Investor Michael Burry, best known for predicting the 2008 subprime mortgage crisis, amplified fresh concerns about artificial intelligence by sharing a speculative research note outlining a potential economic downturn driven by agentic AI. The Substack report, titled The 2028 Global Intelligence Crisis and published by Citrini Research in collaboration with Alap Shah of Littlebird, presents a forward-dated scenario in which enthusiasm for AI ultimately turns destabilizing. The thought experiment imagines unemployment rising to 10.2% by mid-2028, while the S&P 500 falls 38% from its October 2026 peak. Burry reposted the analysis on X with the remark, “And you think I’m bearish,” reinforcing his long-standing skepticism about an AI-driven asset bubble.

The report argues that widespread automation of white-collar roles could initially boost corporate margins and equity valuations, but eventually erode wage growth and consumer demand. It envisions a negative feedback loop marked by declining hiring, weaker consumption, falling bond yields, and stress in private credit and housing markets, potentially tipping the economy into recession by 2027. While the authors stress that the scenario is hypothetical and that adverse dynamics have not yet begun, they warn of structural risks if human labor displacement accelerates. The commentary comes as U.S. equities pull back and AI-linked stocks remain near historic highs.