Thursday, 18 September, 2025
Moody’s Warns of Risks in Oracle’s $300B AI Deals
Moody’s has raised concerns over Oracle’s recently announced $300 billion in AI contracts, particularly the deal with OpenAI. While lauding the growth potential, the ratings agency cautions that Oracle’s reliance on a few major clients creates significant counterparty risk. It also forecasts debt will grow faster than earnings, with free cash flow remaining negative for an extended period before reaching breakeven.
Read full story at Economic Times