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Burry Accuses Nvidia of 'Mafia-Like' Tactics, Alleges $150 Million Move to Block AMD in OracleOpenAI Deal

Neither Nvidia nor the Justice Department has confirmed the allegations of interference or investigation.

Overview

  • Michael Burry said Nvidia intervened in an Oracle data-center project linked to OpenAI and paid roughly $150 million to prevent AMD from winning the hardware contract.
  • He described the conduct as 'mafia-like' and argued it should be an antitrust case.
  • Burry also claimed the Justice Department has been investigating Nvidia for nearly two years, a claim that has not been publicly verified.
  • Bloomberg reporting, cited by the outlets, said Oracle and OpenAI dropped plans to nearly double the Abilene facility and that Meta considered taking the expansion, with a reported $150 million Nvidia deposit tied to a replacement-tenant plan.
  • Burry said OpenAI walked away from a Blackwell-based design, warning the chips would be outdated by the time the facility came online, as Nvidia maintains a dominant share of the AI accelerator market.