspace will help our customers accelerate their pace of adoption and as a result, lead their respective industries.”

As enterprises shift from AI experimentation to production execution, the partnership reflects growing demand for governed, compliant infrastructure capable of supporting large-scale operational AI.