French IT company Capgemini will sell its US subsidiary Capgemini Government Solutions, it said on Sunday, after coming under pressure to explain a contract the latter signed with US immigration enforcement agency ICE.
French lawmakers, including Finance Minister Roland Lescure, had asked the company to shed light the contract amid concern over the tactics used by ICE agents following the fatal shooting of two US citizens in Minnesota last month.
“Capgemini considered that the usual legal constraints imposed in the United States on contracting with federal entities conducting classified activities did not allow the Group to exercise appropriate control over certain aspects of this subsidiary’s operations in order to ensure alignment with the Group’s objectives,” it said in a statement.
Capgemini said the process of divestment would be “initiated immediately” but did not say whether the sale was due to CGS’ contract with ICE.
CGS accounts for 0.4% of the CapGemini’s estimated revenue in 2025 and less than 2% of its revenue in the US, the group said.
Capgemini CEO Aiman Ezzat had said last week that the company had recently become aware of the nature of a contract awarded to CGS by the US Department of Homeland Security’s Immigration and Customs Enforcement in December.
However, Capgemini did not have access to any classified information, classified contracts, or anything relating to the technical operations of CGS, as required by US security regulations related to government contracts, he said.
He added that the company would review the content and scope of this contract and CGS’ contracting procedures.
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