Veytics Intelligence
2026-09-28 · CNBC

Michael Burry believes the AI bubble 'may burst' sooner than he first believed

Michael Burry is moving up the timeline for his bearish thesis on the fate of the artificial intelligence boom. The investor, famous for his big short on the U.S. housing market prior to the global financial crisis of 2007 – 2009, is switching to put options from short positions on key AI stocks, giving him more cost-effective leverage over a shorter time horizon, he said. "Fundamentally, I am moving timelines up," Burry wrote in his Monday investment newsletter. "As such, I want more leverage in my short positions. Better timelines make leverage more palatable. Nothing says leverage like options, in this case put options, which are relatively cheap due to exceptionally tight volatility measures such as the VIX.

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