diff --git a/operators/multiclusterobservability/controllers/multiclusterobservability/observatorium.go b/operators/multiclusterobservability/controllers/multiclusterobservability/observatorium.go
index 912ffb015..0cc5d1a8e 100644
--- a/operators/multiclusterobservability/controllers/multiclusterobservability/observatorium.go
+++ b/operators/multiclusterobservability/controllers/multiclusterobservability/observatorium.go
@@ -161,20 +161,22 @@ func GenerateObservatoriumCR(
 
 	oldSpec := observatoriumCRFound.Spec
 	newSpec := observatoriumCR.Spec
-	oldSpecBytes, _ := yaml.Marshal(oldSpec)
-	newSpecBytes, _ := yaml.Marshal(newSpec)
-	if bytes.Equal(newSpecBytes, oldSpecBytes) &&
-		labels[obsCRConfigHashLabelName] == observatoriumCRFound.Labels[obsCRConfigHashLabelName] {
-		return nil, nil
-	}
 
-	// keep the tenant id unchanged
+	// keep the tenant id unchanged and ensure the new spec has the same tenant ID as the old spec to prevent Observatorium
+	// from updating
 	for i, newTenant := range newSpec.API.Tenants {
 		for _, oldTenant := range oldSpec.API.Tenants {
 			updateTenantID(&newSpec, newTenant, oldTenant, i)
 		}
 	}
 
+	oldSpecBytes, _ := yaml.Marshal(oldSpec)
+	newSpecBytes, _ := yaml.Marshal(newSpec)
+	if bytes.Equal(newSpecBytes, oldSpecBytes) &&
+		labels[obsCRConfigHashLabelName] == observatoriumCRFound.Labels[obsCRConfigHashLabelName] {
+		return nil, nil
+	}
+
 	log.Info("Updating observatorium CR",
 		"observatorium", observatoriumCR.Name,
 	)