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Jim Cramer (1:56)
Hey, I'm Kramer. Welcome to Mad Money. Welcome to Kramer. Do Make Friends. I'm just trying to make you a little money. My job is not just entertainment, but to put it all in context. So call me 1 873, CNBC tweet me Jim Cramer Every time I think that we are overstating the impact of artificial intelligence, something comes along that tells me we aren't making enough of it on the show. Now I know that there are plenty of other industries we got to focus on, which is why I always say A Dow declined 245 points today. S&P dip 0.56%. Nasdaq declined.51%. They all went down at the end because of some stuff President Trump did about semiconductor kasing. But if you want to know what's going to happen in the future, not the near future like next week or tomorrow, but next year and beyond, then I think you must factor in artificial intelligence. When it comes to employment, both public and private, it might be the most important force out there. Fortunately, tonight we happen to have the godfather of AI Jensen Huang, CEO of Nvidia Coming off an excellent quarter announce this very evening to talk about both the near term performance and much more important the long term implications of what Nvidia is doing for our nation and our world. And we will include China which the President is very worried about. Now I'm not a doomsayer like the CEO of Anthropic, Dario Amade, but he's a brilliant artificial intelligence entrepreneur who according to a recent interview with Axios believes that I could wipe out half the entry level white collar employees in America half and spike unemployment to 10 to 20% in the next one to five years. He's talking about a possible elimination of jobs across technology, finance, law and insulting the man behind Claude. Yes, Amade is the godfather of Claude wants to sound the alarm before 20% of the people in this country don't have jobs. Now we need to know what percentage of people will be replaced by Agentix yet robot agents mastered by Salesforce and of course we'll be your mark Betty up this evening we have to know whether in video will change every aspect of our lives. Once we get mass adoption of their ultra powerful chips, will they let us all drive hands free everywhere? Will they allow us to have robots at home and at work doing the jobs that would have previously been done by humans or not asked by Anthropic CEO but could they make up for the shortfall in population that could be coming when you look at America's ever declining birth rate which I think is incredibly important, not talked about. And yes, when will they be smarter than us and more useful than us and even perhaps obviate us? We always hear not to worry, we're creative, there's room for humans. But where is that room once I gets good enough the CEO of Anthropic is right about where this is going. Just think of what the world will look like five, ten years from now. The Fed won't be discussing how tight employment is. Instead the Facebook will be filled with data about how whole job classes have been obliterated. I've seen the robots that can make the hospital beds clean. The hospital room picks up the hotel room better. Better than any human, certainly much cheaper. I know of the FedEx warehouse where the boxes are unloaded and stacked by robots, not by people. I've seen a box fall on the head of a robot. They have to have our form factor because the world's designed for our form factor. The robot was unfazed, the humans neck definitely broken. Anthropics Amaday focuses on white collar jobs and we'll Know soon enough whether the law and business school graduates can't get a job right? How can companies afford to hire them when they might have to fire him a year from now? I on the other hand, and fixated on how robots could take over the jobs that no one wants or the jobs that people only do for lots of money because they're so dull, they're so dirty, they're so dangerous. Why is it so hard to get our arms around what I can really accomplish? First, I think that no one in, in the industry, nobody really wants to talk about how many jobs would be wiped out. That's not exactly good pr, is it? When we speak to Marc Benioff later, the CEO of Salesforce, which reported tonight after the close, delivered some very strong numbers, excellent guidance. He's adamant that his agent force, which uses computers derived agents or Agentix, will put people who are in relatively unproductive positions in a much more important revenue producing positions. From the looks of his quarter, I got to tell you, I think he's onto some. But when you're a CEO as I've been, you know what? You're really conscious that workers are expensive. CEOs don't want to bring in a gentic step to make their people more productive. They want to bring in agency so they can fire people and rack up cost savings. Nobody's going to make that pitch to the general public because it is so unpalatable. It's more like what Amide says, quote, cancer is cured, the economy grows at 10% a year, the balance, the budget is balance and 20% of the people don't have jobs, end quote. That's a lot of positive, very much balanced out by one huge negative. Now obviously nobody really knows what's going to happen, but we can talk to the people who matter, including Benioff and Chance Wong, the CEO of Videos, see what they have to say. Unfortunately, in this business, we're desperate to find out what's going to happen 90 days from now, let alone five to 10 years from now, which most people are not interested. Fortunately, this is mad money. We got a longer time frame. The time frame that includes the possibility of longer term profit though the bottom line. Let's see if the agents can do our jobs better than we can. Let's see if we'll even play a role in our own world or whether human workers will become obsolete and we'll all just watch TV all day. Maybe Mad money. I just hope it's still the real Jim Cramer rather than my AI replacement Deepa In California. Deepa, thank you for taking my call. I would like to ask a question about one of my favorite dividend stock. That is Chevron CVX. Since it has fallen quite a bit from its 52 week high, is it a good time to buy back? Okay. I think that you have to have a view on oil when you think about this one deeper. And I think that first I think oil is going lower. I think it goes to the 50s. I think it's part of the President's plan to be able to reduce the inflation rate. However, it does yield 5%. I don't want to reach for you. I never want to just say, you know what, I'll take the 5% and not worry about the common stock. You are going to wait till this stock at 136 goes to 130 before you pull the trigger and not until then. Mike in California. Mike. Hey, Jim.