OMAHA, Nebraska: Expect retail giant Costco to develop a major internet presence and become an important competitor to Amazon, according to Berkshire Hathaway vice chairman Charlie Munger.

Speaking at a conference last week, the 97-year-old Munger described the current marketplace as being "even crazier than the dot-com boom."

At the same time, he praised Costco. Berkshire Hathaway held shares valued at $1.3 billion until last year.

Regarding Costco, Munger said the company's buy-in-bulk, membership-only model will ensure that prices remain low in the future.

Further, Munger predicted that Costco could challenge Amazon in selling retail goods in the coming years.

"Amazon may have more to fear from Costco, in terms of retailing, than the reverse," Munger said during the conference. "Costco will eventually be a huge internet player. People trust it and they have enormous purchasing power."

Net sales for November at Costco reached some $18 billion, a 16 percent increase year-over-year, while total sales have increased 9.2 percent, according to Seeking Alpha.

As early as 2011, Munger praised Costco, saying, "If once or twice in a lifetime you're associated with such a business, you're a very lucky person."

Earlier in 2021, Munger compared Costco and Amazon, saying the public trusted Costco, "to be delivering enormous values," reported Fox News.

"And that is why Costco presents some danger to Amazon. Because they've got a better reputation for providing value than practically anybody, including Amazon."

However, Mung's partner, Warren Buffet, CEO of Berkshire Hathaway, pulled the company's money out of Costco, seeking more aggressive returns, according to industry observers.