Rackspace Technology Launches Operating Framework with Palantir for Regulated Enterprises to Accelerate Enterprise AI in Production

SAN ANTONIO and MIAMI, July 10 — Rackspace Technology®, a global enterprise AI infrastructure and solutions provider, and Palantir Technologies Inc.announced an operating model framework to help regulated and sovereign enterprises own and operate AI in production. The framework, delivered through Rackspace, combines Palantir Foundry and AIP with Rackspace’s governed private cloud, sovereign cloud, on-prem infrastructure, certified FDEs, and managed operations for customers that require control over data, security, governance, deployment location, and operational outcomes.

The framework is built for markets such as healthcare systems protecting patient records, financial institutions running on regulated data, energy operators with air-gapped infrastructure, and sovereign organizations that cannot move data across borders. For these customers, AI deployment is guided by a few fundamental, non-negotiable questions: Who owns the data? Where should the data live? And can their models be used to build someone else’s business? For these customers, where governance, compliance, and security are non-negotiable, AI in production calls for both a platform and a governed operator. Palantir provides the AI operating layer; Rackspace provides the infrastructure, certified engineers, and managed operations to run that layer where the customer’s mission, data, and obligations live.

“While most regulated enterprises have an AI strategy, they often lack the operating model to put AI into production safely and at scale. This effort by Rackspace closes that gap,” said Gajen Kandiah, Chief Executive Officer of Rackspace Technology. “Rackspace brings the governed infrastructure, the Palantir-certified engineers, the managed operations, and the accountability for outcomes in the environments where our customers actually live. This is deploy and operate, not deploy and leave. This is how organizations with the most demanding requirements move AI into production at scale.”

“Sovereign AI requires more than access to a model. It requires an operating layer that lets enterprises govern data, enforce permissions, route models, audit actions, and deploy capability where the mission lives,” said Alex Karp, Co-Founder and Chief Executive Officer of Palantir Technologies. “This framework brings Palantir Foundry and AIP together with Rackspace’s infrastructure and delivery capabilities for mission-critical environments.”

Since the companies’ initial February 2026 announcement, the partnership has built measurable momentum. Rackspace has scaled to approximately 400 Palantir certifications across sales, engineering, delivery, and operations, including a large global cohort of Palantir-certified forward deployed engineers (FDEs) to serve demand across healthcare, financial services, energy, and mid-market. The first joint deployment closed in <2 months with Rackspace FDEs deploying AI-enabled workflows on Palantir Foundry inside a U.S.-based solar tracking manufacturer to deliver a 94% reduction in their quote cycle time.

Rackspace is also committing to deploy Foundry and AIP across more than 70% of its own back-office operations under the Rackspace OneOS program. In doing so, Rackspace runs its own business on the same governed stack it operates for customers, retaining full control of its data and models rather than ceding them to a third party.

Under the framework, Rackspace serves as a preferred operator for on-premise, private cloud, and sovereign Palantir deployments across critical infrastructure in both the public and private sectors, and for enterprises that demand the same control governments require – with Palantir Foundry and AIP as the data + AI platform layer of the governed enterprise AI stack that Rackspace has been assembling throughout 2026. The two companies will work together to acquire and serve customers in healthcare, financial services, energy, private equity, and the mid-market. The collaboration also aims to stand up large-scale private cloud and sovereign deployments, where Rackspace and Palantir FDEs work side by side inside customer environments. Across these motions, Rackspace will provide the governed infrastructure, certified forward-deployed engineers, and managed operations that take Palantir Foundry and AIP into production. The result is a new category of partnership and operating model delivered by Rackspace designed for regulated enterprises to deploy AI in production.

 

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