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that's 'too big to save'
Story by tmohamed@businessinsider.com (Theron Mohamed)
Jan 21 • 3 min read • Updated 12h ago
Michael Burry Jim Spellman/WireImage © Jim Spellman/WireImage
Michael Burry says AI is a bubble so big that it will tank the market and economy when it pops.
The "Big Short" investor said the government will try to help, but "the problem is too big to save."
Burry was responding to a post on X about the challenges facing ChatGPT-maker OpenAI.
Michael Burry says the AI boom is a bubble of epic proportions, and there's no way to stop it from popping and taking down the stock market and economy with it.
"The government will pull out all the stops to save the AI bubble to save the market to save the economy," Burry wrote on X late Tuesday. "The problem is too big to save."
The investor of "The Big Short" fame issued the dire warning in response to a post by George Noble, a former hedge fund manager and ex-assistant to famed investor Peter Lynch at Fidelity.
Noble wrote that "OPENAI IS FALLING APART IN REAL TIME." He pointed to the ChatGPT maker's raft of challenges, including fierce competition from Google's Gemini 3 and other AI models, soaring costs, widening losses, and Elon Musk's lawsuit against it.
"This is not surprising and will not end with OpenAI," Burry responded on X. The vast sums "being spent and lent by the richest companies on Earth will not buy enough time-by the very definition of mania."