The markets are in turmoil as ‘Big Short’ investor Michael Burry places a massive $1.1 billion bet against AI stocks, sending shockwaves through the tech industry. Burry’s short position targets Nvidia and Palantir, two companies experiencing rapid growth and high valuations. The tech sector is highly sensitive to market fluctuations, with a narrow range of stocks driving significant returns in Asian markets, similar to the ‘Magnificent 7’ in the U.S. S&P 500. This vulnerability has raised concerns among Wall Street analysts, who predict a potential 10-20% correction in equities. The situation is further complicated by the disclosure that Burry’s hedge fund, Scion Asset Management, has a substantial short position against these very companies, sparking outrage from Palantir CEO Alex Karp. Karp questions the logic of shorting profitable tech giants, suggesting that Burry’s actions are ‘batshit crazy’. As the markets continue to plunge, the impact of Burry’s bet remains to be seen, leaving investors and analysts alike grappling with the implications for the tech sector and the broader market.