> They aren't saying they guarantee 100% uptime

> Cloudflare ("Company") commits to provide a level of service for Business Customers demonstrating: [...] 100% Uptime. The Service will serve Customer Content 100% of the time without qualification.

This is a legal commitment to provide 100% uptime. They are guaranteeing 100% uptime and defining penalties for failing to meet that guarantee. The fact that a penalty is defined does not stop it from being a guarantee.