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Terror Networks
How a Team of Geeks Became Terrorist Hunters
2009-09-05
Much more at the link.
From a Silicon Valley office strewn with bean-bag chairs, a group of twenty-something software engineers is building an unlikely following of terrorist hunters at U.S. spy agencies.

Palantir Technologies has designed what many intelligence analysts say is the most effective tool to date to investigate terrorist networks. The software's main advance is a user-friendly search tool that can scan multiple data sources at once, something previous search tools couldn't do. That means an analyst who is following a tip about a planned terror attack, for example, can more quickly and easily unearth connections among suspects, money transfers, phone calls and previous attacks around the globe.

Palantir's software has helped root out terrorist financing networks, revealed new trends in roadside bomb attacks, and uncovered details of Syrian suicide bombing networks in Iraq, according to current and former U.S. officials familiar with the events. It has also foiled a Pakistani suicide bombing plot on Western targets and discovered a spy infiltration of an allied government. It is now being used by the Central Intelligence Agency, the Pentagon and the Federal Bureau of Investigation.

Yet Palantir -- which takes its name from the "seeing stones" in the "Lord of the Rings" series -- remains an outlier among government security contractors. It rejected advice to hire retired generals to curry favor with the agencies and hired young government analysts frustrated by working with slow-footed technology. The company's founders knew little about intelligence gathering when they started out. Instead, they went on a fact-finding mission, working with analysts to build the product from scratch.

"We were very naive. We just thought this was a cool idea," says Palantir's 41-year-old chief executive Alexander Karp, whose usual dress is a track-suit jacket, blue jeans, and red leather sneakers.

Technology like Palantir's is increasingly important to spies confronting an information explosion, where terrorists can hide communications in vast data streams on the Internet. Intelligence agencies are struggling to identify and monitor such information -- and quickly send relevant data to the analysts who need it. U.S. officials say the software is also crucial as the country steps up its offensive in difficult theaters like Afghanistan. There, Palantir's software is now being used to analyze constantly shifting tribal dynamics and distinguish potential allies from enemies, according to current and former counterterrorism officials familiar with the work.

Palantir's roots date back to 2000, when Mr. Karp returned to the U.S. after living for years in Frankfurt, where he earned his doctorate in German social philosophy and discovered a talent for investing. He reconnected with a buddy from Stanford Law School, Peter Thiel, the billionaire founder of online payment company PayPal.

In 2003, Mr. Thiel pitched an idea to Mr. Karp: Could they build software that would uncover terror networks using the approach PayPal had devised to fight Russian cybercriminals?

PayPal's software could make connections between fraudulent payments that on the surface seemed unrelated. By following such leads, PayPal was able to identify suspect customers and uncover cybercrime networks. The company saw a tenfold decrease in fraud losses after it launched the software, while many competitors struggled to beat back cheaters.

Analysts at West Point recently used Palantir's software to map evidence of Syrian suicide-bombing networks buried within nearly 700 al Qaeda documents, including hundreds of personnel records that the military recovered in Iraq. The analysts did an initial sweep of the data without the Palantir tool and assembled a report on foreign fighters in Iraq who were paying Syrian middlemen to send over suicide bombers.

A second analysis with Palantir uncovered more details of the Syrian networks, including profiles of their top coordinators, which led analysts to conclude there wasn't one Syrian network, but many. Analysts identified key facilitators, how much they charged people who wanted to become suicide bombers, and where many of the fighters came from. Fighters from Saudi Arabia, for example, paid the most -- $1,088 -- for the opportunity to become suicide bombers.

The company expects to turn a profit on its government work this year -- it recently started working with financial companies, but says it is too early to see any profits from that yet -- and for revenues to reach $100 million within the next two years. Palantir also maintains a pro-bono roster. It examined the cyber attacks on the central Asian country of Georgia last year, and earlier this year helped Canadian researchers uncover a cyberspying operation on the Dalai Lama. The company is now working with a nonprofit investigative group in Washington to resolve open questions in the 2002 murder of The Wall Street Journal reporter Daniel Pearl.

In 2007, Mr. Karp hired his first intelligence-agency alum, David Worn, to open a Washington office. Mr. Worn says he was among the younger agency analysts who felt trapped in an outdated system.
Posted by:

#3  "Palantir's software has helped root out terrorist financing networks, revealed new trends in roadside bomb attacks, and uncovered details..."

Yes, but can it telephone explosive-laden rectums to cause premature detonation?
Posted by: USN, Ret.   2009-09-05 22:20  

#2  The Wall Street Journal thought it important enough to run on the front page yesterday, Lumpy Elmoluck5091.
Posted by: trailing wife   2009-09-05 14:11  

#1  Wow!!! Besides the WoT, the cartels and organized crime can be rolled up in short order. They might even catch the political crooks and trace the contributions and track the stimulus. The potential is incredible--no wonder he has met with a stony reception from the competitors and those maintaining "a wall of separation" between databases--there will be no where to hide anymore.
Posted by: Lumpy Elmoluck5091   2009-09-05 12:02  

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