Data Center Late-Delivery Penalties Climb to $5 Million a Day

Tenants of AI data centers are now negotiating late-delivery penalties of $5 million or more per day, according to a report from The Information. That is up from roughly $1 million per day earlier this spring. Hyperscalers and AI labs are pushing for steeper remedies when capacity ramps slip, and the shift gives tenants more bargaining power while capacity remains tight. Insurance is following the risk. Marsh is marketing a delay-in-delivery policy to developers facing larger exposure from missed completion dates, which turns a contract negotiation point into a priced insurance line. If you are building an AI company that relies on leased GPU capacity or colocation, check the delivery dates and remedy clauses in your contracts. Missed dates now carry far larger penalties in both directions, so capacity plans and launch timelines need buffers.