TLDR
- The FAA is working with Palantir, Thales, and Air Space Intelligence to build an AI tool for air traffic management.
- The FAA has received $12.5 billion from Congress but needs an estimated $20 billion more to complete its system overhaul.
- The AI tool could help reduce flight congestion and alert controllers when aircraft get too close.
- Wedbush kept its Outperform rating on PLTR on April 10 with a $230 price target, staying bullish despite Anthropic competition concerns.
- 63% of the 32 analysts covering PLTR currently have a Buy rating, with the 12-month average price target implying over 47% upside.
The FAA is in the middle of one of the largest infrastructure overhauls in U.S. aviation history, and Palantir wants a piece of it.
The FAA has brought in Palantir, Thales and Air Space Intelligence to compete on a new artificial intelligence tool for air traffic management https://t.co/KfjRiKVLF8
— Bloomberg (@business) April 17, 2026
According to a Bloomberg source familiar with the matter, the agency has brought in Palantir Technologies (PLTR), Thales (THLLY), and Air Space Intelligence to compete for a contract to build a new AI-powered air traffic management tool.
The project is part of a broader push to modernize the country’s aging air traffic control system, which has faced mounting pressure from rising flight volumes and long-overdue technology upgrades.
Palantir Technologies Inc., PLTR
The FAA has already received $12.5 billion from Congress for the overhaul. But the agency estimates it will need roughly $20 billion more to get the job done.
That funding gap makes the search for smarter, more efficient solutions all the more urgent.
The AI tool being developed could serve a range of practical functions. One use case: spotting when too many departures or arrivals are stacked up at once, giving controllers early warning to reduce congestion before it becomes a problem.
The system could also flag when aircraft are drifting too close to each other — a safety feature that could give controllers more reaction time in high-pressure situations.
Wedbush Stays Bullish
On April 10, Wedbush maintained its Outperform rating on PLTR with a price target of $230. The firm said it remains confident in Palantir despite concerns that competitors like Anthropic could eat into its territory.
Anthropic has grown fast — its annual recurring revenue jumped from $9 billion to $30 billion since the start of 2026. But Wedbush argued that growth hasn’t come at Palantir’s expense.
The firm pointed to Palantir’s AIP products and its data-driven approach as key advantages that are hard to replicate. It described the company as a leader in the AI revolution, not a casualty of it.
What Analysts Are Saying
Wall Street is broadly positive on PLTR right now. Across 32 analysts covering the stock, 63% have a Buy rating.
The 12-month average price target implies more than 47% upside from current levels.
TipRanks data shows a Moderate Buy consensus based on 14 Buys, five Holds, and two Sells over the past three months. The average price target from that group sits at $194.06.
PLTR was up 2.54% at the time of writing.
🚨 Our April Stock Picks Are Live!
A new month means new opportunities. Our analysts have just released their top stock picks for April, highlighting companies with strong momentum that rank highly on our KO Score algorithm. We’re also now sharing trade ideas for both long-term and short-term investors, giving you more ways to spot potential opportunities in the market.
Sign up to Knockout Stocks today and get 50% off to unlock the full list and see which stocks made the cut.
Use coupon code Special50 for your exclusive discount!
