Add on top of that it's being done by a company named after a mass surveillance device used for evil in a fantasy story.
And on top of that it's being done by a Thiel company. Thiel, who is nearly a perfect personification of evil: he has made very explicit candid public statements on how he opposes the idea of democracy itself, he does not think women should have the right to vote.
And on top of that it was being done without the knowledge or consent of nearly anyone in the city.
And finally, the justice system presumes innocence. The Palantir system does the opposite -- it makes wild, arbitrary untrackable inferences that suggest guilt for people without any real evidence. It is quite literally nothing more than a very thin shield police can use to justify harassing and intimidating the "kind of people who tend to be criminals", which in this case is not that at all -- it is "the kind of people who tend to get caught and prosecuted for crimes" i.e. only violent or drug crimes (except drugs white people use), only poor criminals, only minority criminals.
Where's the massive computer analysis system that looks for wage theft committed by employers? This is after all how the vast majority of wealth is stolen in the US, citizens could recover billions of their own money if it were stopped. Where's the computer system working with law enforcement to automatically detect any insider trading? Why don't we monitor the behavior of people in finance to detect cocaine use and then send in the SWAT teams? What about a computer system that detects bad prosecutors?