S&P Global Ratings took an early step toward potentially downgrading Meta Platforms Inc.’s credit rating within the next two years, amid growing pressure on the tech company’s balance sheet stemming from elevated spending tied to artificial intelligence.

S&P lowered the outlook on Meta’s AA- credit grade to negative on Friday, according to a statement . The company’s rising leverage, a measure of debt relative to earnings, was also a key factor in the decision, the rating firm said.