- Steve Eisman, known for betting against the 2008 subprime crisis, focuses on AI now
- He criticizes OpenAI and Anthropic for lacking strong competitive barriers
- Eisman claims these companies seek regulation to protect their market positions
Steve Eisman, the investor known for betting against the US subprime mortgage market ahead of the 2008 global financial crisis, has turned his attention to the artificial intelligence industry.
In an interview with CNBC, Eisman said he believes leading AI companies such as OpenAI and Anthropic do not have strong competitive advantages, or “moats”, around their businesses.
“I think these companies are very nervous. They realize that there are no real moats around their businesses,” Eisman said.
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According to Eisman, the companies could be seeking greater regulation in a way that ultimately strengthens their own market position.
“They are trying to manufacture a crisis that will lead to regulation, regulation they believe they can then manipulate to create those moats and establish the duopoly they want. That's what I think is going on,” he said.
His comments suggest that he views the growing calls for AI regulation not only through the lens of safety and risk, but also as a potential competitive strategy that could raise barriers to entry for rivals.
Eisman gained prominence for identifying vulnerabilities in the US subprime mortgage market and betting against mortgage-backed securities before the 2008 financial crisis.
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Sandeep Manudhane, owner of Billion Hopes and an educationist, entrepreneur and technologist, shared the interview on X, describing Eisman as “point blank clear” in his assessment of OpenAI and Anthropic.
Eisman's remarks come as governments and regulators step up scrutiny of the rapidly expanding AI industry, particularly over safety, competition and the growing concentration of AI capabilities among a handful of companies.
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