Oracle Corp. is facing a broad-based pullback in spending, led by steep reductions among its largest corporate clients, according to the latest survey data from IT market research firm Enterprise Technology Research (ETR).
Oracle’s company-level Net Score — a key metric measuring customer spending intentions — dropped to -3% in ETR’s July 2026 Technology Spending Intentions Survey (TSIS). The reading marks a 5% decline year-over-year and represents the vendor’s second consecutive quarter in negative territory, following a -1% reading in April.
Overall, 20% of enterprise customers surveyed intend to increase spending with Oracle, but those gains are outweighed by 17% who plan to decrease spending and 9% who intend to replace Oracle products entirely.
The downturn is particularly severe among high-value corporate accounts.
Among Fortune 100 companies, Oracle’s Net Score plummeted 17% year-over-year to -6%, marking the steepest decline across any index group. Fortune 500 organizations reported a Net Score of -7% (down 13 points year-over-year), while Global 2000 organizations similarly dropped to -6%.
Analysts note the trend reflects budget compression rather than immediate vendor displacement.
Market pervasion across Fortune 100 to 500 organizations remains high and stable at 33% to 37%. Rather than ripping out Oracle infrastructure, deep-pocketed clients are simply trimming their budgets; 21% of Fortune 500 respondents indicated plans to cut spending, compared to just 7% indicating complete replacement.
Sector-level data reveals significant weakness in core legacy product lines:
Database and data warehousing. Ranked last among its direct competitive peer group, Oracle’s Net Score fell 9 percentage points year-over-year to -9%, trailing the sector’s average of 28%. It recorded the highest replacement indications in its peer group at 9%.
Enterprise applications. Performance diverged sharply by product line. Newer cloud offerings such as Fusion (13%) and NetSuite (10%) outperformed the 10% sector average. Conversely, legacy Oracle On-Prem (-26%) and Taleo (-15%) dragged down results, with On-Prem ranking 13th out of 13 direct competitors.
Cloud computing. A major gap emerged between corporate reporting and survey data. Oracle’s Cloud Net Score fell 9 points year-over-year to 10% — ranking 7th of 8 major peers and sitting well below the 32% sector average. This softening survey signal comes despite Oracle reporting $638 billion in remaining performance obligations (up 363% year-over-year) in its Q4 FY2026 earnings release on June 10, 2026.
Information security. Representing the sole bright spot, Net Score rose 3 points year-over-year to -1%. While ranking 64th in Net Score overall, Oracle holds a 13th-place ranking in pervasion, reflecting a broad but low-growth security footprint.
Demographically, spending intentions fell sharply across key industries, including Industrials and Services, while Financials and Healthcare remained depressed at -9%. Geographically, North America (-2%) and Europe (-9%) were negative, leaving Asia-Pacific (5%) as the only positive region. Executive sentiment also waned, with CxO spending intentions falling 7 points year-over-year to -5%.
