In a move that highlights the increasing consolidation of technical capability in the defense sector, our portfolio company Anduril has announced a strategic partnership with Palantir Technologies. This collaboration between two of the most innovative companies in the defense technology space represents a significant step forward in advancing AI capabilities for national security applications.The partnership brings together Anduril's expertise in autonomous systems and hardware with Palantir's proven capabilities in data analytics and AI software. For our firm, this alliance validates several key investment theses:

• The growing importance of integrated hardware-software solutions in defense
• The network effects of combining best-in-class AI capabilities
• The acceleration of private sector innovation in national security

This collaboration signals a maturing defense technology market where leading companies are joining forces to deliver more comprehensive solutions. For Anduril, this partnership represents an opportunity to enhance their autonomous systems with Palantir's sophisticated data analytics capabilities, potentially accelerating their product development and market penetration.

Looking Forward

We expect this partnership to serve as a catalyst for further innovation in the defense technology sector. The combination of Anduril's hardware expertise and Palantir's software capabilities could set new standards for AI-enabled defense systems and create significant barriers to entry for competitors.As investors, we're particularly excited about how this partnership could:

• Accelerate the development of next-generation defense capabilities
• Create new opportunities for system integration and deployment
• Strengthen Anduril's competitive position in the market
• Drive innovation in AI applications for national security

This strategic alliance reinforces our conviction in Anduril's position as a leader in the defense technology sector. The ability to forge partnerships with other category leaders while maintaining their innovative edge exemplifies the kind of strategic thinking we look for in our portfolio companies.

Other People's Capital is an investor in Anduril Industries. This analysis reflects publicly available information and should not be considered as investment advice.