Exclusive: Palantir AI Tools Secretly Used by HHS to Target DEI and “Gender Ideology” Since March

Breaking News — In a stunning revelation that has sent shockwaves through Washington and Silicon Valley, documents obtained by WIRED reveal that the Department of Health and Human Services (HHS) has been quietly deploying Palantir’s powerful AI systems to audit federal grants, job descriptions, and programs for compliance with President Trump’s controversial executive orders targeting “gender ideology” and diversity initiatives.

Since March 2025, Palantir—the data analytics giant known for its work with intelligence agencies and law enforcement—has been operating behind the scenes within HHS’s Administration for Children and Families (ACF), scanning thousands of documents for any mention of diversity, equity, inclusion, or transgender-related content.

The discovery comes as Palantir has already collected over $35 million from HHS contracts this year alone, with none of the payment descriptions publicly acknowledging this politically sensitive work. The company, founded by Trump ally Peter Thiel, has remained completely silent about its involvement in what critics are calling a “digital witch hunt” against progressive policies.

The AI Arsenal: How Palantir and Credal AI Are Scanning America’s Social Safety Net

The surveillance operation employs not just Palantir’s flagship software, but also tools from Credal AI, a startup founded by two former Palantir employees. Together, these AI systems are programmed to flag anything that might violate Executive Order 14151 (“Ending Radical and Wasteful Government DEI Programs”) or Executive Order 14168 (“Defending Women From Gender Ideology Extremism”).

According to internal documents, the AI scans grant applications, job postings, and program descriptions, automatically generating “flags and priorities” for human reviewers. ACF staff then conduct a “final review” of any content the AI marks as potentially non-compliant.

The scope is breathtaking: the AI searches for terms ranging from obvious DEI language like “diversity” and “inclusion” to seemingly innocuous words like “female,” “systemic,” and “underrepresented.” In the medical field, it targets research involving “LGBT,” “transsexual,” or “nonbinary” populations.

The Human Cost: Real-World Consequences of AI-Driven Censorship

The impact of these AI audits has already been devastating across federal agencies. The National Science Foundation began flagging research containing DEI-associated terms for official review. The CDC paused or retracted studies mentioning transgender populations and stopped processing any data related to transgender individuals altogether.

Perhaps most tragically, the Substance Abuse and Mental Health Services Administration removed an LGBTQ youth suicide prevention hotline from the 988 Suicide & Crisis Lifeline—a decision advocates say will cost lives.

Within ACF, which oversees foster care and adoption systems serving vulnerable children, the AI audits are creating what insiders describe as a “chilling effect,” with staff second-guessing every word in grant applications and job descriptions.

The Contractor Connection: Palantir’s Growing Influence in Trump’s Washington

This revelation underscores Palantir’s remarkable ascent during Trump’s second term. The company, which has long cultivated relationships with conservative leaders, now finds itself at the center of the administration’s ideological purge of federal agencies.

The involvement of Credal AI adds another layer to the story. Founded by Palantir alumni, the startup received approximately $750,000 from ACF to provide its “Tech Enterprise Generative Artificial Intelligence Platform,” though like Palantir’s contracts, the true purpose was hidden from public view.

Neither Palantir, Credal AI, HHS, nor ACF responded to WIRED’s requests for comment, leaving many questions unanswered about the extent and future of these AI-driven audits.

The Bigger Picture: AI as a Tool for Political Enforcement

This case represents a watershed moment in the use of artificial intelligence for political purposes. For the first time, we’re seeing AI systems explicitly programmed to enforce ideological compliance, scanning the vast bureaucracy of the federal government for thought crimes.

Privacy advocates and civil liberties groups are sounding the alarm, warning that this could be the beginning of a broader trend where AI becomes the enforcement arm of political agendas, capable of processing exponentially more data than human reviewers ever could.

As one anonymous federal employee told WIRED: “It’s like having a robot censor that never sleeps, never questions orders, and can read every document in the federal government in seconds.”

The revelation raises profound questions about the role of private tech companies in government censorship, the ethics of using AI for ideological enforcement, and the future of free inquiry in an era where algorithms can be programmed to suppress ideas.

With Palantir’s AI now embedded in the heart of America’s social services infrastructure, the line between technology and ideology has never been thinner—and the consequences for those who fall on the wrong side of it have never been clearer.

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