Michael Burry, widely known for predicting the U.S. housing collapse ahead of the 2008 financial crisis, has reemerged with a new platform to voice his latest market warnings. After deregistering his hedge fund, the legendary investor has launched a Substack newsletter that he says will outline, in detail, his increasingly pessimistic outlook on artificial intelligence and the market frenzy surrounding it.

His new publication, titled “Cassandra Unchained,” takes its name from the mythical figure doomed to issue accurate prophecies that no one believed. Burry seems to view himself in a similar position. With more than 1.6 million followers on X watching his every cryptic remark, he is now choosing long-form writing as a way to expand on the themes he has hinted at for years. The subscription is priced at $379 annually, and its release arrives with a stark message: in his view, markets are once again gripped by a speculative bubble.

When announcing the launch, Burry pointed to what he sees as striking parallels between today’s enthusiasm for AI and the zealous optimism that defined the late 1990s technology boom. He argued that, just as before, policymakers and financial leaders are dismissing the warning signs.

In a post on X, he referenced a headline from February 2000 noting that he had taken a short position against Amazon during the height of the dot-com frenzy. He then compared that moment with former Federal Reserve Chair Alan Greenspan’s 2005 statement that rising home prices showed little evidence of a bubble—two years before the subprime mortgage crisis proved otherwise. Burry believes the same pattern is repeating, this time with AI companies and the extraordinary valuations they now command.

Burry expressed his doubts about returning to public commentary, writing that he was uncertain whether he should “ever come back.” But, he added, “I’m back. Please join me,” signaling not only his return but his intention to challenge what he views as widespread complacency.

His concerns center on what he sees as a familiar illusion of unstoppable technological growth. Just as investors once poured money into unproven internet companies, today’s market is dominated by expectations that AI will transform every dimension of the economy. Burry argues that many investors are brushing aside profitability concerns and treating exponential growth as inevitable, leading to aggressive capital spending reminiscent of past speculative manias.

He pointed to comments from current Federal Reserve Chair Jerome Powell, who recently dismissed fears of an AI-driven bubble. Powell argued that today’s leading AI companies are materially different from those in prior booms because they are “actually profitable” and maintain robust earnings. For many investors, this distinction supports the idea that current market valuations are justified.

During an October press conference, Powell emphasized that AI-focused firms show real income and strong financial foundations, positioning them as unlike the speculative bets of the dot-com era. His argument is that strong corporate earnings place today’s technology giants on more stable ground than the companies that fueled previous bubbles.

Burry, however, views these assurances as uncomfortably similar to the confident statements made ahead of past market collapses. In his eyes, high earnings today do not eliminate the risk of overvaluation if investors are projecting unrealistic future growth. He believes Powell’s comments echo the same misplaced confidence that once masked the warning signs of the housing market crisis.

Two decades ago, Burry publicly shorted Amazon amid soaring tech valuations. Today, he is extending that skepticism to the giants of the AI boom, including Nvidia and Palantir. Both companies have become symbolic of the current AI wave, with stock prices climbing rapidly on expectations of future dominance in the field. To Burry, these rising valuations are yet another indication that investors are pricing in decades of growth without fully weighing the risks.

His overarching argument is that history tends to repeat itself—especially when investors, policymakers, and analysts dismiss skepticism in favor of optimism. While technological advancements may indeed reshape industries, Burry warns that markets have a tendency to overestimate the pace of transformation and underestimate the challenges ahead.

His new newsletter aims to provide a comprehensive explanation of why he believes the AI sector is vulnerable to a sharp reversal. Burry has long maintained that bubbles are often inflated by narratives that downplay uncertainty and celebrate innovation without proper scrutiny. He contends that today’s AI narrative fits this mold perfectly: boundless potential, relentless investor enthusiasm, and a belief that this time is fundamentally different.

By choosing Substack, Burry appears determined to present his reasoning with greater depth and clarity than social media allows. For his followers, “Cassandra Unchained” may offer insight into how he evaluates technological hype cycles, market psychology, and systemic risk. For critics, it may appear as another contrarian stance from an investor known for defying consensus.

Regardless of perspective, Burry’s return to public commentary is likely to reignite debate about the sustainability of the AI boom. The technology undoubtedly holds transformative promise, but Burry argues that markets are pricing in a future that may take much longer to materialize—and that the gap between expectations and reality can be dangerous.

As investors continue to pour capital into AI initiatives and as companies ramp up ambitious spending to secure early advantages, Burry’s warnings serve as a reminder that innovation and speculation often travel together. Just as in previous cycles, distinguishing between lasting technological progress and temporary market euphoria may be the challenge of the decade.