Jim and Jeff discuss Apple's AI strategy. Become a CNBC Investing Club member to go behind the scenes with Jim Cramer and Jeff Marks as they talk candidly about the market’s biggest headlines. Signup here: cnbc.com/morningtake
Squawk on the Street
Cramer's Morning Take: Apple 6/26/24
Jim and Jeff discuss Apple's AI strategy. Become a CNBC Investing Club member to go behind the scenes with Jim Cramer and Jeff Marks as they talk candidly about the market’s biggest headlines. Signup here: cnbc.com/morningtake
CNBC Investing Club Disclaimer
- Duration:
- 4m
- Broadcast on:
- 26 Jun 2024
- Audio Format:
- mp3
What's on the horizon for financial markets? At PJIM, it's a question that over 1,400 investment professionals relentlessly research in pursuit of your long-term goals. Specialised across asset classes, but united in collaboration, our teams provide global and local expertise. Our investments shape tomorrow, today. Pursue your tomorrow with PJIM, a leading global asset manager. I'm Jim Kramer, and you're about to hear a sample taken directly from today's CMEC Investing Club morning meeting. An upgrade of Apple. Rosenblatt is helping to find out as well. Barton Crockett would have that much reach, but he did talk about something that Tim Cook and I talked about that we were both surprised that the world of WWDC didn't talk about which is the privacy. There's a generation of people who are out of touch with Wall Street, and Wall Street used out of touch with them, which is that they want privacy more than anything. And Cook was well aware of that, and the people who cover the company market. Yeah, it also sounded like he was trying to, and this is the analyst, separate the investment case from Apple away from other magnificent seven names because they don't have that CapEx burden as Alphabet, Meta, Amazon do, and what they're spending on data centers. Yeah, what people didn't realize is this 2 billion possible base, not 1 billion hardcore, of Apple users can tip the balance in favor of you having the bragging rights and you having enough visibility to be the winner in what is really a scrum now from Gemini and chat GPT and Claude, I've been on chat GPT, I went back to chat GPT abandoned Claude for a while, just because Claude, to me it's not up to date, but you have to constantly check. And that's maybe part of the reason why Apple wants to be agnostic to all these different chatbots, have them multiple on their new phones, right? They have the one with chat GPT, but they're also looking at partnerships with others that have been reported. Alphabet, and Gemini, and Thropet, we'll see. I think that by the way, just so you know, what the people who cover Apple miss right here are two things, one which is the service revenue has much greater unbelievable gross margins. Yeah. Two is that there's 98% satisfaction rate. So I mean if you can tap into that base in your Gemini, which is Alphabet's AI, well then suddenly Gemini gets talked about, it's about being talked about because what's going to happen is there's a shakeout. We're not only going to constantly switch and say what chat GPT say, oh well let's go to Claude. It's going to be one. Yeah. And that's going to be the one that's going to get the most attention, and that's going to be the one that I think gets, you know, gets Apple's bus. Yeah. And one more point on services too, people talking about additional modernization opportunities because of AI apps as more developers make apps using the AI tools of intelligence. So that's another thing to do. So that's another thing to do. Two reasons why, I mean I look like we remain Apple going to don't trade. Watch your day with my outlook on the daily market every morning at 10 20 a.m. Visit cmbc.com/morningtake to access all the benefits of being a CMC Investing Club Network. All opinions expressed by Jim Kramer on this podcast and in connection with the CNBC Investing Club are solely Kramer's opinions and do not reflect the opinions of CNBC, NBC, Universal or their parent company or affiliates and may have been previously disseminated by Kramer on television, radio, internet or another medium. No specific outcome or profit is guaranteed in connection with your reliance upon or other use of the content from Kramer. The opinions offered in connection with this podcast and the CNBC Investing Club are not an attempt to induce any particular trading behavior, investment or strategy. You should be aware of the risk of loss in following any strategy or investment discussed in the content from Kramer. To view the full CNBC Investing Club disclaimer, please visit cmbc.com/investingclubdisclaimer. Sockney, the original running shoe company has just upped our lineup with the all-new Hurricane 24 designed for all-day comfort, engineered with Powerrun PB foam. The Hurricane 24 provides max cushioning for everyday movement and the feeling of a better foam. Shop Sockney Hurricane 24 at SAUCONY.com [BLANK_AUDIO]