The global semiconductor industry is experiencing an unprecedented, historic surge. Today, East Asian financial markets were ignited by semiconductors, with stock markets in South Korea, Taiwan, and Japan entering a frenzied rally mode, each setting new all-time highs.

The South Korea Composite Index surged significantly, boasting a year-to-date increase of 56.97%, leading global markets. The combined market capitalization of South Korea's three major stock indices surpassed the 6,000 trillion won milestone for the first time in history. The Taiwan Weighted Index broke through the historic 40,000-point barrier during trading, achieving a year-to-date gain of 36.78%, ranking second globally behind South Korea. Japan's primary Nikkei 225 index also refreshed its historical record, with gains exceeding 20% for the year.

In the A-share market, semiconductor ETF indices showed a correlated upward movement. Shares of SMIC listed in Hong Kong rose sharply by over 7% at one point, while its A-shares saw an increase of over 5%. Companies like Montage Technology and Moore Threads also experienced significant stock price appreciations. Regarding ETFs, the underlying index for the China-South Korea Semiconductor ETF has risen over 150% in the past year, while indices for ETFs such as the STAR Market Chip Design ETF and the STAR Market Chip ETF have surged more than 210% over the last two years.

This globally synchronized surge originates from an epic run in the semiconductor supply chain, with AI-driven industry benefits spreading worldwide. Last Friday, U.S. semiconductor stocks celebrated, as the market capitalization of chip giants reclaimed its peak above $5 trillion after six months, firmly holding the title of the world's highest-valued companies. Familiar names like Taiwan Semiconductor Manufacturing, AMD, Arm, and Micron Technology all hit record highs simultaneously. The current rally in the Philadelphia Semiconductor Index (SOX) is particularly historic. As of April 24, the SOX had closed higher for 18 consecutive trading sessions, accumulating a gain of 47% during this period—the longest winning streak since records began in 1994.

According to data from TrendForce, the CPU-to-GPU ratio in AI data centers was previously 1:4 or even 1:8. However, with the advent of the agent era, this ratio is evolving towards 1:1. This indicates not only a shortage of GPUs but also exploding demand for CPUs. More extremely, the semiconductor industry is expected to face a new wave of "price tsunami" by 2026. Starting from basic memory, price increases are spreading to power devices, wafer foundries, and packaging and testing—every segment is experiencing hikes. With upstream raw material prices doubling and downstream AI demand surging, semiconductor chips have transformed from "industrial staples" into "expensive gold." The total market capitalization of semiconductor companies now accounts for 13% of the total U.S. stock market value, a proportion four times higher than it was four years ago.

Investors are channeling record amounts of capital into semiconductor ETFs at an unprecedented pace. Over the past eight months, U.S. semiconductor ETFs have seen net inflows for seven months, marking the strongest capital attraction record in nearly two years.

Amid this peak frenzy, a starkly contrasting figure has emerged. Noted Wall Street short seller Michael Burry has publicly announced a short position, initiating a bet against the U.S. semiconductor sector. Michael Burry stated that he has established a short position by heavily purchasing put options on the iShares Semiconductor ETF (SOXX). He acquired options expiring in January 2027 with a strike price of $330, wagering that the U.S. semiconductor sector will experience a significant collapse within the coming months.

Burry's logic is stark and direct: "I know the Philadelphia Semiconductor Index will pull back; veteran industry professionals know it too. The current rise is more technical than driven by sustainable fundamentals. If I were long, I would choose to sell now." Who is Michael Burry? Prior to the 2008 financial crisis, he successfully predicted and shorted the U.S. housing bubble, profiting immensely from the subprime mortgage crisis and emerging unscathed from the 2000 dot-com bubble. Between 2000 and 2008, his fund achieved a return of 489.34%, while the S&P 500's return was less than 3%. As the investment veteran who became famous during the 2008 financial tsunami and the real-life inspiration for the film "The Big Short," Michael Burry's recent moves have captured global attention.

This prominent figure is not only shorting semiconductors; since last year, Burry has frequently placed bets on a decline in U.S. stocks, particularly targeting AI and tech giants. In his view, the AI frenzy has become overextended. He has publicly stated that the state of U.S. tech stocks suggests "the market is caught in an AI bubble, reminiscent of the 2000 internet bubble." He also pointed out a specific detail—many U.S. tech companies are inflating profits by secretly extending the depreciation periods for GPUs and computing equipment in their financial reports, effectively spreading the equipment costs over a longer period to make profits appear higher. Burry argues that such accounting "window dressing," while producing impressive numbers, may be sowing the seeds for the next disaster.

However, his fund was unexpectedly liquidated last year. Disclosures on the U.S. Securities and Exchange Commission website showed that the registration status of Scion Asset Management was terminated on November 10, 2025. In a letter to investors, he announced the fund's liquidation and the return of capital, citing disappointment with market valuations. He wrote, "My view of the market is different from most people's, and has been for a long time."

Returning to the current market, this is a momentous era. On one side, there is the collective euphoria of the global supply chain driven by the AI wave, with memory chips being snatched up like gold. On the other side, there are "cold-blooded shorts" like Michael Burry making their move at the peak. Whether one believes in Burry's bearish prophecy or chooses to embrace the scorching future of technology, one thing is certain: humanity is in the eye of an unprecedented financial storm. This contest has just reached its climax—some are exiting amid the狂欢, while others are building towers on potential ruins, with the world's gaze firmly fixed upon these tiny silicon chips. In this fervor where semiconductors equate to national destiny and chips represent the future, every pulse of upward movement is reshaping the global landscape of wealth.