Palantir CTO Shyam Sankar is pushing back against the idea that artificial intelligence threatens the American workforce. Instead, he argues that the technology acts as a tool to increase output and drive wages for domestic manufacturing.

Sankar pointed to a submarine parts manufacturer as a concrete example of this progress. By using AI to streamline production planning, the company reduced a two-week task to less than an hour. This efficiency allowed the business to hire a third shift to meet demand. He notes that the workers involved do not attribute their employment to AI, yet the technology directly enabled the expansion of their operations.

During discussions at the recent American Builder Summit, Sankar warned that unjustified fears regarding data center infrastructure and regulation pose the biggest risk to U.S. prosperity. He suggests that China already treats AI as a pillar of industrial policy, while the U.S. remains focused on theoretical concerns.

Ultimately, Sankar believes the path forward requires a shift in how we talk about automation. Rather than viewing software as a replacement for labor, he maintains that American workers paired with AI are the key to eroding the current competitive advantage held by foreign manufacturing. The goal for American industry is tangible economic growth.