Jim Cramer rejects SoundHound AI (NASDAQ:SOUN) as investment, citing lack of profitability despite voice AI technology and past NVIDIA backing

On April 10, CNBC host Jim Cramer told a caller that SoundHound AI—a company building voice recognition software (technology that lets businesses create voice-controlled experiences)—should not be in investment portfolios. His reasoning: the company is not yet profitable, and past excitement around it (fueled by NVIDIA holding a stake) has faded.

Cramer's rejection was blunt: 'We cannot be in SoundHound. We're better than that' and 'They ain't making money. So I'm a no go on that one, partner.' He contrasted SoundHound with other AI stocks he views as having better upside potential and lower downside risk.

For retail investors and business professionals watching AI stocks, Cramer's call is a signal that even AI companies with real technology (voice AI is a live product category) can be risky bets if they haven't reached profitability—a shift from the 2023–2024 mindset where any AI company attracted money regardless of earnings.