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Swiss court thwarts Palantir's bid to counter magazine report

Financial Times Companies •
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Zurich’s commercial court dealt a blow to Palantir, dismissing 22 of 23 counter‑statement requests the data‑analytics firm and its Swiss subsidiary filed against investigative outlet Republik. Judges found only a single passage warranted a published reply, leaving the company largely unable to rebut the reports.

Republik’s December pieces, based on freedom‑of‑information requests, detailed how Swiss federal agencies repeatedly turned down Palantir’s software, citing data‑sovereignty and compliance worries. The litigation sparked a “Streisand effect,” amplifying scrutiny across Europe, where governments have already blocked or questioned US‑origin tools—from the UK NHS’s £330 million contract to Germany’s armed forces exclusion.

The court ordered Republik to publish Palantir’s brief rebuttal to a claim that its Foundry platform originated in US counter‑insurgency ops, while Palantir must cover about 95 % of the SFr9,000 legal bill and pay SFr9,900 to the magazine. The loss underscores rising political risk for the firm in Europe and may pressure its already slowing international growth.

Investors will watch the fallout as the case highlights regulatory exposure that could deter public‑sector contracts, a segment Palantir hoped to expand after US defense wins, and may prompt tighter scrutiny of data‑handling practices across the continent.