Cramer:โ AIโ Boomโ Differs โขFrom Dotcom Bubble โคDue โto Financial Strength of tech Megacaps
NEWโ YORK – September 29, 2025 – CNBC’s โJim Cramer explained today why he believes the current artificial intelligence (AI) boom is fundamentallyโ different from the dotcom bubble of the late 1990s, โciting the robust financial positions of the โคtech companies drivingโ the latest wave โขof innovation.
Speaking on his โshow, Cramer notedโค that the โcompanies โคcurrently investing heavily in AI – including Apple, Meta, Microsoft,โค and Nvidia – are “developing โคa reputation for โขsomething different” and are moreโฃ financially sound than many of โtheir dotcom-era predecessors. He observed that โdataโ centers are largely โbeing funded by thes “massively rich companies,” unlike the dotcom period where companies often accumulated debtโฃ to buildโฃ infrastructure.
However, Cramerโฃ expressed some concern regardingโ Oracle‘sโข announcementโค of data center construction funded with “big money fromโฃ openai,” stating, “we have no ideaโ where that money’s realy going toโข come from.”
He emphasized that these โคtech “megacaps” are not likelyโ to fail quickly, โasserting they are “flush with cash and couldโ pivotโข and write off debt if they needed.” Cramer also voiced optimism about the continued success of these companies as AI โขtechnologyโ advances.
Despite his generally positiveโข outlook, Cramer cautioned investors against complacency. “So, should we take the dotcom bomb scenario off the table? Oddly, I don’t want it โto be taken off the table,” he said. “See,โค Theโ skepticism keeps things inโ check. Ifโ there weren’tโ such aโ negativeโค bentโ to the story right now, everyone would be in this pool, and we’d all drown.”
CNBC’s Investing Club holds shares of โApple, Meta, Microsoft and Nvidia.
