that caution doesn't sound too great to me. >> steve? >> shake shack. i'm positive on the stock. i think the international expansion is the real hidden gem of this one. and the shack tracks, the drive throughs. >> thank you for watching "fast." my mission is simple. to make you money. i am here to level the playing field for all investors. there is always a market somewhere and i'm going to help you find it. "mad money" starts now . welcome to a special seattle edition of "mad money." . i'm just trying to make you some money. my job is to teach you. call me at -- or tweet me. welcome to -- because today we

are coming at you from amazon headquarters for a rare look inside the colossus, and advertising company and possibly your healthcare provider or your grocer are so many other things. it has become such as use presence in all of our lives. amazon is also a great microcosm today, now slipping 70 points, nasdaq losing 0.58%, but the undercurrents were decidedly positive. it is that most market observers wouldn't know what positive is if it hit him over the head with a two by four. today was a day where the commodity complex simply collapsed plain and simple. commodities nosedived because we have sluggish numbers out of china, the land of sluggish numbers, but we also saw numbers out of our country that showed job numbers cooling-off. there is just not much demand for anything going forward. a false readthrough that basically says we are clearly

going into a recession or commodity prices wouldn't be falling apart like this. you can call me a cockeyed optimist for seeing this rorschach test of a collapse is a positive. but remember who i am. i got in this business back when the dow jones industrial hovered around 1000 forever. it's now at 36,000. maybe i should get the benefit of the doubt when i say something positive. i don't come up with the easiest ways for strategists to make them look smart. i'd rather be right. an optimistic bias has been the right call. here is how i see it. commodity complexes are a principal reason why many people feel like the economy has gotten away from them. most economy prices have been stuck at levels that had to do a scarcity during covid, or a smoking hot chinese economy, or low interest rates from the feds. that's all over replaced by a weak china, much higher interest rates, and the end of

covid -- it's absurd. where does it say that once they are up they stay up? this is a recession. that is the mindset most investors have. it's wrong. the instinct of traders coupled with the one-way thinking of strategists who are always fixated on the next recession. not me. when i see commodity prices going down, you know what i think? i think it is fantastic. who doesn't want everything to be cheaper? which brings me to amazon. we came out here to interview the person in charge of the colossus that other than the federal government, they have the most impact on your end my life. dealing with amazon is convenient and they don't have the power to tax you into oblivion. let's look at this through the prism of amazon. amazon happens to be the biggest shipper in the united states, and because of the relentless price increases, a costume about six dollars per package. they have tried so hard to keep

it down, dividing the nation into a different distinct regions for fewer touches per delivery. that's how you get goods the same day, especially consumables. shipping is expensive because gasoline acts as a tax on amazon, just as it is a tax on you. does not like payroll tax or you get social security in return. that's a negative. giving amazon's relentless attempts to bring down the cost of everything when oil comes down like it did today, the customers could be given a gasoline rebate. amazon is aggressor but would love to be the nation's human largest grocer. one thing amazon does is drive people toward a prime membership. it is the same membership model is there seattle neighborhood costco. it is a rebate to you. there is a bit of a chicken and egg thing going here. it is a powerful sign that inflation is under control. when inflation is under control , interest rates go down, and

lenders are willing to take less for their money. when rates go down, you are more likely to buy things on amazon. individuals have more disposable income. it's great news for the company. it's also great news for the industry impacted by lower rates. and homeowners. the real estate market went totally bonkers -- last night a stunningly good quarter even as mortgage rates are really high. because there is a nationwide housing shortage, homeowners have been able to keep raising high prices despite skyhigh mortgage rates. now that rates will be coming down, homes will be more affordable? what does it do? it gives buyers more disposable income. how can it be anything but positive? on this maybe amazon fails the test has, you know what, they are not in the real estate business. we did put amazon through chatgpt and asked generative artificial intelligence monster

if there's anything amazon doesn't sound, and there's only a handful of things like driver license and passports and homes. we can of course they commodities are an early harbinger of recession, so the fed better start cutting rates or we will be throwing people out of work and cutting wages as part of the great recession of 2024. this ill-advised analysis could be bolstered tomorrow. when we get the jobless claims from the fed, the weekly ones, friday when we get the monthly report, that could be a tough one. i just see the commodity decline as part of a return to normalcy. while many people got raises during covid my prices for most things went up more than wages did. the core of those price increases came down to higher costs of all sorts of basic materials, the commodities, so you get those down, actual deflation, when prices decline, other than what we have now.

let me give you the bottom line here. in that scenario, stocks, what are they doing? they go higher following a period of commodity -induced lower -- the stock of amazon should be going higher as well. we just need a break to the big any managers who look at the rorschach test and see financial armageddon. maybe they are looking at the picture upside down. let's take calls. let's go to robert in new york. >> santa claus came and asked me what i wanted for christmas this year, and you know what i told him? more of cramer's great stock advice. >> holy cow. >> caller: i want to talk about a stock that has an a rating , also berkshire owned 18% of the company, bank of america. >> i think santa is right about

this one, although i have to talk to the wife about too much cramer . you can go to 35, 36. honestly, it is a stock that has been stuck there forever. you've got a good one. in the scenario, the stocks go higher. just lower bond yields. watch it happen. the stock of amazon should be going higher as well. let's find out. on "mad money" tonight, we are bringing you a very special "mad money" amazon in seattle, and sharing why i think they are more like nationstates and companies. this package food companies in the crosshairs of the weight loss drugs. does it still have a place on your shelf after the latest learnings report? don't forget hosted. >> and a renew my exclusive interview with amazon ceo andy jassy from headquarters. you don't want to miss it. stay with cramer .

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while we are here at amazon's headquarters in seattle, i would be remiss if i didn't mention the magnificent seven. i call them nationstates. i'm on a talk how they talk magnificent in the first place.

they made a concession to nvidia and tesla to form the seven. these companies aren't like other businesses. the revenues are huge. the market -- which cost $3 trillion before subbing back today are just unreal. when you deal with them your conscience and while they represent 23% of the s&p 500, they are three times more influential to most of our viewers. but why the term nationstates? because our entire country has less financial power than these guys have. they are operating on their own with gigantic budgets, amazing reach, and our portfolio that defies characterization. they just like a military that i know of. look at amazon. then amazon decided to branch out to other merchandise, and now they are the second largest retail owner through the largest cloud infrastructure company. they are dominant transport and logistics company.

they are a production company, a pharmacy, and a hardware device company. they employ 1.5 illion people. they are a nationstate with the power to tax -- they don't have that, do they. but they have so much money they don't need to. amazon isn't alone having such scale. people call apple and iphone, and i said come on, it's a credit card company, television, a manufacturer that is so big it can impact the nation's employment numbers, and we are talking the largest nations on earth here. you think it doesn't matter to india that apple announced yesterday that it wanted iphone batteries made there? it's huge for them. meanwhile tesla is a tech company that happens to me ours. nvidia is a microchip company that also makes ai. any competitor would be nuts to take them on. you can't even begin to grapple

with the prowess. one reason, the albatross that is espn, expensive sports programming. it wouldn't be such an albatross if it didn't have one of these other states thinking about nba basketball, monday night football. the competition from the nationstate companies is what makes the rights to these games so prohibitive. there used to be a thriving bookstore business in this country. goldman sachs is getting into the credit card business with apple. goldman is a huge and powerful investment bank, but it was willing to give away much too much of the economics to apple on the consumer side. now the partnership is dissolving, because goldman has spent and lost billions of dollars. as someone who worked at goldman sachs in the 80s, but it is apple we are talking about . nobody is on even footing with apple.

whenever i want to highlight a company on the show, i'm always aware that with the exception of eli lilly, evan comes close to the nationstates in size. three it is about opportunity for you. was it a mistake to focus on nvidia a decade ago? was it wrong to think about these diet and obesity drugs? does it make sense to not follow after the networks in the journey from 50 billion to 100 billion, or track any of the companies i got takeover bids? if my job were to cover only gigantic companies, then it wouldn't be much fun, but my job is to look for the next giant companies or to find companies that can double and triple and double and triple again. as great as the nationstates are, they can't give you that thrill, that i get it return if only thanks to the law of numbers. makes things up. pay colossus companies there do , but always stay with one eye on the prize, helping you try to make more money. let's take calls. let's go to cam in north

carolina. >> caller: hey, i just want to call in and ask what you thought about lyft stock and if they were going to compete with uber. >> i talked with the ceo last week and i think is a powerful competitor. i would not want to write that guy off. as a matter fact i want to buy his stock. let's go to charles in florida. >> caller: thank you for taking my call. i also want to say i just started watching the show. i really like it. i think you are very levelheaded with the average investor. i really appreciate your input. >> thank you. then you got the game plan. >> caller: my question to you is with 701, it's now 35% since its peak. my question to you tonight is with crowd strike basically 90% over that high in palo alto over 109% in the last year or so, what is your take on 701?

>> i got to tell you, they put up good numbers, but the thing is, people are expecting bad numbers. that is why the stock jumped so much. i can't come on top of the 60% gain in one day and think i can make any money. as great as the nationstates are, they can't give you the giant return. that is where i come in my fighting company so you can mix it up you can double and triple and make more money. don't go anywhere. our two-part interview with amazon ceo andy jassy is up next . don't miss this exclusive must -- much -- must watch conversation, so stick with cramer. in the sky now. but it's gross. there is no way we're landing. are you sure no one is watching? gwen mallard! do it now, or we leave without you. ok.

welcome back to "mad money" coming to you from amazon's headquarters in seattle. this week people were very worried about jm smucker. the packaged food maker bind

jif peanut butter, smuckers jelly, folgers coffee, and pet food have become the poster child for what i call the house and pick selloff, when all these food -- got killed because of these weight loss drugs. given that smuckers just announced its buying hostess brands, we knew they were about to get a big stack portfolio. dingdong's, whole house, and these drugs can eliminate your craving for snack food. so smuckers saw its stock plunge over 30%, and while it rebounded a handful of points and said, investors were still can extremely concerned. most of the beaten-down snack food stocks have smacked -- snapped back. this one was doing much worse, until it reported yesterday when smuckers seemingly changed

the narrative. does this move make sense? let's take a closer work -- look. it's nice. it's when you get when you strip out various one-time items and impact of currency fluctuations. more important the gross margin expanded by 550 basis points and by 300 basis points from the previous quarter. that's a massive increase in profitability. a lot of the company posted 12% earnings with a percent earnings growth year over year, one of the best food companies. the cash flow numbers were more mixed, but overall the figures were a pleasant surprise. what really helped them is the updated guidance for the 2024 fiscal year. this guidance included the hostess acquisition. the hostess acquisition was the number one worry for smuckers shareholders. the forecast was mostly fine. while they shaded down the high end of the sales outlook, and

they shifted the entire earnings forecast lower, everything else was more encouraging. they expect $100 million and annual run rate cost synergies within the first two years of ownership, and they believe it will be adding to earnings in the first fiscal year. for smuckers that is fiscal 2025. they've said all of that before. the only real surprise from that hostess commentary was a 4% long-term annual sales party. smuckers said that hostess would contribute roughly $1.5 billion in sales, quote, within estimated mid-sale -- mid- single digits, but it is toward the lower end, and the hostess sales grew at a double-digit clip from 2020 to 2022, so the 4% target i'm calling it a disappointment, but it's possible smuckers is being conservative with the hostess estimates come up because of

all of the assertions that drugs would have a negative effect on junk food. this topic didn't come up on a conference call not even once. it did come up when ceo mark smucker, they checked in with the gang yesterday morning. they focused on the fact that hostess has healthier options. when pressed he reiterated that the company osino impact from these drugs thus far, but he conceded it is an important issue. that is the current company line . that is the zeitgeist and the gop one subject. and if i'm being honest, that answer doesn't satisfy me all that much, but i also recognize there's only so much we can say about the potential problem at the moment. the truth is nobody really knows how much damage these drugs will do that in the junkfood space right now. if they haven't seen any problems thus far that's all they can tell us. you can't speculate. i also believe smucker when he

says the company will be watching the issue carefully, because everyone is watching carefully. the stock had an interesting reaction. when the numbers first posted before the open, it went down. a new earnings outlook that was below the consistence at the midpoint, but then smucker came on the soapbox, and then it reversed opening up more than three dollars and finishing the date nearly 4 dollars. they then tack down another $1.50 today. very healthy. did smucker change the narrative with the report yesterday? i would say kind of sort of, but not really. nothing anything groundbreaking. what smucker did say was that they cleared a key hurdle by offering a hostess inclusive forecast that was indeed better than most feared. now that the company has laid out its targets, it is all about execution. smucker needs to hit cost synergies, but more importantly the hostess business needs to

hit the 4% sales growth target while boosting the overall earnings starting next may. either that will happen or it wants, and any headway from the hostess brand acquisition with these new weight-loss medications, well it will make it pretty difficult. the market has largely moved on from its most dramatic worries causing package -- masses disruptions to the packaged food industries. it is sort of telling the new analyst even bother to ask about the darn thing. i'm not sure that this issue will put further pressure on the stock in the near term. you could keep rebranding over several months my bringing it to its lowest level since early 2021. the bottom line is i think it's wrong that smucker fully turned the page on the glp-1 worries. it will still be amid long-term concerns among investors at tell smuckers can post strong enough numbers from the hostess business. is the only thing that will force wall street to concede

that glp-1 issues are to worry. if you want to package food play here there are safer ways to go, ones that don't offer once cleavable food that has become unappetizing with a shot a week of ozempic. let's take calls. let's go to stephanie in massachusetts. >> caller: hi, jim. happy holidays. always nice to speak with you. >> same to you. great that you called. >> caller: my stock is down about 20% for this year. is one of my core holdings that i really like it because it helps diversified my portfolio. recently increased its dividend, and this email always tells a good story whenever he is on your show. jim, is mccormick still spicy enough to own? >> i think that what has happened is that mccormick has become an expensive stock versus the rest of the group, and that is pulling the stock down. i will tell you, spices have not had any problem with glp-1

they weren't worried about that, but you are worried about the fact that the stock is too expensive. i think it is wrong to say that smucker fully turned the page on these glp-1 worries. that hostess acquisition could still hurt them. it will still be a mid to long- term concern, so i want to package food play here that is safer , including my exclusive two-part interview with amazon. retail, holiday shopping, the nfl and mormon andy jassy. and that's not all. there is so much to cover with this company . they seem to do anything and everything. we will also look at amazon's latest investments in ai and explain the role that aws is playing in the overall strategy. and the seattle edition of the lightning round, so stay with cramer .

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time for the main event. we have come across the country tonight to do the show from seattle, washington, because for the first time we have a chance to chat with the ceo of amazon.com. one of the nationstate names that make up the magnificent seven, so where do you go next after you've conquered retail. let's take a closer look with andy jassy, the president and ceo of amazon.com. thank you so much for having us . thank you for taking "mad money" on. it is great to have you in person. you are all those things i just mentioned, largest retailer,

advertising, movie production, boards broadcaster, grocer, pharmacy, hardware devices. this is all under one roof. what kind of responsibility do you feel given the fact that this is a huge part of our economy? >> first of all it is great to be here with you. it's great to be here. we feel, we are in a lot of different diverse businesses as you mentioned, but the thing that ties everything together at amazon and the responsibility we feel is to make customers lives better and easier every day across every single one of our businesses. if you think a better businesses, we have consumers and sellers and enterprise others and brands and reators. that is what we are trying to do across businesses, and each of those businesses you mentioned, we believe there is an opportunity to change the customer experience and make people's lives easier and better. that's what we are trying to do. >> with all those businesses i think of a better handle on what's going on the with the

economy more than anyone in the world and you're not political. how does that look? >> consumers are still spending. they are being careful about what they spend on and they are looking for bargains and deals wherever they can, and wherever they can trade down on price they are trying to do so. it's why if you look at what we did in her holiday season, it's always important to save customers money particularly during the holidays and this type of economy. we in our prime big deals day, which was our exclusive event for prime members to kick off the holidays, we had tens of millions of deals. it was by far the best kickoff event we've ever done. if you look at what's going to happen, most people are not done with their holiday shopping. we have hundreds of millions of deals is still left to come. they are dropping every day until december 24th. we know that customers care a lot about saving money. we are working really hard with the third-party selling partner to provide radials so they can

shop for the holiday season and feel good about it. >> we do have persistent inflation. you said it yourself, higher interest rates, student loan payment assumptions. yet they are still spending. i know they are looking for bargains, but is t incredible that it is still a pretty robust economy with interest rates so high? >> you know, i think people, people are going to buy certain retail items. a lot will ave to go bad before people stop investing in detergent and shampoo and soap and things like that. if you look at our consumables business, the growth rate there is pretty extraordinary year- over-year, insignificant part because we've been able to speed up our delivery so much in the last year. when you can get items to people same day or next day at the latest, they end up considering you for a lot more purchases, but if you look at some of the items like more discretionary items, laptops or electronics or phones, people have been more careful. where they may have taken a more expensive unit, they are taking the less expensive unit. we are still growing at a faster rate in those areas and

you see the rest of the segment , but more timid than they've done in the past. >> am going to go back to what you said about consumables. some people order razor blades, gillette, i ordered a very popular book, it's there the same day. how does this stuff get to me the same day? what occurs? >> first of all, if you look at the first half of this year in our top 60 metros, over 60% of the shipments were coming to people in the same day or one day. a lot of it has to do with a combination of two things. one is when we took our u.s. fulfillment network from a flat national network to eight regional hubs, where we read it all the placement algorithms to get items close to where we are shipping them to customers come away were not only able to take the transportation distances down, which lowers the transportation cost and speed of delivery to customers come up but we also took our cost to serve down. it was a great customer experience benefit for customers getting it faster but then also getting the cost to serve down.

the other thing is we have these a sub same day facilities which are a different -- so basically -- same day. just a few hours, and the average purchase in a same-day facility from click to being ready to ship his 11 minutes. it is a different design in those the famine centers, and we have, you know, we have about 1 million skus we can ship out of there in the same day. we move from today to a lot of the shipments being one day, and then increasingly we are able to ship items to people in the same day. >> have you done enough work to be able to say that there is a level that if it comes quickly, that person will go to the store because it is more convenient to go to amazon? >> you see it all the time, sometimes people make the mistake then they assume, you know, you are kind of in the law of diminishing returns if you keep trying to speed up the delivery, but we did very vigorous testing, and any time we can take delivery speed to be faster to customers, it

meaningfully changes their conversion rate and the rate at which they are willing to purchase. downstream for customers is when you are able to get them delivery much faster, they can scenario for much more of their purchases. customers love getting items quickly. >> i like reliability. i like things coming quickly, but there are these power makers. i do want to say the chinese, one is from singapore and the other is based in boston -- they've got these prices that frankly i know you had to address with a pricing change for yours, but they come in 70 days, why, why are people crazy about those, and why did you have to adjust your pricing? >> first of all, these market segments are so gigantic. so competition is really good.

we've always thought it was good. it is good for customers. >> fair competition. >> fair competition. is good for customers and businesses and invention. when you look at retail as an example, we have a pretty big retail business and we are still just about 1% of the worldwide retail market segment share, and it is still the case in the u.s., 80% of the retail is still in physical stores, at outside the u.s. about 85%. these are giant businesses and they will bring a lot of successful players. it's good for consumers. we feel good about what we provide for customers, and it is differentiated because we have broader selection than anybody else, and as we were talking about earlier we have very low prices. if you look at the external analyst that looks at e-commerce , they show that amazon prices were 16% lower in the 15 categories they measured than any other retailers. and then customers care about deeply and love getting delivery quickly. so if you have, you know, you

can be successful with smaller selection and good prices and longer delivery, but i feel pretty good about what we offer customers with the larger selections and prices and then how fast the delivery -- >> were you surprised at the growth of these companies? they were out of nowhere. >> as i said a lot of players have been successful in the retail space. we continue to try to do right by customers. we know what they care about in those inputs of selection price and really fast delivery continue to matter for them. >> would you ever do that influencer thing where if i talk about it i get 200 bucks from amazon? >> i think everybody has different ways that they choose to address customers. i think the really best companies try to find ways to be inspired by things that customers like. we will always consider and listen. we care a lot about what our third-party sellers

care about and our consumers care about. what they tell us most is we want the broadest possible selection at low prices and very fast delivery. >> you did cut the prices? you did? >> we just announced a new cost structure for sellers, which we do once per year, and we've lowered the cost for sellers and the commission we take on apparel items. we always have a mix of different cost pieces that are reflective of our own cost structure. if you look at, we took ome down. we took outbound delivery fees down. we took the cost associated with apparel down here gutters where we have costs that we aren't recovering, we try to change so that we can share some of the savings together. we have a mix of those. >> you don't want to lose to sheehan. >> sheehan has a storefront in amazon. most of the companies that we interact with both and aws as well as our retail business, they are both partners and then we have some overlap. >> all right.

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we are back with andy jassy, president and ceo of amazon.com, the most important company in the world. we have too many questions to

cover in one segment. let's get right to it . okay, give me the core value proposition of prime right now. >> prime, for $14.99 per month you get an incredible amount. you get a fast, reliable, unlimited free shipping across the hundreds of millions of items we have, and then you get to use those same benefits off of amazon where we have a program called by with prime wares third-party websites can offer prime members the same free shipping and fast check out, and then you get exclusive access to all sorts of prime events like prime day in summer, or prime deal day where you get all these great discounts and bargains and deals. then you get all of the exclusive selection that you get in prime video from thursday night football to "the lord of the rings," to "reacher " which i know you watch. a great selection of exclusive video content, and you get the channels from our third-party media partners like max and paramount+ and b.e.t. . and then you get over 100

million free, ad free, and free songs from the prima music benefit. you get grocery shipping benefits. you get prime photos. you get a subscription to grub hub. it is an incredible amount of value that prime members get for $14.99 per month, and it is part of why they shop across amazon in the broadway they do. >> listen i'm thinking, why not charge double? people will pay it. >> i appreciate that. you know, we add benefits to prime all of the time, and we have for many years, and we're always trying to give customers the best possible deal. from time to time we will raise the prices as we keep adding more value to make sure we can afford a sustainable program, but we are trying to make it as high-value as we can and customers love it.

>> i like the special event that you have come a and i'm thinking, my fabulous call continues, a program tonight 10:00 in nashville, and you guys have done a big thing in nashville making a nice auditorium. could we see something like a taylor swift concert on amazon, for members of prime we get it? >> we have done a number of live concerts as part of a combination of prime music and prime video. i don't know if you watched the black friday football game, which was the first black friday football home -- game ever. >> i stayed home. i shopped on amazon. i didn't go to the store. >> it was not the most competitive game but if you watched the production, i thought it was pretty fun. one of the things that happened is we had a garth brooks concert that he did live in nashville that was available to prime members.

actually, because black friday was free to everybody the other people were able to watch as well, but we do a number of concerts like that. there are all sorts of special events we do for prime members. >> let's talk about some of the things that you are doing with amazon web services. one of the reasons why is this is just a phenomenally profitable thing. i met you a few years ago and all you talked about was how you kept cutting prices, because you want everybody, but you also wanted deals. last year, the rate of growth slowed, but then we got a bounce. is that bounce continuing? >> i think if you look at the growth rates of aws, per the q3 results released, you saw the year-over-year growth rates start to stabilize, 12% year- over-year. while there is still cost optimization going on from companies, it is largely attenuated. is not nearly the same rate as before. we made a decision in the beginning of the pandemic, right, wrong, or indifferent, we think it was the right decision, that was different

from other companies. even though we knew it might be a difficult economy, instead of trying to squeeze every last dollar from our customers which a lot of our competitors did, we would try to side with company -- customers, and we would side with him against the uncertain economy. we knew that in the short term it might lead to lower revenue growth, but if we do right by customers over a long period of time, we believe it will help customers and the business right along with it. i think we made the right decision for customers. i think they were really appreciative. we feel good about the deal growth we've seen in the last few months, and i continue to be very bullish about aws come 2024 and beyond. the business today is about $92 billion revenue run rate business. 90% of the global i.t. span is still on premises. if you believe if that's going to flip in the next 10 to 20 years, which i do, if we continue to have the best functionality by a large bit,

which we do, if you continue to have the largest partnering as we do, and the customer orientation we do, i think we have a lot of growth. not to mention what's happening in generative ai, which i think will transform virtually every customer experience. that's another huge opportunity. >> you did say, and i'm going to quote you, tens of billions of dollars in revenue over the next several years. how is that possible? >> if you think about virtually every customer experience that you know, if you think about all of those being changed and evolved and reinvented with generative ai in the middle of it, i mean, the global i.t. span is really no large numbers. trillions of dollars. i think that in my opinion almost all of the general div ai, especially because all of those efforts are effectively starting now, are going to be in the cloud. so i think that there's going to be a huge number of, every

company is going to reinvent their core customer experiences that way. >> i'm not sure they even know what they're doing. they are in it. they say they have any ice strategy. i know you must help a lot of companies, but aren't there a lot of companies that are doing it for show? >> i think almost every company now, either they themselves as a leadership team or their board knows that this is really transformational what's happening with generative ai, so everybody knows it to change their experiences. now i think a lot of companies are still in the stage of trying to figure out at what layer in the stack they want to operate at in the generative ai stack, and there are three main layers and they are trying to figure out where. and they are trying to figure out which experiences they should go after first, and what are the going to change about it . most of the conversation generative ai has been at the top layer of the stack them up at all three layers, and we are

investing in all three in the same way. that lower level is the computer to train the models and run the predictions and inferences. the key is chips, and we've been building our own custom ai chips. >> you were the first to go high end nvidia. >> we have a deeper partnership with nvidia. all of the new chips have come out on our aws ec two instances first, and at the same time we are building their own trips for trading and inference for people that want to push the envelope on price-performance. so, that bottom layer, you have a lot of companies will build those large language models on those chips. and that middle layer is really where companies that don't want to invest all of the people and the dollars in building their own models, they want to take an existing large language model, customize it with their own data, and then be able to run it as a managed service. that is why we built a service called redrock which takes not

only our own models which we call titan, but leading third- party models like anthropic instability and, two. let them take those models, customize it , and then have the same security and access control and features they have in aws that they can use in that service. all three layers of that stack really matter. companies are trying to figure out where they're going to build versus leverage over model. >> is definitely for real. andy jassy, president and ceo of amazon. don't miss the final part of the interview and some fireworks during tomorrow's show.

it is time, it's time for a very special seattle edition -- and then the lightning round is over. are you betty -- brian in ohio. ryan. >> caller: jimbo, thank you so much for what you do . me and my friends all got in the market in 2020 and you really helped. thank you so much. >> thank you, big guy. >> caller: my big one of the day is so five. i went to see where it's going. >> it went above eight a few seconds ago. you know what, the race is

going the wrong way. don't leave it. go there. mike in nevada. mike. >> caller: thank you for taking my call. stillwater, multiple price levels, and they've had a string of bad moves over the last year, what do you think? >> we are going to go down there and we are going to go by -- because we can't fool around with bad operators. let's go to dean. >> caller: hey, jim . longtime listener and watcher of the show and the first time caller. u.p. wk, up work incorporated. >> i don't want to buy an online recruiter right now. we are going to have a slowdown in jobs. let's go to abdul in california. >> caller: -- >> well played. what's up? >> caller: one stock that i'm looking to get -- do you think --

>> when we want to buy cryptocurrency, what we do is we buy cryptocurrency. we go right there and we by bitcoin. in that ladies and gentlemen is the conclusion of the lightning round. there is always money somewhere. i am jim cramer. see you tomorrow. i am tyler matheson in for brian sullivan, and right now on "last call" bitcoin anna relentless tear. and why is this fomo apparently m ia? nvidia feels the heat as amd reveals a new ai chip. google throws a haymaker at chatgpt, launching its ai