Well, tech is holding up well given it has high multiples coming into this part of the reason tech is the answer to some of the issues particularly working from home, things like krits tricks, zoom, microsoft, amazon, have outperformed it appears this is going to be somewhat of a permanent change theres a spike but even coming out they could benefit we would like to see more breadth within tech. Its been big and focused. Last week was interesting. As we started to get a rally in tech we got a sense for whats going to perform on the other side, services,semis, smaller cap names. We dont think were there yet but looking for infection rates to come down, pmis to improve. The economy is on the mend and then hopefully on the other side steve, its interesting over the past day we see some little moves in this environment that might suggest something. Yesterday microsoft announced changes to office 365, calling it microsoft 365 planning to open up access to teams and features in teams to more consumers. At the same time we see some labor actions with amazon, both in their retail logistics facilities and in whole foods. Do you think those point to the sorts of tensions with people versus software that were going to see in the months ahead i think thats probably right. Tech and washington used to be two completely different worlds and thats just changed dramatically obviously coming into covid19 there was a real tech lash against a lot of those companies. Workers even then demanding for better conditions, sharing in more of the profits. I think on one hand these companies are working well with the government and there may be less tech lash in that sense coming out and the government will have a lot of priorities beyond antitrust. I think the f. A. A. N. G. Companies will be advantaged by that but you see calls for these guys are rich, why arent they doing more for their employees and thats going to be something i think we will have to live with for some time and could limit the multiples on the stocks. Steve, going back to your point about the fact that tech has held up relative to the rest of the market, i mean dow is on pace for its worst ever First Quarter decline on a personal basis, yet microsoft is actually up 3 for the quarter despite all of that turmoil. Has valuations in tech more broadly come down enough to for you to feel like there are compelling opportunities here . I would say valuation is not yet compelling we have had about a 3 to 4 p e turn decline in most of the sectors but were still above the 215, 218 troughs and well above 2000 and 2008. Im generally not convinced valuation is the reason to own nor not own tech it tends to be a momentum driven group. We were on an extreme on the high side of valuation i cant argue were at a low point. I would point out that even though i made the case relative performance of tech is holding up from an absolute point obviously most of the stocks are down, perhaps not microsoft, but these charts are broken and we got a big bounce from being oversold but in many cases these charts are still broken. You know, we still think the absolute performance of tech is going to be pretty questionable, but again if you have to be somewhere, names like microsoft make sense. That does make sense. Lets make this a broader conversation and talk about internet and bring in rbcs mark mahaney, who i believe im not sure if youre joining us via skype or phone, looks like via phone. Good to have you you put out a note youre taking down your estimates of facebook of cour , google, pin industries, this v, im sure you mean the vshaped recovery might go lower than you thought what are you seeing . The third time in three weeks we did this. We did this going into last weekend and there was three major material data points that came out last week first, twitter essentially prereleased and talked about march month trends down, implied down 10, 20 and then facebook puts out this blog for the First Time Ever that ive tracked the company talking about weakness in ad revenue. Ive never seen them talk about that and third, one of the biggest internet advertisers out there, booking. Com, known as priceline, talks about publicly dramatically curtailing its marketing spend. Things got worse interest our perspective. For the third time we cut numbers on the advertising names. I think if you look at all of the internet companies, the travel kind of hospitality names, most impacted advertising in the middle. And then you still have a few defensive plays but there are few and thats the netflix, amazons and acamis of the world. Just to dig into that more. The fact that we are seeing weakness in internet advertising while some of the same companies are saying their euruser numbers are up, engagement numbers are up, at what point do you see the advertising dollar flows start to shift given the fact that there are so many more people sitting at home engaged in the internet and clicking through these different sites and using they can i think what you have is a buyer strike i think advertisers are simply cutting back on demand im sorry on brand campaigns and then on performance marketing campaigns. It doesnt matter what kind of engagement you have got. Its great for the business long term advertisers dont want to advertise in the environment certain sectors that have gone zero in terms of ad dollar spend, travel and hospitality, a lot of major brand advertisers, consumer discretionaries, high end, high price point. I think those campaigns have been stopped now those could be turned on very quickly again and we assume they will. Thats why were goi when that is is hard to know you know, regardless of your engagement twitter was your data point. Twitter is saying theyre seeing an acceleration in user growth but the ad arent followsing that thats the case with google and facebook they will be the last to cut because they haves the best proven roi in terms of internet advertising and frankly across all ad platforms, the more second tier speculative ad buys, pinterest, snapchat and snap and twitter, those will be cut so those youll see a more severe v with those names mark, its carl really quick, wp p today did pull the dividend, the buyback, their guidance and they said were very cautious about the impact on Marketing Budgets and i think theyre talking extravel. What makes you think the spigot would be turned back on from nontravel related companies once we get through this well, i think it will get back to, you know, you need to generate demand for your products and if youre going to launch new products you want to advertise. Twitter has been a pretty good place to advertise new launches. One of the big positives we saw if i go back a little bit in history of q4 last year, was kind of a surge in Online Advertising associated with the distance plus launch there will be other video streaming launches and ad budgets spent against those. I think youre going to go through four, eight, 12week pause in new ad campaigns, especially for certain verticals, travel, highend Consumer Discretionary those will come on the question is the timing and whether thats back after the year or early next year. Our guess right now, our assumption is the back half of this year. All right lots of talks of vs, us, ls, different letters in the shape of the recovery. Thank you mark and steve whole foods employees are staging a nationwide sickout this morning, adding to some of the trends weve seen with amazon and instacart this week deirdre explains the latest. Hey, good morning, morgan instead of walking out whole food workers are calling in sick to demand better protections amid coronavirus among the things they want paid leave for all workers who selfisolate or selfquarantine, hazard pay of double the current hourly wage for workers that are showing up and free coronavirus testing for all employees. Now guys, im in a group chat set up byes the organizers of todays sickout. Theres about 300 members. Several of them have said that they have already called in sick today. Another man says hes going to show up to his store in wisconsin with a loud microphone and megaphone and a sign beyond the sort of anecdotal stuff its going to be difficult to see the size and scope of these things, as it has been with other coronavirusrelated demonstrations last week a group of instacart workers staged a nationwide strike that attracted a lot of attention in the leadup and yesterday, but instacart told us they had, quote, seen absolutely no impact to operations. Also yesterday, morgan mentioned this, amazon workers at a Fulfillment Center in Staten Island staged a walkout. Amazon said there was only about 15 of them of more than 5,000 people now we will see how todays action pans out, what kind of attention it gets at whole foods. But perhaps guys, we could see a little bit more added pressure because just this morning i know weve been hearing about it, walmart has implemented more Safety Measures for their employees including requiring a Temperature Check for anyone that comes in, any employees that come in back to you. All right deirdre, thank you very much. Dow up 66 points on this final day of q1. Take a look at some of the quarter to date losers on the ndx. United and american down 50 , marriott and expedia and align technologies lta are a bback in a moment. Lot of Financial Sense for them to stay in this great big house. But, well, this is home. Its where they raised their three boys. Could they downsize . Sure. Will they . Not as long as thanksgiving is a holiday. Planning for the future is about more than just money. Let equitable be your guide. Welcome back lets get to jim cramer who joins us with a special guest, Marvel Technology ceo matt murphy jim . Thank you so much, jon. Matt, great to see you you are on the i would say the cutting edge of whats going on in semis and used to be ran the Semiconductor Industry trade group. What i want to talk about today is how theres an infrastructure idea being floated in washington by the president , but you think that semiconductors are the new infrastructure and why dont you speak to that. I really couldnt agree more sure, jim its great to hear your voice. I actually just saw the tweet from the president about the infrastructure bill and we couldnt be more supportive of that i think a key element of that needs to be the Data Infrastructure of the country and you can see the load thats being put on every nations Data Infrastructure today, semiconductors is the essential Building Blocks of almost everything thats built in the world, in particular the networks of the world, which include 5g, cloud infrastructure, all the advanced networks and interconnected products out there all powered by semi conductors we couldnt be more supportive as an industry for the country to invest in infrastructure. A key part of that needs to be the Data Infrastructure and physical infrastructure. I think we certainly saw that yesterday over the weekend, there was a note by satya nadella, really incredible, talking about 775 increase in traffic for azure is, and that 5g would make it so it was even more robust. What would a 5g world look like with all of this new stayathome, trying to get in touch with each other work, which seems to be maybe the future even after this i think it very much is the future, jim. I think even when were, quote, back to work i dont think its going to be the same as before i think companies not only Tech Companies but all companies are rethinking their workforce and footprint. I think 5g is a critical part of that and if you look today, certain countries are making the investment, china being one of them, where theyre viewing this as part of not only a stimulus for their economy, but a way to get their people back to work and get people connected i also saw hans was on last week and i think verizon as well commented about their continued investment there thats going to be a key part of how we think about working differently in the future and 5g will play a key role not only because of the bandwidth and the improved data rates but the lower latency and improved reliability of that network will be a big deal when it comes to remote work and different ways of working in the future couldnt agree more theres Something Else that i think is very important we should talk about. You mentioned hans hans came on mad money and took a pledge and the pledge was he had no plans to lay off any of this employees because of covid19 i understand that crisis has brought out the best in marvel and youre taking a pledge yeah, jim i think look, the crisis has brought out i think the best in the Business Community you had dan schulman on earlier. I know dan i think the ceos of all Major Companies are stepping forward to do their part i think every company and every industry is in a different position ourselves at marvel were fortunate, our company is financially strong is, healthy, aligned to very strong growth and markets and as a result, you know, what ive told the employees of the company is that we have no plans to lay off any employees as a result of covid i want the team to be totally focused on the mission at hand, which is taking care of our customers during this time and also for them to feel confident that they can take care of themselves, their families, which includes their children, and also their parents because many people are struggling today with the impact of covid and so as a company and a Leadership Team we made that decision to just allow people to focus on doing the right thing and were fortunate that were able to do that right now matt, hi, its jon fortt. I wonder if you can give any per sp speculative on what you perspective on the impact of the rollout of 5g to be . When this really gets going, people will have to get up on poles and install equipment. They clearly cant do that now what sort of impact in delay and demand is that going to have yeah, sure, jon i think first of all, its unclear, you know, exactly how the impact of the virus is going to affect it certainly theres the human aspect of it, which is the countries in which its going to be deployed needs to be safe, it needs to be in stable position countries like china where they are ahead of us coming out of it, they have very robust plans to do the installation work and to build out the network and thats going to be i think a big boom for 5g. I think other countries like the u. S. , as hans mentioned, and others, it really depends on us getting some stability and people feeling safe again. So i think theres going to be some puts and takes. On the one hand, you know, you can see the benefit of implementing this network and any kind of Infrastructure Spending or stimulus will drive that on the other hand i think every Single Company and country is going to put the safety and the health of their employees first. I think thats the balancing act. The economics make total sense its actually much more Cost Effective to deliver services and data to consumers through 5g its more efficient. I think over time youre going to see country by country, a rollout. Its a multiyear thing weve never said this is a one year these cycles can take anywhere from 5 to 7 years in terms of their total life were in the early innings of this and i think while there are some puts and takes in the short term, we are very optimistic about the deployment of 5g, understanding the human aspect of it is probably the most important. Yeah. Matt, Morgan Brennan here. Digging further into this infrastructure discussion, more specifically, i mean micron and sam sung have flagged Strong Demand in the Data Center Market in the midst of this outbreak. Is that what youre seeing at marvel where are you seeing the strengths and weaknesses amid coronavirus . Right were, you know, were seeing the same types of things were not just exposed to the Wireless Network actually we have a very strong position in the cloud and think of it in all of the key parts of the network in between and so that part of our business, which is now the bulk of the company candidly, we still see demand as being very strong. I think the same trends that you mentioned are going to drive demand for Network Equipment the challenge right now is, theres a number of supply issues in the industry as we came out of 2019, the whole chip industry was on a very strong upswing and so supply was already tight before the impact of covid19 and now you have the interesting dynamic supply constraints on the one hand exacerbated by certain countries going into shelter in place orders with little notice and companies managing around the supply chains and on the other side of it is really where does the end demand, you know, end up when this is all done. We certainly believe and see in our own company that companies aligned to the Data Infrastructure opportunity should do well through the cycle and its a ray of hope in a very challenging time for most companies and most economies right now and its a bright spot and thats one reason i wanted to come on and share some of our insights and things were seeing. Im glad you did because in the course of all of this what were forgetting is you have unbelievable new orders from samsung, youve got fantastic new business with nokia, youve rearranged the company so i think its the ultimate 5g play. You are starting to see some return in china. We know that sanjay from micron was on mad money talking about tightness and supply we had david, the new ceo of western digital, talking about tightness and supply there must be some real goods business happening right now from marvel. There is. There is very Good Business happening. Were, you know, as a company, you know, despite the fact that we got almost all of our employees now working from home, were bending over backwards to take care of these requests. I can tell you our team is has incredible perseverance, a week and a half ago i got an elon musk from one of our key design groups, we taped out to our partner one of the largest, most complex chips in the history of the company we