Palantir's stock is booming as the US government buys more of its AI surveillance software, which is good for investors but raises concerns about a growing data and surveillance grid.

• Palantir shares jumped 22% after the company reported a surge in demand for its AI tools from the US government.
• The company, founded by Peter Thiel, builds data analytics systems for governments, intelligence agencies, and militaries.
• Palantir openly markets itself as a tool to help partners "scare enemies and on occasion kill them."
• Early investors in the stock have made big gains as government contracts keep growing.

Outlook: Government demand for AI-driven surveillance tools is likely to keep pushing Palantir's business higher in the near term.