‘Death sentence’: EU cloud lobby takes Broadcom to Brussels over VMware partner purge
Summary
The Cloud Infrastructure Service Provider in Europe (CISPE), representing nearly 50 smaller cloud providers, has filed an antitrust complaint with the European Commission demanding interim measures to stop Broadcom from closing the VMware Cloud Service Provider (VCSP) programme. CISPE says Broadcom’s post-acquisition actions — steep price rises, upfront payments, product bundling and a cull of authorised partners — amount to an illegal squeeze that will gut many European suppliers and reduce customer choice.
The VCSP programme officially closed in January and all deals must be wrapped by 31 March. CISPE warns that hundreds of businesses across Europe could lose authorisation, leaving some effectively driven out of market unless regulators step in. Broadcom disputes the claims and says it remains committed to investing in European VCSP partners.
Key Points
- CISPE has lodged an antitrust complaint with the European Commission and requested interim measures to block Broadcom from terminating the VCSP programme.
- CISPE accuses Broadcom of post-acquisition abuses: large price hikes, upfront payment demands, unwanted bundling and minimum commitments tied to projected usage.
- The VCSP programme was closed in January; transactions must complete by 31 March, after which only a small set of suppliers will be authorised.
- Broadcom denies the allegations and says it will continue to invest in European partners; CISPE says this is a forced market consolidation favouring a narrower ecosystem.
- CISPE has history with competition complaints (including actions against Microsoft) and is also seeking annulment of the EC clearance of Broadcom’s VMware acquisition.
Context and relevance
This story sits at the intersection of cloud market structure, post‑merger conduct and EU competition enforcement. Since Broadcom’s $69bn takeover of VMware in October 2023, many customers and partners have complained about licensing and pricing changes; CISPE’s complaint is the latest formal challenge and could prompt speedy interim action if the Commission agrees there’s an urgent risk of harm.
For cloud providers, system integrators and enterprise IT buyers across Europe, the outcome matters: it affects supplier choice, pricing, data sovereignty and migration costs. Regulators are increasingly attentive to how dominant players manage partner ecosystems after acquisitions, so this could set a notable precedent.
Why should I read this?
Because this isn’t just another vendor spat — it could reshape who you can buy VMware services from in Europe and how much you pay. If you run or buy cloud services, you’ll want to know whether your provider is at risk of losing access or being forced into costly migrations. We’ve skimmed the legal noise and pulled the bits that actually affect your contracts, costs and options.
