Palantir Technologies has filed a federal lawsuit against two of its former senior AI engineers, accusing them of stealing confidential trade secrets to create a rival company modelled closely after Palantir’s business. The case, lodged in Manhattan federal court, claims the engineers—Radha Jain and Joanna Cohen—violated their contracts and used stolen materials to help launch Percepta, an AI integration startup backed by venture capital heavyweight General Catalyst.
According to the complaint, Jain and Cohen had direct access to Palantir’s most sensitive materials, including internal demonstration frameworks, healthcare revenue cycle diagrams, and proprietary client engagement strategies that embody billions of dollars in company research and development. Palantir alleges that this data theft enabled the defendants to “shortcut over a decade” of its innovation and gain an unfair advantage in competing for clients.
The lawsuit details a series of alleged deceptions, including the engineers’ failure to disclose their new affiliations and their refusal to sign standard separation agreements upon leaving the company. Cohen is accused of sending herself internal Palantir files via Slack the day after she resigned and later viewing them on her personal device. Jain, who was instrumental in developing Palantir’s AIP Logic platform, reportedly departed in November 2024, while Cohen, who worked on AI solutions for healthcare clients, left in February 2025.
Palantir’s filing describes Percepta’s emergence from stealth mode earlier this month as a direct threat to its market position. The new company reportedly mirrors Palantir’s business model and has recruited nearly half its team from Palantir’s former staff, including co-founder Hirsh Jain. Palantir asserts that the defendants were paid millions in compensation in exchange for strict non-compete, non-solicitation, and confidentiality agreements—clauses that it now says they have breached.
Adding weight to Palantir’s claims, General Catalyst CEO Hemant Taneja had previously stated in an interview that his firm was building “a version” of Palantir’s business. Palantir contends this admission underscores the deliberate effort to replicate its operational model. The company is now seeking emergency injunctive relief to prevent the use of its intellectual property, reimbursement of legal costs, and an extension of the defendants’ non-compete terms.
This legal battle comes as Palantir strengthens its foothold in U.S. government contracting, recently securing a decade-long Army deal worth up to $10 billion and a $30 million project with Immigration and Customs Enforcement. However, internal concerns have also surfaced about the company’s growing political alignment with the Trump administration. Despite such tensions, Palantir’s valuation has soared to $461.5 billion, following a nearly 375% surge in market capitalisation.
