Business 75% 1 min readJul 7, 2026, 1:31 PM

David Sacks Says Palantir's Alex Karp Was 'Exactly Right' to Warn Enterprises Against Feeding Data to OpenAI and Anthropic— the Figma Story Shows Why - Yahoo Finance

30-second summary

David Sacks endorses Palantir CEO Alex Karp's stance against enterprises feeding sensitive data to OpenAI and Anthropic, citing Figma's recent AI breach as a cautionary tale.

Key takeaways
  • David Sacks publicly endorsed Palantir CEO Alex Karp's warning against feeding enterprise data to AI providers like OpenAI and Anthropic.
  • The Figma AI breach in early 2025 exposed proprietary design data, highlighting risks of data sharing with external AI systems.
  • Karp's stance emphasizes data control and privacy, arguing that enterprises should avoid outsourcing sensitive data to AI providers.
  • The incident has reignited debates about the balance between AI adoption and data security in enterprise environments.
Full story

David Sacks, co-founder of Craft Ventures and a prominent Silicon Valley investor, has publicly backed Palantir CEO Alex Karp's controversial stance against enterprises feeding sensitive data to AI providers such as OpenAI and Anthropic. Sacks argues that Karp's warnings were ahead of their time, particularly in light of recent incidents like the Figma AI breach, where proprietary design data was inadvertently exposed through AI tooling.

The Figma incident, which occurred in early 2025, involved employees using an AI feature that inadvertently shared internal design files with third-party AI models. This raised immediate concerns about data privacy, intellectual property protection, and the risks of relying on external AI systems for sensitive enterprise workflows. Sacks' endorsement amplifies Karp's position, which has been a recurring theme in Palantir's messaging to corporate clients.

Karp has long argued that enterprises must retain control over their data when leveraging AI, warning that outsourcing data to AI providers could lead to unintended leaks, compliance violations, and competitive disadvantages. His stance has been met with both support and skepticism, but the Figma incident has provided a real-world case study that underscores the validity of his concerns.

Source: David Sacks Says Palantir's Alex Karp Was 'Exactly Right' to Warn Enterprises Against Feeding Data to OpenAI and Anthropic— the Figma Story Shows Why - Yahoo Finance. Read the full piece at the source.

Why this matters
Businesses

Highlights critical risks of data leaks when using third-party AI tools, prompting reevaluation of AI adoption strategies.

Investors

Raises questions about the long-term viability of AI-driven productivity tools that rely on external data processing.

Everyone

Underscores the importance of data privacy in the age of AI adoption.

Glossary
AI breach
An incident where sensitive or proprietary data is inadvertently exposed through the use of AI tools or systems.
Sources · 1
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