As he explains, Chinese open-source models are significantly cheaper and already appear to be gaining traction in the market. "The Achilles' heel of this entire story is the possibility that something negative happens to Anthropic and OpenAI. Chinese open-source and open-weight models are much cheaper. If they start taking significant market share—and from what I hear, it seems they already are—we could be led into a major price war. And then we have a problem," he noted. Eisman's commentary reinforces the growing debate surrounding the sustainability of massive tech spending and whether these expenses can ultimately be converted into correspondingly high profits. An even more pessimistic stance has been adopted by Michael Burry, the investor made famous by his bet against the housing bubble depicted in the movie The Big Short. Burry has expressed doubts regarding whether current and future demand for artificial intelligence technologies truly stems from end users. Instead, he argues that a significant portion of demand may rely on what he has characterized as circular deals and interconnected transactions. At the same time, Burry has taken investment actions reflecting his bearish outlook. He has established short positions against some of the largest beneficiaries of the AI boom, including Nvidia, while also revealing bearish positions tied to the broader semiconductor sector.
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