Steve Eisman has raised concerns about the artificial intelligence boom, emphasizing that OpenAI and Anthropic are crucial to the revenue streams of major companies like Microsoft, Amazon, Alphabet's Google, and Oracle, accounting for approximately 70% of their AI-related revenue and 25% to 35% of their cloud revenue.
He warned that the success of these tech giants is essentially tied to the performance of these two AI startups. Eisman also pointed out a potential threat from China, where cheaper open-source AI models are gaining traction and could lead to a price war if they capture significant market share.
This sentiment echoes a broader skepticism in the investment community regarding the sustainability of the AI boom, with Michael Burry expressing even more bearish views by questioning the actual demand for AI and taking short positions against key players like Nvidia and the semiconductor sector