'Death sentence': EU cloud lobby drags Broadcom to Brussels

CISPE, a European cloud provider trade group representing nearly 50 companies, has filed an antitrust complaint with the European Commission against Broadcom, demanding interim measures to halt the closure of the VMware Cloud Service Provider (VCSP) program. The program officially closed in January, leaving hundreds of European CSPs unable to sell VMware subscriptions. CISPE alleges that since Broadcom's $69 billion acquisition of VMware in October 2023, prices have risen tenfold, payment terms have become onerous, and products are bundled regardless of customer need. The closure forces affected providers to either hand customers to authorized suppliers or migrate to alternative platforms, which CISPE calls a 'death sentence' for some businesses. In the UK, only around nine providers remain authorized; in the US, only 19 from thousands. CISPE has previously filed a competition complaint against Microsoft and is also seeking annulment of the EC's original clearance of the Broadcom-VMware deal.