As more and more companies, start-ups and large institutions migrate to the cloud, Cigref, an association of large companies and public organisations that use digital services, announced on 13 April the launch of a charter of ten principles. This initiative is part of a desire to grant fair software licenses for cloud users.

According to Cigref, the dominance of certain players in key software markets makes it impossible in practice to negotiate fair terms. These principles, developed with CISPE, the association representing cloud infrastructure providers in Europe, seek to neutralise this.

Cigref’s vision of software licensing

Cigref, in collaboration with CISPE, explains that the proposed legislation on digital markets is an opportunity for the inclusion of some software vendors in the market. However, they also state that certain software licensing conditions are being used to restrict customer choice, reduce benefits for new customers and limit the opportunities for growth and innovation for small and large companies.

Philippe Rouaud, CIO of France Televisions, Cigref director and president of its supplier relations club states:

“Cigref members regularly describe in our working groups how licensing conditions that they consider abusive have a deleterious effect on their business opportunities, their growth and their agility.
business opportunities, growth and agility. As companies capitalize on the benefits of the cloud, it is critical to ensure that the practices of some legacy and newer software vendors do not constrain their customers’ choice to move to the cloud. The adoption of these principles is essential to ensure that all businesses derive maximum benefit from the digital revolution, according to their strategy, as well as to ensure the success of the European digital economy.”

The development of ten principles

It is within this framework that CISPE has developed ten principles with the aim of highlighting the practices that it denounces with Cigref and that they consider to be detrimental to the digital transformation of companies and institutions of all sizes as they migrate to the cloud. Cigref and CISPE state that:

“The Ten Principles for Fair Software Licensing for Cloud Users establish a set of voluntary obligations that support Europe’s digital transformation and promote a competitive and fair market for cloud services in Europe.”

CISPE President Alban Schmutz discusses the principles developed, putting them in parallel with the Digital Markets Act:

“We have a historic opportunity to ensure that the proposed European Digital Markets Act regulation will address the unfair practices of some established software vendors to promote a fair and competitive cloud market. Principles are a key element in licensing that meets customer and consumer expectations in the digital economy.”

CISPE and Cigref encourage stakeholders, users, professionals, software publishers or digital service providers to adopt and apply all ten principles. They also call on the European Commission and all EU member states to take these principles into consideration when drafting future obligations for gatekeepers in the proposed EU Digital Markets legislation.

Translated from Le Cigref et CISPE souhaitent mettre un terme aux pratiques des contrôleurs d’accès logiciels