CISPE vs Broadcom continues, but this time it’s bringing friends to the party in fight over VMware changes

Battle over acquisition and subsequent partnership and licensing changes continues

Logo of VMware by Broadcom, developer of the VMware EXSi hypervisor, pictured on a black background at Mobile World Congress in Barcelona, Spain, on February 28, 2024.
(Image credit: Getty Images)

EU cloud trade body CISPE has taken another shot at Broadcom, but this time has the backing of other industry groups.

CIPSE (Cloud Infrastructure Services Providers in Europe) has been calling for action against changes to Broadcom's pricing structures for VMware after its 2023 acquisition.

Last year the group filed a lawsuit against the European Commission (EC) for allowing the acquisition to proceed, and in March it called for EU regulators to stop Broadcom from ending the European version of its VMware Cloud Service Provider program.

At the time, CISPE claimed the system would limit sales of VMware products to a "tiny minority of hand selected partners" and exclude most European cloud providers from being able to sell VMware products.

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The latest battle with Broadcom will see CISPE joined in its demand for measures by four other cloud groups: Belgium's Beltug, France's Cigref, Germany's Voice, and the Netherland's CIO Platform Dederland.

In a joint letter seen by Reuters, the consortium urged regulators to “act swiftly and impose interim measures now," and called for the VMware Cloud Service Provider program to continue for at least three years while the existing EU investigation into Broadcom continues.

Broadcom is yet to respond to ITPro's request for comment, but a spokesperson told Reuters the company disagreed with the allegations, which didn't reflect the realities of the cloud market.

The company added that CISPE is funded by hyperscalers rather than smaller cloud service providers.

"We continue to be committed to investing significantly in our European VMware Cloud Service Provider partners (VCSPs) helping them ⁠offer ​alternatives to the hyperscalers and meet the ​evolving needs of European businesses and organisations," the spokesperson said.

Broadcom vs CISPE: A timeline

Broadcom discussed plans to buy VMware back in 2022 for $61 billion, but immediate regulatory scrutiny quickly sparked suggestions that the deal was set to collapse. In the end, the EC approved the acquisition, and saw clearance from merger authorities elsewhere.

In the wake of the deal’s closure, Broadcom sought to reassure VMware customers and partners, promising investment, innovation and simplification of products.

However, that proved to be the calm before the storm, and changes to licensing and later the partnership program alarmed many. That disruption continued with further attempts by Broadcom to tweak the VMware ecosystem.

CISPE has been an outspoken critic of both the deal and the subsequent changes implemented by Broadcom. The trade group accused the firm of "holding the sector to ransom" with the license changes.

A report by its European Cloud Competition Organisation (ECCO) – set up by CISPE to monitor a settlement with Microsoft – claimed that VMware's new contracts were costing customers as much as 1,500% more than before the acquisition

CISPE has since taken the EC to court in an attempt to force the cancellation of the deal, specifically over the licensing rules.

The EU has repeatedly defended its approval of the dea;, but as ITPro reported in December 2025, CISPE suggested this amounted to a “blank cheque to raise prices”.

In March, CISPE was back with a further antitrust complaint related to Broadcom shutting down the VMware Cloud Service Provider program, saying businesses were "irreparably damaged."

Beyond legal challenges, the changes have sparked an exodus of customers, with 86% of those surveyed saying they were planning to reduce their dependency on VMware.

Broadcom has repeatedly denied the allegations, and pointed to the membership of CISPE being made up of hyperscalers.

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Freelance journalist Nicole Kobie first started writing for ITPro in 2007, with bylines in New Scientist, Wired, PC Pro and many more.

Nicole the author of a book about the history of technology, The Long History of the Future.