Michael Burry goes short on $PLTR and $NVDA in his latest 13F filing

He's drawing some questionable conclusions regarding CAPEX investment. There are clear differences between the dot com era and what we are seeing today. And while his mind map is not wrong, it still doesn't equal a problem. If AI increases productivity, then value is still created.

I think that depends on what companies do with the productivity gains. Increased efficiency doesn’t automatically trigger a race to the bottom — that’s a business strategy question, not a law of economics.

Firms can take those savings and choose to maintain prices (and expand margins), reinvest in innovation, or build new revenue streams. Only in highly commoditized markets do productivity gains reliably translate into price wars.

Companies like Nvidia or Palantir aren’t selling interchangeable widgets — they have ecosystems, switching costs, and intellectual property that give them pricing power. In that context, higher productivity can actually strengthen profitability, not erode it.

So while price competition is one possible outcome, it’s hardly inevitable. It really comes down to management decisions and market structure, not productivity alone.

Didn’t Burry take a big L earlier this year?

That’s cool but some people try to win in the market instead of just existing

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The Big Short is feeling bearish on AI

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the Big Short is feeling bearish about the global, macro economy…. and rightfully so

When has that guy ever been bullish though? In the past 5 years I feel like he’s constantly been trying to find the next short on AI

I want people to earn as much as they can.

I don’t stress over market swings. things go on sale…..

Is it too early to ping this post back to the front page?

The market is sometimes irrational and is impossible to predict. I still stand by my statements regarding AI and the dot com era.

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There are clear differences between the dot com era and what we are seeing today.

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dot com stocks were essentially the first meme stocks. In most cases it was obvious there was nothing there at the time. Quantum computing is a better analog.