‘We’re actually an intelligence organization now’: Inside USA Today’s AI-fueled Palantir deal

In August, the nation's largest newspaper chain, USA Today Co., announced a deal with Palantir, framing it as a necessary step for modernization. Despite generating $1.1 billion in annual print revenue, USA Today faces circulation declines and shifting digital habits. CEO Mike Reed unveiled an AI-fueled vision at a Palantir conference, aiming to consolidate reader data and personalize newsletters, target affiliate links, and improve content discovery.

Reed described a continuous feedback loop based on reader behavior, likening the company to an "intelligence organization" due to the data they possess on consumers.

However, the unionized journalists, representing 31 newsrooms, revolted after learning about the deal. In a joint letter, they called for the contract's termination, citing Palantir's work with U.S. Immigration and Customs Enforcement as a conflict for reporters covering immigration enforcement and protests. They also raised concerns about reader data and public trust.

Mike Davis, an investigative reporter at the Asbury Park Press, emphasized that the skepticism stems from years of cuts and repeated layoffs, which resulted in halving the workforce by 2024.

Reed defended the partnership, stating that Palantir's software works only with anonymous data and has no access to newsroom systems or subscriber records. He assured that AI tools can make the newsroom and business more productive and profitable, potentially allowing the company to hire more journalists. Despite the backlash, USA Today remains one of several media organizations partnering with Palantir, facing scrutiny over surveillance, and AI's impact on journalism.