CISPE Faces Backlash Over Microsoft Cloud Pricing Agreement

A European trade body, the Cloud Infrastructure Services Providers In Europe (CISPE), is under scrutiny for finalizing a deal with Microsoft that grants its members preferential pricing for reselling the tech giant's cloud services.

This agreement permits CISPE members to offer Microsoft’s cloud solutions, including Windows Server and SQL Server, on a pay-as-you-go basis through the CSP-Hoster programme, which comes with pricing comparable to Microsoft Azure. The deal is meant for both current and prospective CISPE members.

While CISPE Secretary General Francisco Mingorance heralds the deal as a significant achievement for fair competition in Europe, critics argue it only benefits a select group and does little for the broader cloud market. The Coalition for Fair Software Licensing has criticized the deal as a weak concession from Microsoft, suggesting it is merely a tactic to avoid regulatory penalties.

The reaction from industry leaders has been mixed, with concerns raised about transparency and fairness for non-CISPE members. Commentators suggest that without wider access to benefits, the agreement may reinforce existing inequalities in the cloud market.