Categories: Top Stories

Oracle rating downgraded by S&P, now stands one notch above junk; reason is Sam Altman

S&P Global Ratings lowered Oracle’s credit rating to BBB- from BBB. The agency cited significant risks associated with Oracle’s expanding AI infrastructure business. OpenAI’s substantial reliance on Oracle’s services presents a key credit risk for the company. Oracle faces potential financial strain from massive data center leases if OpenAI defaults. The rating agency warned of further downgrades if leverage exceeds 4.5x.

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