The American Association of University Professors publicly raised alarms after reporting that Palantir, a data-mining and AI contractor with ties to defense and immigration agencies, was involved with the Education Department’s foreign funding portal. AAUP officials said the discovery—first noted by FedScoop—raises concerns about surveillance of higher‑education institutions and demands clarity on the company’s contract terms and compensation. The portal, foreignfundinghighered.gov, helps institutions report foreign gifts and contracts under Section 117 of the Higher Education Act. The Education Department said Palantir served as a subcontractor to Monkton and that the portal has been upgraded following feedback from colleges. AAUP President Todd Wolfson demanded disclosure of the contract’s scope and cost. The dispute spotlights tensions over data governance, institutional privacy and the use of private-sector AI tools in federal monitoring of higher education. University leaders should seek transparency around how sensitive institutional data are stored, analyzed and shared.