San Francisco, CA – European cloud service providers are escalating their concerns over Broadcom’s handling of VMware, filing a formal antitrust complaint with the European Union and requesting an immediate halt to changes impacting the VMware Cloud Service Provider Program (CSPP). The move, spearheaded by the Cloud Infrastructure Service Providers in Europe (CISPE), alleges anti-competitive practices following Broadcom’s acquisition of VMware in November 2023. The core of the complaint centers on Broadcom’s restructuring of the CSPP, which CISPE argues effectively excludes the vast majority of European cloud providers from offering VMware products to their customers.
The dispute highlights growing anxieties about the concentration of power within the cloud computing market and the potential impact on innovation and competition. CISPE contends that Broadcom’s actions are creating a two-tiered system, favoring a select few partners while severely limiting options for smaller and independent European cloud providers. This situation, they argue, ultimately harms businesses and organizations across Europe that rely on VMware technologies.
Broadcom’s Restructuring of the VMware Partner Program
In January 2026, Broadcom signaled its intention to significantly alter the VMware Cloud Service Provider program in Europe. According to CISPE, this decision resulted in the removal of all but a “tiny minority” of partners, effectively shutting out most European cloud service providers from reselling VMware products. This abrupt change has left many providers scrambling to find alternative solutions and has raised concerns about the future of VMware’s presence in the European cloud market. The program’s restructuring is a key element in the antitrust complaint filed with the EU.
The timing of these changes is particularly sensitive, coming after Broadcom’s $61 billion acquisition of VMware in May 2022. The acquisition, initially approved by regulators, is now facing renewed scrutiny as CISPE continues to challenge its legality, filing an appeal with the European General Court in July 2025 to annul the European Commission’s approval.
Allegations of Price Hikes and Anti-Competitive Practices
Beyond the restructuring of the CSPP, CISPE’s complaint alleges a pattern of “ongoing abuse” by Broadcom, specifically citing substantial price increases for VMware products. Reports indicate price hikes ranging up to tenfold, with some customers reporting increases as high as 900 percent. These dramatic price increases, coupled with restrictive product bundling and commitment requirements based on projected rather than actual usage, are creating significant financial burdens for cloud providers and their customers, according to CISPE.
Francisco Mingorance, Secretary General of CISPE, stated, “After imposing outrageous and unjustified price hikes immediately following the acquisition of VMware, Broadcom is now applying the ‘coup de grâce.’ We necessitate urgent intervention to force them to change.” The organization argues that these practices are designed to force customers towards Broadcom’s preferred solutions and stifle competition within the European cloud market.
Broadcom’s Response and CISPE’s Membership
Broadcom has strongly refuted the allegations made by CISPE, dismissing them as misrepresentations of the market realities. In a statement, the company asserted its commitment to investing in its European VMware Cloud Service Provider partners and helping them offer alternatives to larger hyperscalers. Broadcom maintains that its actions are aimed at meeting the evolving needs of European businesses and organizations.
CISPE currently represents 50 member organizations. Notably, the organization also lists Amazon Web Services (AWS) and Microsoft as “adherent members.” However, CISPE clarifies that these hyperscalers do not have voting rights and are prohibited from participating in certain activities within the organization, a structure designed to ensure the independence of the group and its focus on the interests of European cloud providers. The presence of these major players as adherents underscores the broader industry concerns surrounding Broadcom’s actions.
The EU’s Response and Potential Outcomes
The antitrust complaint filed by CISPE has prompted a response from the European Union. The EU has initiated a formal investigation into the allegations and has requested an interim measure to halt the implementation of Broadcom’s changes to the VMware CSPP while the investigation is underway. This request signals the seriousness with which the EU is treating the complaint and the potential for significant repercussions for Broadcom if the allegations are substantiated.
The outcome of the EU investigation could have far-reaching consequences for the cloud computing landscape in Europe. A ruling against Broadcom could force the company to revise its CSPP, lower prices, and adopt more competitive practices. Conversely, a favorable outcome for Broadcom would likely solidify its position as a dominant player in the European cloud market. The case also raises broader questions about the role of regulation in ensuring fair competition and fostering innovation within the technology industry.
Key Takeaways
- Antitrust Complaint: CISPE has filed a formal antitrust complaint with the EU against Broadcom, alleging anti-competitive practices related to VMware.
- CSPP Restructuring: Broadcom’s changes to the VMware Cloud Service Provider Program have excluded most European cloud providers.
- Price Hikes: CISPE alleges significant price increases for VMware products, up to 900% in some cases.
- EU Investigation: The European Union has launched an investigation and requested a halt to the CSPP changes pending the outcome.
The European General Court is currently reviewing CISPE’s appeal to annul the EC’s approval of Broadcom’s VMware acquisition, a case that remains ongoing. The next steps in the antitrust investigation are expected to involve a detailed review of evidence submitted by both CISPE and Broadcom, followed by a potential hearing before the European Commission. The EU is expected to issue a preliminary assessment of the case in the coming months.
Here’s a developing story, and World Today Journal will continue to provide updates as they become available. We encourage readers to share their thoughts and experiences in the comments below.