Michael Burry Thinks the AI Bubble Will Burst Sooner Than Later, Including Big Drops in Micron and Nebius by Mid-2027

Michael Burry, famous for predicting the 2008 housing crisis, believes the AI bubble will burst sooner than expected. He has repositioned his portfolio with put options on Micron and Nebius expiring in June 2027, betting on stock price drops exceeding 50%. Burry argues that AI revenue may not support the industry's capital expenditures, and a slowdown in spending could hit memory chip makers and data center operators first.