A controversial multimillion-dollar deal between New York City’s public hospital system and military contractor Palantir, first reported by The Intercept, is coming to an end, according to recent testimony before the city council.

The Intercept reported in February that the New York City Health and Hospitals Corporation, which operates a network of public health care facilities across the city, had paid Palantir almost $4 million since 2023 for data analysis services. NYCHH says it used Palantir’s software to boost its efficiency in billing Medicaid and other public benefits, which included the automated scanning of patient health notes.

The contract prompted protests from activists and local organizers who objected to the hospital system’s use of software from a company whose technology has facilitated lethal airstrike targeting, wide-reaching surveillance of American citizens, and deportation raids by Immigration and Customs Enforcement agents.

“They should have no place in our hospitals, our pension funds, or our government.”

At a March 16 meeting of the New York City Council, NYC Health + Hospitals CEO Mitchell Katz disclosed that Palantir’s contract will not be renewed come October. Katz defended the health care network’s collaboration with Palantir on the grounds that there was an “absolute firewall” between patient data and the company’s government customers, such as ICE, that would prevent information sharing. “We haven’t had any problems,” Katz said, “And we’re going to end the contract anyway because we always intended it to be a short-term solution.”

According to Katz, data analysis previously conducted with Palantir’s help will be brought in-house following the contract’s expiration.

“Palantir makes money by enabling mass violence in the U.S. and around the world. They should have no place in our hospitals, our pension funds, or our government,” said Kenny Morris, an organizer with the American Friends Service Committee, which shared the contract documents with The Intercept.

“Our campaign against Palantir doesn’t stop in NYC,” Morris said. “We will continue to isolate this company and limit its destructive influence on our lives. In this city and around the world, communities are organizing to push more and more corporate clients, institutions, and politicians to cut ties with Palantir.”