CISPE and Four Allies Urge EU to Impose Interim Measures on Broadcom Over VMware Partner Program Termination

The Core Dispute: Broadcom's Termination of the VCSP Program

The conflict traces back to Broadcom's acquisition of VMware, completed in November 2023 for approximately $65–69 billion . After the acquisition, Broadcom fundamentally restructured VMware's partner ecosystem. Key events include:

• October 31, 2025: Broadcom gave notice that it was phasing out the VMware Cloud Service Provider program .
• January 2026: The termination took effect for European providers .
• March 2026: A hard deadline was set for partners to exit or convert to new terms .

Broadcom replaced the previous pay-as-you-go VCSP model with mandatory three-year annual subscription commitments at predetermined base prices, regardless of actual usage. CISPE argues this "destroys the fundamental operating principle of cloud computing" . The Register reported that Broadcom "brought the hammer down" on VCSPs, moving to an invite-only model with far fewer authorized providers . Reports indicated that as of January 2026, only 19 VCSPs remained in the U.S. .

CISPE's March 2026 Antitrust Complaint

On March 19, 2026, CISPE filed a formal competition complaint with the European Commission's Directorate-General for Competition . This marked CISPE's second major antitrust complaint against a dominant U.S. vendor, following a previous complaint against Microsoft over cloud licensing practices that was settled in 2024 .

The complaint requests:

• The Commission impose interim measures to suspend Broadcom's termination of the VCSP program in Europe .
• Affected cloud providers receive a three-year transition period to migrate from VMware to alternative platforms .

CISPE characterized Broadcom's conduct as "bulldozing Europe's sovereign cloud capability" and constituting an "abuse of dominance" . The group warned the changes amounted to a "death sentence" for smaller European cloud providers .

The Pending Annulment Challenge at the EU General Court

Running parallel to the complaint is a separate legal challenge. On July 23, 2025, CISPE filed an action for annulment (Case T-503/25) before the EU General Court against the European Commission's July 12, 2023 decision that conditionally approved Broadcom's acquisition of VMware . CISPE contends the Commission failed to properly assess anticompetitive risks, particularly the risk that Broadcom would later impose restrictive licensing terms — an outcome CISPE says has now materialized . The case is listed as pending on the EU's InfoCuria database .

Broader Context: European Digital Sovereignty

The dispute is part of a broader European push to reduce dependence on U.S. hyperscalers and build indigenous cloud infrastructure. CISPE has explicitly framed the fight in sovereignty terms, arguing that Broadcom's practices "decimate" the European cloud service provider ecosystem, raise costs, and eliminate customer choice . European regulators are increasingly scrutinizing licensing and partnership tactics that potentially lock European providers into American technology stacks.

Broadcom's Response

Broadcom has "strongly disagreed" with CISPE's characterizations, telling CRN that the group "misrepresents the realities of the market." Broadcom argues the VCSP changes are a legitimate business realignment and that partners have alternatives . Broadcom has also raised procedural objections in the ongoing EU investigation, including invoking U.S. legal professional privilege to withhold correspondence and seeking to suspend the Commission's requests for information .

What Happens Next

The European Commission is now weighing whether to impose interim measures — an extraordinary remedy that would temporarily block Broadcom's program changes while the full investigation proceeds. The General Court case separately challenges the legal foundation of the merger itself. The outcome of both proceedings could have significant implications for how large technology companies structure their licensing and partner programs in Europe, and for the broader trajectory of European cloud competition and digital sovereignty.