Executives at This Tech Company Are Praising DOGE for Its Cost-Saving Efforts — Are They Right?
Written by
Chris Adam
Edited by
Amber Barkley
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The reviews are mixed from business executives when it comes to the work of the Department of Government Efficiency (DOGE). As of May 12, 2025, the DOGE website estimates the department has cut spending in the federal government by $170 billion.
Under Musk, DOGE has made cuts in DEI contracts and the federal workforce. While some business leaders are praising the efforts, others are skeptical of how the moves by DOGE will impact the United States.
Praising the Work of DOGE
After a strong earnings report, executives at Palantir, an artificial intelligence and defense technologies company and defense contractor, praised DOGE for the cost-saving efforts. According to Palantir executives, DOGE has been doing a good job of cutting costs and unnecessary spending for the federal government.
As noted by Fortune, leaders at defense-tech startups such as Palantir have been pushing for an overhaul of the Pentagon’s procurement process. They’ve claimed that the process favors established contractors with weaker products.
Questioning the Work of DOGE
Not all business leaders offer the same praise for the work done by DOGE. Andrew Lokenauth, a business and finance expert who’s spent years analyzing technology companies, said Palantir’s take on DOGE is a mixed bag.
“I’ve seen firsthand how bloated projects can suffocate innovation,” Lokenauth said. “From my experience, there’s definitely waste that needs addressing. The thing is, DOGE might be a sledgehammer when we need a scalpel.”
Lokenauth said he sees parallels between the cuts by DOGE and the technology reforms of the 1990s. He said those reforms were meant to bring massive savings, but ended up just reshuffling the deck in many ways.
He added that DOGE might deliver some needed changes, but the department’s efforts could cause unintended problems amid some of the massive cuts.
“From where I stand, after implementing numerous government tech solutions, the truth lies somewhere in the middle,” he said. “DOGE isn’t wrong about needing reform — but Palantir’s cheerleading feels more opportunistic than revolutionary. And trust me, I’ve seen enough ‘revolutionary’ tech initiatives to know the difference.”
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Sources
- Fortune, “Defense contractor Palantir says a ‘massive cultural shift in the U.S.’ has justified 20 years of thankless toil. ‘We were the freak show … and we spent 20 years for this moment’.”
- Andrew Lokenauth
