I worked in realtime trading. No. Not at all outrageous. Quite reasonable actually. If that’s what we agreed and I need you to be reliable I will charge you back for being unreliable. I’m happy to pay top and extra dollar for the SLA but that means it needs to be acted on.
I think in your case it’s reasonable. Also a $1.5M contract is likely chump change in that realm.
This particular case was in cybersecurity- specifically static analysis of assets, for the purpose of providing a SBOM.