AI Doubts Grow as Investor and Actor Team Up
Michael Burry, known for his bold investment moves, has joined actor Ben Affleck in questioning the reliability of AI. Both figures have raised concerns about the technology's limitations and potential pitfalls.
AI's Limitations and Potential Pitfalls
Burry recently shared a clip from the Joe Rogan Experience podcast, where Affleck criticized large language models like ChatGPT, Claude, and Gemini. Affleck argued that these models are designed to reflect the average, making them incapable of replacing genuine human creativity.
"AI has some useful applications but doubted it could ever produce truly meaningful writing or generate entire films independently."
Affleck also questioned the economics of AI models, noting that performance gains are slowing while costs are rising. He concluded that AI will remain a tool rather than a replacement for artists, stating that it will be good at filling in expensive and burdensome tasks but will ultimately rely on human artistic aspects.
Burry's Warnings on AI Bubble Burst
Burry has been vocal about his concerns regarding an impending AI bubble burst. He has criticized tech giants like Microsoft and Alphabet for their heavy investments in AI infrastructure, which he believes will soon become obsolete.
- Bets against NVIDIA, calling it dangerously reliant on AI infrastructure.
- Accused leading AI companies of suspicious revenue recognition and understating depreciation.
- Referenced circular funding loops between companies as a picture of fraud.
AI Investments: Risks and Uncertainties
The Roundhill Generative AI & Technology ETF has seen significant gains, up 41.36% in 2025 and 139.89% over the past five years. However, Burry's warnings highlight the potential risks and uncertainties surrounding AI investments.
