Burry Flags Etched as Nvidia's New Threat

Michael Burry, a prominent investor known for his bearish views on Nvidia, has identified Etched as a serious competitor to the AI chip giant.

Etched, founded in 2022 by three 24-year-old Harvard dropouts, has raised nearly $2 billion from investors and values itself at $21 billion. In comparison, it took Etched only 44 days after getting its test chips back from Taiwan Semiconductor Manufacturing to run inference workloads, a process that usually takes six months or more.

Burry highlighted the company's aggressive recruitment of Nvidia talent, including Brian Loiler, a 23-year veteran who brought around a dozen engineers with him. This has fueled concerns about an 'AI bubble' and overvaluation in chip stocks, particularly Nvidia's.