Cramer Calls 2028 AI Crash Thesis 'Science Fiction' as Software ETF Drops 21.65%
Jim Cramer dismissed Citrini Research’s 2028 ‘Global Intelligence Crisis’ AI thesis as “high-stakes science fiction” following an 822-point Dow drop. State Street’s Software & Services ETF has plunged 21.65% over six months and 20.73% YTD as investors rotate 35% into capital-intensive ‘HALO’ stocks over AI fears.
1. Jim Cramer’s AI Thesis Critique
On Mad Money, Cramer labeled the 2028 “Global Intelligence Crisis” paper as high-stakes science fiction, arguing its bleak outlook for white-collar employment unjustly spooked markets and triggered an 822-point slide in the Dow.
2. Software ETF Slumps
The Software & Services ETF has slumped 21.65% over six months and 20.73% year-to-date as AI apocalypse fears drive down price-to-earnings multiples across major enterprise software names.
3. Institutional Pivot to HALO Assets
Following the sell-off, institutional desks have shifted into Heavy Assets, Low Obsolescence stocks, which have outperformed capital-light software names by 35% since early 2025 as a defensive hedge against AI-driven disruption.