Despite move into mobile, Microsoft no buy: Cramer

Microsoft just made an aggressive move into mobile. But Cramer wouldn't put money behind it.

This week Microsoft announced plans to acquire Nokia's mobile phone business, the number two handset maker, in an attempt to compete more effectively with Apple, Samsung and other major players.

CEO Steve Ballmer has called the acquisition a pivotal moment for the software giant.

"It's a bold step into the future — a win-win for employees, shareholders and consumers of both companies," Ballmer said. "Bringing these great teams together will accelerate Microsoft's share and profits in phones and strengthen the overall opportunities for both Microsoft and our partners across our entire family of devices and services."

Cramer doesn't quite see it like that.

The Nokia Lumia 720
Photographer | Matt Clinch
The Nokia Lumia 720

"I think that the Microsoft deal smacks of desperation," said the Mad Money host.

That is, Cramer thinks that mobile is advancing so rapidly Microsoft had no choice but to move aggressively or risk becoming irrelevant. And Cramer can't help but wonder if Microsoft is late to the game.

Even if new products are superior to those on the market now, Cramer thinks rivals will be very aggressive in their attempts to prevent Microsoft from gaining a foothold.

"In this space, market dominance is impossible to ignore," he said.

Therefore, the Mad Money host would not put money to work in Microsoft stock. "I would not buy it," he said emphatically "Not at current levels."

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If you are looking to put money to work now, Cramer suggests taking a hard look at Verizon in the wake of the Vodafone deal.

"As far as I'm concerned, in this case the math is simple," Cramer said. "I see Verizon's numbers going higher when the deal is done and that makes the stock a buy when the smoke clears and it settles down."

Call Cramer: 1-800-743-CNBC

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