Australian supermarket giant Coles has inked a significant deal with the American data intelligence firm Palantir, raising eyebrows and concerns among experts.
Palantir, known for providing high-level analytical technology to governmental agencies such as the CIA and the Pentagon, will now extend its reach into the retail sector, potentially reshaping Coles’ operations drastically.
The partnership aims to introduce Palantir’s advanced data analytics platform, Foundry, into Coles’ extensive network.
Foundry will ingest an impressive 10 billion rows of data, offering profound insights into every aspect of Coles’ operations, from its 840 supermarkets to its 120,000 employees, 9,000 suppliers, and $41 billion in revenue.
While Coles anticipates leveraging this technology to enhance efficiency and streamline operations, experts caution that such a move could come at a significant cost.
Luke Munn, a research fellow specialising in digital cultures and societies at The University of Queensland, expressed concern about the deal. Munn warned that Palantir’s technology, he believes, will gradually integrate into the background,
exerting a significant but imperceptible influence on the lives and jobs of both Australian supermarket employees and customers.
In an analysis for The Conversation, Munn stated, “By placing Palantir at the heart of its operations, Coles quietly smuggles in several key assumptions – that food is a commodity to be optimised, paying for labour is a risk rather than a responsibility, and data can capture everything of importance.”
Professor Uri Gal from The University of Sydney’s Business School remarked that the way the partnership is presented raises questions about Coles’ perception of its workforce.
He highlighted various implications, such as whether Coles regards its employees as fully-fledged individuals with their own needs and interests, or primarily as numbered resources to maximise value extraction from.
Though perhaps not widely recognised in Australia, Palantir has garnered attention in the US and Europe due to its involvement with military and intelligence agencies, often resulting in controversial headlines.
“This company has had a chequered past, one could say,” remarked Professor Gal. “Their technology has been utilised in various ways, some of which raise ethical concerns.”
Founded in 2003 in Silicon Valley with financial backing reportedly from the Central Intelligence Agency, the company expanded to become a leading provider of data analysis services.
Its clientele includes renowned brands such as BP, Airbus, and Amazon, alongside various government entities ranging from the Department of Homeland Security to the Israeli Defence Forces.
Palantir’s significant contracts encompass collaborations with government bodies, including a major project with the Pentagon known as Project Maven, aimed at developing AI technology for unmanned weaponised drones.
