Nov. 20 at 4:30 AM
Although Burry's comment regarding understanding depreciation & it's affect on earnings is valid - his claims overstate GPU obsolescence & fraud
Nvidia CFO: A100 GPUs (shipped 6 yrs ago) run at full utilization via CUDA, extending economic life beyond 2-3 yr cycles
Ignores AI split—new GPUs for training, older for inference/accelerated tasks in a "value cascade" (2-3 yrs top-tier, then repurposed mid/low-tier inference adding another 2-5 yrs)
Azure retired NCv3-series (powered by Nvidia V100 GPUs) in Sept 2025 - 8 yrs after launch
Network/Compute broad category - servers boxes, CPUs, storage, cables w/ differing depreciation cycles - not just GPUs; extensions based on durability, not fraud
Historical impacts modest:
$GOOG $3.9B dep reduction (
$3B net income boost) in FY23
$MSFT $3.7B in FY23
$META $2.9B in FY25
$AMZN $1.3B in FY25
Burry's
$176B cumulative (2026-28) assumes unrealistically short lives, ignores reuse, & historical durability; total past boosts
$15B-
$20B combined annually
$CRWV