- Broadcom received European approval to acquire VMware in July 2023
- The European Cispe Cloud Competition Observatory published Broadcom two red warnings
- Cispe now asks the European Commission to cancel its decision in the midst of current concerns
Cloud infrastructure service providers in Europe (CISPE) filed an official appeal to challenge the European Commission’s decision to approve the acquisition of VMware in 2023 by Broadcom.
CISPE – A group representing suppliers of European cloud infrastructure from Europe, and recently in news for having paid complaints concerning Microsoft’s disloyal cloud license fees – now requests the cancellation of the commission’s decision.
The news occurs about two years after the European Commission approved the takeover, when Broadcom has promised to provide continuous interoperability.
In November 2024, Cispe announced that it would launch the European Cloud Competition Observatory (ECCO) to monitor competition. Later in February 2025, the organization wrote: “In the case of Broadcom, the members and customers of the CISPE report little or no commitment from the company on their questions.”
As such, the ECCO awarded a red / critical status to Broadcom, which was reconfirmed in May 2025, when the ECCO wrote: “This second report notes that the broad and brutal taxation of Broadcom’s disloyal contract terms for the Cloud Infrastructure Service provides constantly.”
At that time, the ECCO called for “urgent official surveys”, while the secretary general of the Cispe, Francisco Mingorance, noted that “Broadcom shows no interest in finding solutions, or even working with suppliers of European cloud effraction”.
“An urgent action is necessary,” added Mingorance.
On July 24, 2025, Cispe said that there had been law errors and a competitive evaluation erroneous by the Commission in the first place – although the Commission recognized the competitive risks, it had not imposed any conditions on Broadcom.
Since the takeover of VMware, Broadcom has terminated contracts with short -term periods and has introduced new license conditions with drastic price increases (up to 10x) and multi -year compulsory commitments.
In this most recent development, Mingorance noted that hospitals, universities and municipal authorities have also been assigned – not just cloud service providers.
“The Commission was warned that this would happen, but it has taken place. It must now reconsider its decision,” concluded the secretary general.
Techradar Pro asked Broadcom an answer to the complaint of Cispe, but we did not receive an immediate response.
