TLDR
- GE Aerospace and Palantir Technologies have broadened their military aviation collaboration with a multi-year agreement
- The expanded partnership focuses on improving military aircraft availability for the U.S. Air Force through AI-driven solutions
- Initial collaboration began in early 2024, concentrating on the J85 engine powering the T-38 trainer aircraft
- Palantir’s AI Platform now operates throughout GE Aerospace’s production ecosystem, spanning MRO, supply chain management, and engine manufacturing
- Wall Street analysts remain optimistic, with Bernstein targeting $405 and Morgan Stanley setting a $425 price objective for GE stock
GE Aerospace (GE) and Palantir Technologies (PLTR) have broadened their collaboration, deploying artificial intelligence technology throughout U.S. military aviation operations. The expanded agreement focuses on maximizing aircraft availability while eliminating manual processes that create operational delays.
The partnership originated in early 2024 with a pilot program centered on the J85 engine that powers the Air Force’s T-38 trainer aircraft. This initial phase delivered improved visibility into component requirements and supply availability for both GE Aerospace and military operators.
The collaboration has since expanded significantly. Palantir’s Artificial Intelligence Platform currently operates throughout key supply chain operations at GE Aerospace—addressing fulfillment processes, sourcing decisions, allocation strategies, maintenance workflows, repair operations, and customer support functions.
The partnership aims to anticipate component failures before they occur, eliminate supply chain bottlenecks, and establish real-time communication channels between operational teams and suppliers.
“By integrating data across the enterprise and applying AI to predict demand and identify constraints earlier, our collaboration with Palantir is helping our customers keep more aircraft available so airmen get the training required to execute on their mission,” said Amy Gowder, president and CEO of Defense and Systems at GE Aerospace.
Mike Gallagher, Head of Defense at Palantir, echoed that, saying the focus is on unifying data to maintain aircraft availability and pilot training.
The enhanced partnership now encompasses GE Aerospace’s complete production infrastructure—sustainment programs, MRO facilities, and new engine manufacturing operations all fall within the agreement’s scope.
GE Aerospace oversees approximately 50,000 commercial aircraft engines and 30,000 military powerplants globally, supported by a workforce of around 57,000 employees. This extensive operational footprint creates substantial opportunities for data-driven optimization.
AI Takes Over the Repetitive Stuff
A primary objective of the Palantir platform involves enabling GE’s personnel to concentrate on complex decision-making. AI agents manage routine, repetitive activities—the operational tasks that consume resources and extend response times.
This represents a fundamental transformation in defense manufacturing operations, moving beyond simple technology demonstrations.
Analyst Sentiment Remains Positive
GE Aerospace has attracted considerable Wall Street attention extending beyond this partnership announcement. Bernstein SocGen Group established a $405 price target on GE with an Outperform rating, highlighting anticipated expansion in widebody services and engine maintenance activity.
Morgan Stanley launched coverage with an Overweight rating and a $425 price target, emphasizing GE’s strategic position within aerospace and defense markets.
The company also announced a quarterly dividend of $0.47 per share, scheduled for distribution in April 2026.
In a separate development, GE Aerospace obtained a $12.4 million contract with Kratos Defense & Security Solutions to develop an engine for the U.S. Air Force.
The company also plans to invest up to $300 million in Singapore over the next five years, focused on engine repair capabilities using advanced automation and AI—backed by the Singapore Economic Development Board.
