Investor Michael Burry recently criticized the push for an AI development slowdown, labeling it as self-serving rhetoric from executives at OpenAI and Anthropic. Burry argues that these companies benefit from claiming their technology is advancing too rapidly, suggesting that such warnings serve as promotional material for upcoming stock market listings.
Burry outlined four main objections to the current narrative. He contends that large language models are not true artificial intelligence and will never reach artificial general intelligence. Furthermore, he suggests that a pause in development protects current market leaders from emerging competition and masks slowing growth as companies prepare for IPOs.
The debate follows an essay by Anthropic CEO Dario Amodei, who urged the industry to pace development and host independent evaluators. OpenAI CEO Sam Altman and Elon Musk supported this call for a slowdown. Altman confirmed that OpenAI will not pursue a public listing in 2026, citing safety concerns as the primary reason for the delay.
Financial projections for these companies remain distant. Anthropic does not anticipate breaking even before 2028, while OpenAI has indicated a target of 2030. Market analysts suggest that a major IPO from Anthropic could impact liquidity in other sectors, including Bitcoin, as investors monitor the potential drain on attention and capital.
Burry maintains a financial interest in the sector, having expanded his short position on Nvidia in August before purchasing December call options as a hedge. Ultimately, the market expects that official S-1 filings will provide the necessary clarity on company valuations and financial health, superseding the current industry discourse.
