Shares in data analytics firm Palantir Technologies are falling in midday trading, a blip in what has otherwise been a month of strong share price gains, after the company won a contract with the UK’s National Health Service to build a data platform.
The announcement of the seven-year, $414 million contract had been expected for weeks, with Palantir widely favoured despite concerns from citizens, advocacy groups and doctors about the opacity of the procurement process and the privacy of patient data.
“Palantir is not and has never been in the business of collecting, mining, or selling data,” the company said in a blog post announcing the award.
Other technology and data companies will share the revenue from the contract.
Palantir shares fall 5.6%, but are still up 215% for the year. The stock has been on a tear since May, after the company unveiled its artificial intelligence platform for the military and enterprise.