Palantir says some US government customers are moving sensitive AI work to Nvidia Nemotron open models.
Nvidia says Nemotron can run in air-gapped environments, away from unsecured external networks.
That setup matters for defense work, where data leaks can damage missions immediately.
Karp framed Nemotron as equal or better for classified battlefield-style tasks, according to the report.
The deeper change is that model quality is no longer the whole purchase decision.
Agencies now weigh speed, price, sovereignty, audit trails, and operational control together.
American open models give Washington a third path between closed labs and foreign stacks.
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breakingthenews. net/Article/Palantir-CEO:-Some-US-gov't-clients-using-open-source-AI/66625598