The entire entertainment sector is readjusting after AT&T got legal clearance to buy Time Warner and Comcast topped Disney's bid for a key portion of Twenty-First Century Fox's assets, CNBC's Jim Cramer said Thursday.
"The industry finally got a two-part catalyst: a federal judge who wants old media to have the firepower to compete with new media, ... and Comcast, parent company of this network, has come up with a high bid for Fox that says everything else in the group, literally everything, may just be too cheap for buyers to ignore," the "Mad Money" host said.
While he didn't necessarily agree that companies like Amazon and Netflix — the "new media" — were spelling doom for more traditional players just yet, Cramer could see why Comcast announced almost immediately after the AT&T ruling.
By announcing its $65 billion bid so soon after the verdict, Comcast sent a signal to investors that what matters now in the Fox bidding war is money, Cramer said.
"I know that we never want to be caught thinking for a minute that Facebook, Amazon, Netflix and Google, now Alphabet, are cheap," Cramer said. "But remember what I said yesterday: if the economy's going to slow down from the Fed or a trade war, you want to own FANG and its accouterments because these companies don't need a strong economy to deliver blowout numbers."