Broadcom faces EU antitrust complaint over VMware programme changes in Europe

Broadcom is facing a fresh antitrust complaint in the European Union after a cloud industry group urged regulators to intervene over changes to its VMware partner programme. The complaint raises concerns that the US chipmaker’s recent decisions could restrict competition in the European cloud market and harm both service providers and customers. The European Commission has confirmed it is reviewing the case, which could potentially lead to a formal investigation. The dispute centres on Broadcom’s restructuring of its VMware cloud service ecosystem following its acquisition of the software company.

The Cloud Infrastructure Services Providers in Europe group, which represents dozens of companies across the region, has asked regulators to impose interim measures to halt Broadcom’s actions. According to the group, the company’s decision to significantly reduce the number of authorised VMware cloud service partners has excluded many European providers from selling key products. The organisation argues that this move risks concentrating market power in the hands of a small number of large players, potentially limiting competition and choice for businesses relying on cloud infrastructure.

The complaint builds on earlier legal challenges related to Broadcom’s acquisition of VMware, which was approved by EU regulators in 2023. Industry representatives have continued to raise concerns that the deal could lead to anti competitive practices, particularly if Broadcom changes how VMware services are distributed. The latest filing claims that the company’s updated partner programme has effectively removed access for most existing providers, creating what critics describe as an uneven playing field in the cloud services market.

Broadcom has rejected the allegations, stating that its strategy is designed to strengthen partnerships and improve service offerings within Europe. The company said it is investing in selected VMware partners to help them compete more effectively with major global cloud providers. It also criticised the industry group behind the complaint, suggesting that its concerns do not accurately reflect the competitive dynamics of the market. Broadcom maintains that its approach is aimed at delivering better value and innovation for customers.

The European Commission is now assessing whether the complaint warrants further action, including the possibility of interim measures that could temporarily reverse the programme changes. Such measures are typically used in urgent cases where there is a risk of immediate and lasting harm to competition. The outcome of this review could have significant implications for the structure of the European cloud market, particularly for smaller providers seeking to maintain access to widely used enterprise software platforms.

The dispute highlights broader tensions within the global cloud computing sector, where competition between large technology firms and smaller providers continues to intensify. As demand for cloud services grows, regulatory scrutiny has increased, particularly in Europe where authorities have taken a more active stance on competition issues. The case involving Broadcom and VMware may become a key test of how regulators balance innovation, market consolidation and fair access in a rapidly evolving digital economy.

With the complaint now under review, industry participants are closely watching how regulators respond and whether interim measures will be introduced. The decision could shape future partnerships and influence how cloud services are distributed across Europe. As the situation develops, both technology companies and cloud providers are expected to adapt their strategies in response to potential regulatory outcomes and shifting market conditions.