Palantir and Fannie Mae are teaming up for an effort to uncover mortgage fraud.
Fannie says the partnership will deploy Palantir’s AI tools to detect suspicious activity.
Shares of both Palantir and Fannie Mae have rallied sharply since Trump’s election win.
Palantir and Fannie Mae, two firms that have been at the heart of the Trump trade, are teaming up for a push to root out fraud in the mortgage market.
The government-sponsored mortgage finance giant announced on Wednesday that it would use artificial intelligence tools developed by Palantir in its newly created Crime Detection Unit.
“This foundation will power Fannie Mae’s Crime Detection Unit, a new platform that the company believes will help detect and prevent mortgage fraud with speed and precision never before seen in the U.S. housing market,” Fannie said in a statement.
“This partnership with Fannie Mae will set off a revolution in how we combat mortgage fraud in this country. We are bringing the fight directly to anyone who attempts to defraud our mortgage system and exploit hardworking Americans,” Alex Karp, co-founder and CEO of Palantir, said.
The team-up is the latest win for Palantir, which has been inking more contracts with the federal government since Trump entered the White House.
The AI software company is reportedly helping the Internal Revenue Service with a huge data project, Wired wrote in April. The tech firm is also working with US Immigration and Customs Enforcement on a visa-tracking program, with ICE paying $30 million for the company’s software tools.
Palantir stock is up 62% year-to-date and has gained almost 150% since the November election.
Meanwhile, shares of Fannie Mae have soared on the possibility that the Trump administration will release it and fellow mortgage giant Freddie Mac from government control.
The two companies were taken over in the aftermath of the 2008 housing crisis as the government feared their potential insolvency could further rock the economy. Their profits have been collected by the US Treasury since. Fannie Mae stock is up almost 200% in 2025.
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