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Palantir Billionaire Alex Karp Calls AI Industry ‘Effing Insane’ In Heated Interview

Karp said enterprises are tired of token-based pricing and warned that AI labs are overselling models while taking customer data and intellectual property.

  • On Wednesday, Palantir CEO Alex Karp criticized the token-based business model of Anthropic and OpenAI on CNBC's Squawk Box, saying "something has gone completely wrong" with how these AI labs charge for their tools.
  • Enterprises are increasingly frustrated by high costs for AI tokens that fail to deliver tangible value, prompting Karp to dub the practice a "wealth tax" that extracts intellectual property from businesses.
  • Advocating for "AI sovereignty," Karp emphasized that technical customers demand ownership of their data stack and model weights; Palantir expanded its partnership with Nvidia to provide secure AI infrastructure for government agencies.
  • Palantir shares soared more than 9% following the interview, while Karp described CEOs as "livid" with leading AI firms, prompting Squawk Box co-anchor Becky Quick to observe, "You sound pretty angry."
  • Karp warned against outsourcing critical military infrastructure to Silicon Valley's consensus, citing national security risks and noting that Chinese AI capabilities are accelerating, raising the stakes for U.S. firms.
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(San Francisco = Yonhap News) Correspondent Kwon Young-jeon = Alex Karp, CEO of the U.S. data analytics firm Palantir, [mentioned] closed... including OpenAI and Antropic...

·Seoul, Korea (the Republic of)
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Mediaite broke the news in New York, United States on Wednesday, July 1, 2026.
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