Paris: French technology group Capgemini has announced plans to sell its US subsidiary following controversy over its work with US Immigration and Customs Enforcement (ICE), citing legal constraints that limited the company’s ability to oversee the unit’s operations.
In a statement released on Sunday, Capgemini said it would immediately begin the process of selling Capgemini Government Solutions, a US-based subsidiary that holds a contract with ICE. The contract reportedly involved identifying foreign nationals on US soil and tracking their movements.
The issue came to light after the NGO Observatoire des Multinationales revealed details of the agreement, sparking criticism from civil society groups, trade unions, and political figures in France.
Capgemini said that US legal restrictions surrounding federal contracts involving classified activities prevented the group from exercising appropriate control over certain aspects of the subsidiary’s work. As a result, the company stated it had “no alternative” but to divest the entity.
According to Capgemini, the subsidiary represents around 0.4 per cent of its estimated global revenue for 2025 and less than 2 per cent of its US sales, limiting the financial impact of the decision.
The company has faced mounting pressure in recent days. French lawmakers and Finance Minister Roland Lescure publicly called on Capgemini to clarify its activities in the United States. Meanwhile, the CGT Capgemini trade union launched an online petition demanding an end to collaboration with US immigration authorities, accusing the company of contributing to enforcement practices that have drawn widespread criticism.
Opposition has also spilled beyond France. Protests against ICE have taken place in several European countries, including Italy, where criticism intensified following reports of US federal agents participating in a limited advisory role at the upcoming Winter Olympics.
The controversy follows recent ICE operations in Minneapolis that reportedly resulted in the deaths of two US citizens, further fuelling public outrage and scrutiny of organisations linked to the agency.
Capgemini said it would provide further updates as the sale process moves forward.
