S&P Global downgrades Oracle credit rating, cites OpenAI as key risk

Jul 12, 2026

S&P Global has downgraded Oracle's credit rating to 'BBB-', one notch above junk status, citing OpenAI as a key credit risk. OpenAI accounts for roughly half of Oracle's $638 billion in contractual obligations, and if OpenAI walked away, Oracle would be left with significant unused data center capacity.

Why it matters: This downgrade highlights the financial risk for cloud providers when a single customer represents a large portion of their contractual obligations.

Full story at: The Decoder ↗