April 24 - Alphabet (NASDAQ:GOOG) and Palantir Technologies (NASDAQ:PLTR) are teaming up to give the U.S. government a major AI upgrade. The two tech firms are integrating Google Cloud into Palantir's FedStart platform to help federal agencies roll out advanced artificial intelligence tools more quickly and securely.

FedStart is Palantir's way of making it easier for government departments to adopt private-sector software, without getting bogged down in red tape. By bringing in Google Cloud, the platform now has more muscle behind it, combining robust infrastructure with strict compliance features.

One standout element of the collaboration is the integration of Claude, the AI model from Anthropic, which will run on Google Cloud. It's designed to tackle large-scale government work like crunching complex data and solving strategic problems.

The timing's interesting, Alphabet is set to report its Q1 earnings today. Wall Street is looking for earnings per share of $2 and revenue of $89.18 billion, both showing solid growth from last year.

Investors liked the news. Palantir's stock jumped 7%, and Alphabet rose about 3% in Wednesday's trading.