Tuesday, 01 July 2025

AUSTIN PETERSEN: Federal data consolidation poses a risk to all Americans


This alarm isn't just coming from the political left. It's emerging from inside the MAGA base itself, where many now see the Palantir partnership as a betrayal of Trump's earlier promises to dismantle the so-called "deep state."

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Supporters of President Donald Trump have voiced deep concern over a potential partnership between Trump’s administration and Palantir Technologies to create a sweeping federal data fusion system. This alarm is not just from the political left. It is emerging from the MAGA base itself, where many see the Palantir deal as a betrayal of Trump’s promises to dismantle the deep state. When an interview with Palantir CEO Alex Karp began circulating, showing him taking responsibility for stopping the “far right” in Europe, high levels of concern over Palantir’s actions bubbled up to the surface. 

Palantir Technologies, co-founded by billionaire Peter Thiel, has long supplied data aggregation software to U.S. intelligence, military, and law enforcement agencies. Its platforms, Gotham and Foundry, analyze massive datasets, visualize connections, and enable rapid decision-making across government systems. Palantir’s clients include the Department of Defense, the Department of Justice, and Immigration and Customs Enforcement (ICE), which signed a $30 million contract in 2025 for real-time visibility into migrant movements. This supports Trump’s goal to deport up to one million undocumented immigrants next year.

More troubling is Palantir’s growing reach across the federal bureaucracy. NewsNation reports that Foundry is used at the Department of Health and Human Services and the Department of Homeland Security. Palantir is also in talks with agencies such as the IRS and the Social Security Administration. Does Trump want to empower the IRS even further? Critics warn this data fusion creates a system capable of monitoring nearly every aspect of an American’s life. Jeremy from The Quartering tweeted recently that “Donald Trump must immediately reverse his decision to work with Palantir.  This is a massive betrayal of the American people, specifically his base. Working essentially a deep state software company to compile the first and most important step of social credit systems is insane.” While the government claims it improves efficiency, the risk of a social credit system poses a threat to all citizens. 

In March 2025, Trump signed an executive order requiring federal agencies to share data, including tax filings, Social Security records, welfare, immigration, and criminal histories. The goal was to reduce waste, fraud, and abuse. In effect, it began building one of the largest interagency data-sharing systems in U.S. history. This level of centralization could evolve into a social credit framework, much like the Affordable Care Act (also known as Obamacare). Initially, regarding healthcare access, Obamacare introduced tracking mechanisms, such as penalties for the uninsured, that could be expanded to monitor behavior. A data fusion system risks similar overreach, flagging “risky” activities like political donations or social media posts.

Former Congressman Justin Amash criticized the plan, writing: Justin Amash criticized the plan, writing: “The surveillance state, the police state, the deep state are alive and well under Trump. He’s building profiles on millions of law-abiding Americans.” No warrant is needed when agencies legally possess data and use AI to analyze it. This is why critics argue the executive order, though legal, endangers Fourth Amendment protections. The Patriot Act was meant to be temporary. Now, it is permanent.  No warrant is needed when agencies legally possess data and use AI to analyze it. This is why critics argue the executive order, though legal, endangers Fourth Amendment protections. The Patriot Act was meant to be temporary. Now, it is permanent. 

Following the public backlash, Palantir released a statement denying that it unlawfully surveils Americans. The company insisted that it does not collect data independently but rather enables government agencies to understand better the information they already hold. Yes, Palantir denies unlawful surveillance, stating it only helps agencies understand their data with granular security protections. Yet the danger lies in the system’s legality. Built within current rules, it lacks new privacy safeguards or oversight. Civil liberties groups warn it creates a searchable dossier on every American, accessible to whoever holds power.

With Palantir’s tools, such targeting becomes faster and easier. Today, it may track immigrants or fraudsters. Tomorrow, it could monitor gun owners, donors, or rally attendees. This threatens every American, from retirees to small business owners.

Civil liberties supporters, whether conservative, libertarian, or populist, must take this seriously. The issue is not Trump’s intent. It is about a system any administration could use to silence dissent. Congress must limit data fusion, implement transparency, and protect the rights of all Americans. History shows tools built for safety are often repurposed for control. The time to act is now before this power is finalized. 


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