Big Short investor Michael Burry said that OpenAI is destined to end up like web browser company Netscape, which fizzled out after a landmark IPO in 1995.
He also said Palantir $PLTR is DiamondCluster, a consulting firm that rocketed in market cap and size in 2000 but eventually sold out to PricewaterhouseCoopers for around $380M.
🚨Big Short investor Michael Burry said that OpenAI is destined to end up like web browser company Netscape, which fizzled out after a landmark IPO in 1995.
He also said Palantir $PLTR is DiamondCluster, a consulting firm that rocketed in market cap and size in 2000 but… pic.twitter.com/WFoSeoh5GN
— Jesse Cohen (@JesseCohenInv) December 7, 2025
Michael Burry (Trades, Portfolio) drew sharp comparisons between today’s biggest AI names and the early internet era in a Sunday post on X, adding fresh debate to tech valuations.
Burry said OpenAI may face a trajectory similar to Netscape, the 1990s browser pioneer that soared after its blockbuster IPO but struggled to maintain an edge. He noted that even a potential $1 trillion valuation and a $60 billion raise might not be enough to avoid that outcome.
He also compared Palantir (NASDAQ:PLTR) to DiamondCluster, a consulting firm that briefly surged during the dot-com boom before ultimately being acquired by PricewaterhouseCoopers for about $380 million.
Burry added that revenue expectations for subscription platforms may be overstated, pointing out that most Substack users remain on free tiers.
https://finance.yahoo.com/news/michael-burry-slams-ai-darlings-112033510.html