Fedorov, ousted as Ukraine's defense minister in July 2026 despite widespread popularity, announced the venture alongside Karp in a joint video statement. Karp reportedly reached out within days of Fedorov's dismissal, proposing they "do something together." The partnership signals Palantir's intent to leverage Ukraine's real-world combat data and operational AI experience as a competitive asset.
Ukraine's Delta system — a battlefield management platform that fuses drone feeds, radar, and sensor data into a unified C2 interface — became a centerpiece of Fedorov's tenure. Outgoing U.S. Army Secretary Dan Driscoll called Delta "absolutely incredible" in May 2026 testimony, contrasting it with American systems he described as "compartmentalized, isolated and ineffective against modern threats." The new venture is expected to build on Delta's architecture and Ukraine's Brave1 Dataroom AI training platform, both of which run on Palantir infrastructure.
Karp's financial backing could unlock billions for Ukraine's defense industry. Palantir's valuation has surged past $440 billion — up 28x since its 2020 IPO — with 93% year-over-year revenue growth driven largely by U.S. government contracts. The company's Maven Smart System, which uses Anthropic's AI for real-time battlefield intelligence, is the U.S. military's closest equivalent to Delta.
Fedorov's departure from government triggered weeks of nationwide protests demanding his reinstatement. He has since confirmed he will not return to office, instead focusing on the new company, a major defense investment fund, and an advisory role with Italy's Ministry of Defense. He stated that "Ukraine will be the priority" despite the international scope of the ventures.
The move raises questions about talent drain from Ukraine's defense apparatus and the commercialization of state-developed systems. Fedorov's team built Delta using government resources and wartime operational data — its transition to a private, investor-backed entity sets a precedent for other Ukrainian defense officials and could accelerate brain drain as the war continues.
