The non-profit association CISPE (Cloud Infrastructure Service Providers in Europe) has launched a new body in charge of monitor unfair software licensing practices in the cloud market.
This organism, which they have called ECCO (European Cloud Competition Observatory), has been launched as part of an agreement signed between CISPE and Microsoft following a formal complaint by its members filed with the European Commission over the anti-competitive business practices used by Redmond.
In fact, according to CISPE, ECCO will focus on monitoring compliance with the commitments made by Microsoft last July. But it will also be dedicated to monitoring the licensing practices that are applied and that affect both cloud providers and their customers.
According to CISPE members, ECCO will operate with an independent governance structure, on which various customer advocacy organizations, such as the French Cigref or the Belgian Beltug, will act as observers so that their activities and measures reflect the perspectives and points of view of customers in the cloud sector.
As we have mentioned, ECCO’s activity will initially focus on monitoring that Microsoft complies with regulations, but it also has the monitoring of more technology companies on the horizon, since there are more companies facing investigations for anti-competitive business practices in the Union. European. Among them is Broadcom, due to the practices implemented with VMware, its subsidiary.
ECCO will not be responsible for filing complaints, but findings of anti-competitive practices reflected in its reports could enable other entities that may file complaints to use the information to strengthen their complaints. Also, without a doubt, to increase pressure on companies that use anti-competitive practices in the EU, with a view to their suppression before having to face an official investigation.
Francisco Mingorance, Secretary General of CISPEhas highlighted «Vice President Vestager’s role in establishing ECCO as part of the agreement with Microsoft. ECCO will act as an oversight committee over any software providers that employ unfair practices to disrupt the European cloud market, with Broadcom currently under our watch.«.