there's prototypical government subsidy and research through universities and then slowly out to private sector, and then there's direct capital injection for start-up from "private" venture capital firm run by the CIA.
To suggest that Palantir systems are not used in all kinds of defense, law enforcement, and counter-terrorism operations is to deny reality. Lessig, being of such stature in his field, surely knows who they are and what they do. Why he mentions them by name not only in the Moyers interview but also in an article one can only speculate. Via twitter he says he plugs "ideas, not companies" but didn't address if he knew what other business Palantir gets up to.
Can anybody show evidence of the "audit trail" Palantir uses to ensure citizens know what's being done with their data by NCTC, FBI and others?