Amazon CEO Andy Jassy's AI Spending Pitch Won Wall Street Over, Jim Cramer Says— While Meta and Alphabet Are Still Struggling to Explain Theirs: 'The Same Numbers...'

Tanya Rawat

Wed, August 5, 2026 at 5:31 PM GMT+3 5 min read

Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.

CNBC's Jim Cramer said Monday that Amazon.Com Inc CEO Andy Jassy's explanation of the company's artificial intelligence (AI) spending during its latest earnings call changed how Wall Street views Big Tech's multibillion-dollar AI investments.

AI Spending Strategy

Cramer said investors had questioned for months whether hyperscalers' massive AI infrastructure spending would generate meaningful returns.

He said Jassy's earnings call gave Wall Street the visibility it had been seeking into how those investments are expected to produce long-term cash flow, CNBC reported Monday.

Don't Miss:

A single bad hire can set a startup back years. Here are the 5 hires founders most often misjudge — and why
Still Learning the Market? These 50 Must-Know Terms Can Help You Catch Up Fast

"Until Jassy spoke, the market seemed highly skeptical of how these megacap tech companies were spending money. That's no longer the case," Cramer said.

"It was Jassy's calm, thoughtful presentation that allowed him to raise his capex budget from $200B to $220B and still have Amazon's stock soar to its biggest one-day gain in over a decade," Cramer said.

Jassy said Amazon's upfront AI investments go toward building data centers and equipping them with servers and networking infrastructure. "Once a data center opens with servers plugged in, we start generating significant revenue right away and then get to monetize these data centers for 30-plus years without having to spend that startup capital again," he said.

Earlier this year, Jassy defended Amazon's roughly $200B AI investment strategy, saying the company had successfully navigated similar investment cycles during the early expansion of Amazon Web Services and that the current AI opportunity was growing even faster.

Peer Comparison

Cramer contrasted Amazon's AI strategy with several of its technology peers.

He said Alphabet Inc.'s raised its capital spending guidance but did not clearly explain how those investments would translate into future returns."I believe the same numbers explained differently would've sent the stock higher, not lower," Cramer said.

He added that Microsoft Corp has faced less skepticism because it is already monetizing AI through Azure and Copilot.

Cramer also criticized Meta Platforms Inc., saying the company has yet to clearly explain how its expanding AI infrastructure investments are expected to generate returns, particularly whether it plans to monetize excess computing capacity. "I was shocked and disappointed that Meta didn't seem to have a plan," he said.

Industry Context

The comments build on Cramer's earlier defense of the AI infrastructure spending boom.

In May, Cramer argued cloud providers were expanding data center capacity to meet existing customer demand rather than building on speculation. He said Amazon, Alphabet and Microsoft could not afford to slow AI infrastructure spending because customers would shift workloads to competitors with greater computing capacity.

Image via Shutterstock

Read Next: Think you're saving enough for your kids? You might be dangerously off — see why

Building Wealth Across More Than Just the Market

Building a resilient portfolio means thinking beyond a single asset or market trend. Economic cycles shift, sectors rise and fall, and no one investment performs well in every environment. That's why many investors look to diversify with platforms that provide access to real estate, fixed-income opportunities, precious metals, and even self-directed retirement accounts. By spreading exposure across multiple asset classes, it becomes easier to manage risk, capture steady returns, and create long-term wealth that isn't tied to the fortunes of just one company or industry.

Arrived

Backed by Jeff Bezos, Arrived Homes makes real estate investing accessible with a low barrier to entry. Investors can buy fractional shares of single-family rentals and vacation homes starting with as little as $100. This allows everyday investors to diversify into real estate, collect rental income, and build long-term wealth without needing to manage properties directly.

Realberry

Institutional-quality real estate has traditionally been difficult for individual investors to access. Realberry gives accredited investors direct access to private real estate opportunities backed by a team with 35 years of experience, $3.4 billion in assets under management, and $481 million in cumulative distributions paid to investors as of Q4 2025, according to the company. With a portfolio spanning 13 million square feet across seven U.S. states, Realberry focuses on acquiring, developing, and managing real estate with an emphasis on long-term value creation while its principals often invest alongside clients to help align interests.

FarmTogether

Farmland has historically held its value through market volatility and delivered returns uncorrelated to stocks and bonds. For accredited investors, FarmTogether offers direct access to high-quality U.S. farmland starting at $15,000 — fully managed, with no landlord headaches.

Immersed

Immersed is building technology for the future of work through spatial computing. Known for its AR/VR productivity platform that enables users to work across multiple virtual screens, the company has grown to more than 1.5 million users worldwide. Immersed is also developing Visor, a lightweight headset designed specifically for professional productivity, positioning the company at the intersection of remote work, extended reality (XR), and next-generation computing.

Fundrise

Private real estate and private credit can add income and stability to a stock-heavy portfolio. Fundrise offers access to diversified private real estate and credit strategies through an easy-to-use platform, with professionally managed portfolios designed to generate passive income and long-term growth.

Mode Mobile

Mode Mobile is changing the way people interact with their phones by letting users earn money from the same apps and activities they already use every day. Instead of platforms keeping all the advertising revenue, Mode Mobile shares a portion back with users who engage with content, play games, and scroll on their devices. Named one of Deloitte's fastest-growing software companies in North America, the company has built a large beta user base and is scaling a model that turns everyday smartphone usage into a potential income stream.

EquityMultiple

For accredited investors looking beyond stocks and bonds, EquityMultiple provides access to vetted commercial real estate deals starting at $5,000, with only ~5% of opportunities passing their due diligence process.