Palazzi was born in Nuoro, Sardinia. In 1926 he exhibited a large oil painting in Padua at the Fourth International Art Exhibition 'Le Tre Venezie' and in 1928 he was invited to the XVI Venice Biennale. In 1929 he moved to Milan. On the continent, Palazzi soon became the perfect interpreter of a carefree and sophisticated joy of living, magnified above all in the depiction of women, her face and her naked and clothed body. A was a cultured traveller, in contact with the liveliest intellectual circles of Italy and Europe (where he often exhibited) but with an uninterrupted bond with Sardinia. Palazzi is perhaps the only one, among his fellow Sardinian artists, to explicitly show the modern, inspired by Matisse, taste for art understood as a privileged access route to pleasure, a peaceful and fantastic digression, far from the worries of the world. Palazzi has participated in numerous editions of the Venice Biennale and other exhibitions in Italy and Europe. In 1956 at the Paris exhibition he exhibited most of his paintings of Sardinian subjects, achieving great success. In 1959 he won the Bagutta Spotorno prize ex aequo with Giuseppe Migneco; in the same year he also took part in the first Regional Exhibition of Figurative Arts in Cagliari.