Palantir CEO Alex Karp in a recent interview promoting his new book The Technological Republic: Hard Power, Soft Belief and the Future of the West, Karp delivered a stark message: everything you learned in college about how the world works is "intellectually incorrect"—and the AI revolution is about to make that painfully obvious.
The Software-Defined World Has Arrived
"Three, four years ago, institutions basically thought 'I'd rather have a good steak dinner and a bad product,'" Karp explained. "Now we are in a software-defined world."
This isn't just another tech trend. According to Karp, we're witnessing a fundamental shift where the nation that leads in software—the USA—will define the future. And unlike previous cycles, there's no pendulum swing coming back.
AI Is Breaking the Pendulum
Karp's most provocative claim? That AI is "breaking the pendulum" that institutions have relied on for decades.
"If you look at institutions that are failing—universities, the UN, the Democratic Party—they'll tell you there's going to be a pendulum swing back," he said. "But the technical revolution now is so great. You got to get on the train because that train is leaving."
He's particularly pointed about Europe: "I spend half my life in Germany. Smart Germans are like, 'Okay, we're having a bad time. We're going to have a good time.' But what they're not understanding is the technical revolution now is so great... there is not going to be a swing back."
The Crisis of Institutional Legitimacy
At the heart of Karp's argument is a crisis of legitimacy. He contrasts today's institutions with the 1950s, when economist Ken Arrow's endorsement could secure someone tenure because "people knew Ken Arrow is smart. The institution he represents is the best in the world."
Today? "Honestly, the only thing like that currently in tech is a Palantir degree," Karp claims. "If you work for Palantir, everyone knows you're good."
His diagnosis: universities have been infiltrated by what he calls a "pagan religion" that teaches "everything that's good about America, everything that actually works, that is ipso facto bad."
Judge Them By the Fruits They Bear
Karp's challenge to critics is simple and brutal: "Show me any institution that you've created. Any institution. And I want to see that institution where the inputs are less than the outputs."
It could be "an intellectual project, a road, a skyscraper, a weapon system"—anything that actually works. His point: those who reject Western values and institutions can't point to functioning alternatives.
What This Means for Institutions
In Karp's view, the software revolution demands that institutions "actually live up to their core mandate":Countries have to have borders
Educational institutions have to work
The military actually has to be scary
Outputs must be greater than inputs
"People who ignore this are going to be washed away," he warned.
A Message to Builders—and to Those Left Behind
Karp's message splits in two directions:
To builders: "We have a responsibility. We have to be dedicated to our nation."
To skeptics: "University intellectuals, United Nations dedicated to undermining America... you're being left behind. And by the way, I'm happy you're being left behind. But just know if you get left behind, do not cry that you're not part of the dialog."
The Bottom Line
Whether you agree with Karp's politics or not, his central thesis is hard to ignore: AI and software are creating a discontinuity that won't reverse. Institutions that can't deliver results—that can't show outputs greater than inputs—will become irrelevant.
The train is leaving the station. The only question is whether you're on it.
Alex Karp's book "The Technological Republic: Hard Power, Soft Belief and the Future of the West" is available now.