u/T1misk

TL;DR: The Spanish government has quietly decided to block the use of Palantir in new critical state systems and strategic public companies, despite the firm already having contracts with parts of the Spanish administration and defence establishment. The move is an internal political and procurement directive discouraging ministries and state-owned companies from relying on the American company's technology for sensitive infrastructure.

The rationale is a combination of:

Strategic autonomy concerns: Spain does not want core state capabilities to depend on a US company that is deeply intertwined with US intelligence and defence agencies.

Data sovereignty and security risks: There are concerns over where sensitive government data resides and who could potentially access it.

Geopolitical considerations: Palantir has become politically controversial because of its close links to US national security institutions and its involvement with the Israeli government and military.

Vendor lock-in fears: Once these platforms become embedded in critical systems, replacing them becomes extremely expensive and operationally difficult, something Spain is already experiencing with other strategic technology providers.