Cramer: Why I like this blockbuster deal

Cramer: This big-time social media deal looks good to me

Calling instant messaging service WhatsApp a "powerful force," CNBC's Jim Cramer said on Monday that Facebook's $16 billion acquisition of the rapidly growing social media network last week is part of its plans for "world domination."

While the $16 billion price tag behind the deal — plus an additional $3 billion in restricted stock — turned heads on Wall Street and the media alike, Cramer asked whether investors would rather have Facebook put its sky-high market capitalization to work or instead shift its focus from growth.

Cramer said Facebook can integrate the WhatsApp messaging service into its ecosystem almost immediately.

(Read more: Facebook to acquire WhatsApp in $16 billion deal)

"Look, I think what you want these companies to do is spend their money and use their market cap to be able to ensure that they are the next generation," Cramer said on "Squawk on the Street." "What do you want them to do? Do you want them to buy back stock? Do you want a big dividend from Facebook?"

Asked whether the focus on eyeballs and mind-boggling valuations reminded him of the dot-com bust of the early 2000s, Cramer wouldn't deny the parallels. However, both Facebook and Google look primed for global dominance, he said.

"These two companies are the new world," Cramer said.

Disclosure: Cramer's charitable trust owns shares of Google.

—By CNBC's Jeff Morganteen. Follow him on Twitter at @jmorganteen and get the latest stories from "Squawk on the Street."