CNBC
20 May 2026, 22:41 UTC · 22h ago
Source · https://www.cnbc.com/2026/05/20/jim-cramer-says-the-world-of-tech-investing-has-changed-and-its-not-going-back.html
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Nvidia reported quarterly adjusted earnings of $1.87 per share and revenue of $81.62 billion, exceeding Wall Street expectations. — Direct financial beats from the world's most valuable company typically drive significant immediate price action in the semiconductor sector and broader tech indices.
+0.80Generative AI is eroding the pricing power of traditional enterprise software vendors by allowing businesses to create cheaper, automated alternatives using AI models and hardware. — A fundamental shift in the business model of SaaS suggests long-term revenue compression and a lower valuation multiple for legacy software companies.
-0.60The semiconductor industry has overtaken software as the primary driver of the technology sector's growth, with the iShares Semiconductor ETF rising 72% while the Software ETF fell 12% this year. — This confirms a structural rotation of capital away from software and toward hardware/infrastructure, influencing portfolio allocation strategies.
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Model heads
Reported earnings that topped expectations and is described as the most valuable company driving the AI boom.
Identified as a huge driver of the shift toward AI computing infrastructure.
Identified as a huge driver of the shift toward AI computing infrastructure.
Identified as a huge driver of the shift toward AI computing infrastructure.
Identified as a huge driver of the shift toward AI computing infrastructure.
Mentioned as a legacy software company facing weakened pricing power due to AI automation.
Mentioned as a legacy software company facing weakened pricing power due to AI automation.
[mutual] AI hardware combined with models is challenging traditional enterprise software vendors like Salesforce.
