Burry Exposes AI Safety Rhetoric as Market Maneuver

Michael Burry, a prominent investor known for predicting the 2008 financial crisis, has challenged the recent calls for AI safety restrictions. He views this as an attempt to slow down competition and boost market leaders' positions rather than genuine concerns about artificial intelligence.

Burry argues that current large language models are not true AI and pose no threat of achieving artificial general intelligence (AGI). This, he claims, means there is no need for a slowdown. He also suggests that the calls for caution are being used as marketing tactics to boost market value.

The investor points out that OpenAI's Sam Altman has removed 2026 from their IPO timeline and that Anthropic, another AI company, is preparing for an autumn public offering despite not anticipating profitability until 2028. This, Burry claims, is an attempt to mask declining growth rates and delay equity offerings.

Ben Cowen, a cryptocurrency expert, warns that a large Anthropic IPO could divert investment capital away from Bitcoin. Burry himself has a financial stake in the outcome, having increased his Nvidia short position last August while purchasing December call options as protection.