Micheal Burry’s been right once, with Palantir and others will he be right again?
Michael Burry’s reputation still hangs on a single, legendary bet against subprime mortgages from nearly twenty years ago. It was a brilliant, researched move—but in the years since, he’s developed a habit of predicting crashes that never quite arrive. Now, he’s set his sights on the AI race, claiming Palantir is worth less than $50 and betting that the “hyperscalers” are cooking the books.
Burry’s “Big Short” 2.0 hinges on a technicality: amortisation. He claims tech giants are “cheating” by spreading the cost of AI chips over 5 or 6 years instead of 3, artificially inflating their profits. He’s essentially praying for a market meltdown to prove him right and collect on his puts.
Crawford’s rebuttal is simple: A chip doesn’t die just because a newer model comes out. While Burry screams “shenanigans,” Crawford notes that many of these chips provide high-level compute for 8 years or more. They might start by training the world’s biggest AI models, but they spend the rest of their lives efficiently handling “inference” and cloud tasks.
The Bottom Line: Burry is treating cutting-edge tech like a carton of milk with a short expiry date. Crawford sees it for what it is: a long-term utility. If a crash happens, Palantir might dip below $50 along with everything else—but it won’t be because Burry “found the fraud.” It’ll just be a market cycle. Between the two, Crawford’s view that “the chips are working just fine” feels a lot more grounded than Burry’s desperate search for another 2008.
c Share Investor 2026
*Using google Gemini 3 to tidy up the sentence structure and spelling.
