Broadcom Faces EU Antitrust Scrutiny Over VMware Partner Program Changes
European cloud service providers are escalating their opposition to Broadcom’s restructuring of the VMware Cloud Service Provider Program (VCSP), filing an antitrust complaint with the European Commission (EC). The move comes as Broadcom defends its strategy, alleging that the complaints are fueled by VMware competitors.
CISPE Files Antitrust Complaint
The Cloud Infrastructure Services Providers in Europe (CISPE), representing nearly 50 tech suppliers, formally requested EU antitrust officials to temporarily halt Broadcom’s termination of the previous VMware Cloud Service Provider program in Europe on Thursday, March 19, 2026. Reuters reports that CISPE argues Broadcom’s actions are “unfair” and are “irreparably damaging” both cloud providers and their customers.
CISPE is seeking an interim measure that would suspend the program’s termination, reinstate displaced partners, and protect them from potential retaliation by Broadcom. The Register describes the situation as a “death sentence” for some tech suppliers and an “illegal squeeze on customer choice.”
Broadcom’s Response and New Program Structure
Broadcom acquired VMware in October 2023 for $69 billion. Since then, it has significantly reduced the number of partners in the VCSP program, transitioning to a more exclusive, invite-only model. Ars Technica details that Broadcom introduced a requirement for partners to operate at least 3,500 cores, effectively disqualifying hundreds of CSPs.
Prior to Broadcom’s acquisition, VMware had over 4,000 CSP partners. As of early 2026, that number has dwindled to approximately 19 in the US and nine in the United Kingdom. The previous VCSP program in Europe was terminated in January 2026, prompting the current antitrust complaint.
Broadcom maintains that its changes are aimed at improving the quality and focus of the VCSP program. The company stated it is “committed to investing significantly in our European VMware Cloud Service Provider partners,” and focusing on those who can best support customers. They are seeking “larger and bigger partners who can put up a fight” against hyperscalers, according to VMware’s Ahmar Mohammad, who crafted the new VCSP program.
Allegations of Hyperscaler Funding
Broadcom alleges that CISPE is funded by VMware competitors, specifically Microsoft and Amazon Web Services (AWS). CRN reports that Broadcom believes the allegations made by CISPE “misrepresent the realities of the market.” CRN reached out to Microsoft and AWS for comment but did not receive a response.
Broader Partner Program Changes
Beyond the VCSP program, Broadcom is also revising its Broadcom Advantage Partner Program for VMware resellers in Europe, the Middle East, and Africa (EMEA). The lowest tier, Registered, will be eliminated in May 2026, reducing the program to three tiers.
Broadcom’s Financial Performance
Despite the controversy, Broadcom reported strong financial results for the first quarter of 2026, with total revenue reaching $19.3 billion, a 29% increase year-over-year, and an annual run rate of $77 billion.