Nvidia’s AI Message, Alphabet’s Scoop, FOMC Meeting Day 1 3/18/25

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Jim Cramer (0:59)

It's Jim Cramer here. You're listening to the opening bell of CNBC's Squawk on the Street. Don't miss a minute of the action.

David Faber (1:12)

Good Tuesday morning, and welcome to Squawk on the Street. I'm David Faber, Postline of the New York Stock Exchange. Jim Cramer, he is in San Jose, California for NVIDIA's GTC event. Carl is off this morning. Let's give you a look at futures before we get started with trading. One half hour from now, we are looking for, as you can see on the screen, a lower open. Let's get to our roadmap. It does start with NVIDIA's AI message. CEO Jensen Huang getting set to deliver his keynote. That'll be later today. Plus, it is Alphabet's largest acquisition ever. In fact, by far, it agrees to buy cloud security startup Wiz, the price tag $32 billion in cash. And it is day one of the FOMC meeting with Chair Powell set to make a decision, of course, on rates. That'll be tomorrow. All right, let's get right to NVIDIA, of course, ahead of Jensen Huang's big address. That's later today, as you've already known by now, I guess, but we're going to remind you again for the next 24 hours. He will also join our show live at 10 a.m. Eastern, more with Mad Money later tomorrow as well. All of that, of course, taking place with the man I'm about to talk to for the next hour. Jim, what are your expectations from this keynote?

Jim Cramer (2:30)

Well, I think that there's going to be, let's say, a re-anchor. But what we're going to find out is that the reason why the stock lost $600 billion in valuation from DeepSeek is, frankly, this is the Chinese hedge fund, basically, that came up with a way to be able to make something AI that's much cheaper is because, well, look, this is terrific. It gets more people involved. Got to have more people involved. It's an on-ramp now. And the focus will be what happens when you get to the Nvidia platform. And they're going to stress platform because platform is a little less assailable. When you have a platform, obviously you have software, you have many different areas that you can emphasize. There'll be, I think, there'll be a health vertical that we'll see. I think we'll be able to see an autonomous vehicle. That's really important, vertical. And a video vertical. So I think that it's actually going to be, David, the selling proposition. Remember, it's a trade show. People seem to forget that. I know it's Woodstock. I know that there's 500,000 people here and 100,000 people trying to get in. It's not Country Joe and the Fish, David. It's a trade show.

David Faber (3:33)

Right. And there's going to be a lot of different things, I would assume, to see. You've been talking about robotics, humanoids, so to speak, being an important potential new area for business. Is that going to come up? Are there going to be robots you're going to be able to show us later? I don't know.

Jim Cramer (3:52)

What a great question. Last year, there were robots, but they were in the end, they were like Star Wars robots and stuff, and they were really not workable. They were for show.

This year, I think, they're not going to be for show. David, what we're looking for are use cases that use a tremendous amount of compute. I think people at home say, compute, well, that just means, yeah, like you need all this stuff in order to make it work. And why that's so important is that no one else has that. Let's say the Chinese have something that enables you to be on board. Well, once you're on board, then you need Jensen, you need Nvidia. So I think what you're going to see are the things that really need a lot of, let's call it, power, and that's autonomous vehicles and it's the humanoid, the robot. Interesting, David, these are dogeman. These are things that come from Musk. I think they matter. Musk, by the way, uses a huge amount of Nvidia to do Grok, which people are talking about. Maybe Grok has a kind of a new place in the firmament. And meanwhile, the stock had a big run last week and everyone's looking at the stock and saying it's not that great this year. That's me being a complete ham. Notice the Eagles head headset there. But anyway, David, are we making too much of it? No. Why? Because if you talk to Michael Dell, whom I have on tonight, Michael Dell had no revenues in this in fiscal year 24 And now they're going to have 10 billion. And next year they're going to have 15 billion. It's happening so fast, David, that if we don't take note of it, then we are ostriches. You and I are not ostriches. We may be dinosaurs, but we're not ostriches.