Capgemini sells US subsidiary after criticism over ICE contract
French IT company Capgemini has agreed to sell its US federal services subsidiary to ITC Federal following controversy over a contract with immigration agency ICE. The deal is expected to close in the coming weeks.
French IT giant Capgemini announced on Saturday that it has reached a definitive agreement to sell its US subsidiary, following controversy over its links with ICE, the US immigration enforcement agency under President Donald Trump. The buyer is ITC Federal, described by Capgemini as a US provider of digital services and solutions for federal agencies responsible for homeland security and defence.
According to Capgemini, the transaction is subject to the usual conditions for a deal of this kind and is expected to be completed in the coming weeks.
Decision followed disclosure of ICE contract
Back in February, Capgemini had already announced its intention to sell Capgemini Government Solutions, its US subsidiary specialising in services for federal agencies. That decision came after it emerged that the subsidiary held a contract with ICE for a tool designed to identify foreign nationals present on US soil and track their movements.
At the time, Capgemini said that legal constraints in the United States governing contracts with federal entities involved in classified activities had prevented the group from exercising proper oversight over certain aspects of the subsidiary's operations. Members of the French parliament and Economy and Finance Minister Roland Lescure subsequently called on the company to provide clarity about its US operations.
ICE under scrutiny
ICE, tasked with enforcing Trump's tougher immigration policy, has faced strong criticism across the United States over the conduct of its heavily armed officers, whose intervention methods have been described as violent. The agency was also blamed after the shooting deaths of two US citizens in Minneapolis earlier this year.
Capgemini operates in around fifty countries and ranks among the leading French companies listed on the stock exchange. The group reported turnover of 22.5 billion euros in 2025. According to the company, the subsidiary being sold accounted for just 0.4% of its global turnover and less than 2% of its US revenues that year.
