Capgemini sells controversial US government unit

Capgemini sells controversial US government unit

Capgemini has begun the process of selling its US subsidiary, Capgemini Government Solutions. Capgemini came under pressure after it emerged that the subsidiary had signed a contract with ICE.

This is according to a press release issued by the company on February 1, 2026, and reports by Reuters. According to Capgemini, the usual legal restrictions that apply in the United States when entering into contracts with federal government agencies engaged in classified activities mean that the group cannot exercise sufficient control over certain parts of this subsidiary’s activities.

As a result, alignment with the group’s objectives cannot be sufficiently guaranteed. The company reports that the sale process will be initiated immediately.

Reuters reports that Capgemini has been under pressure in recent days to explain a contract with the U.S. Immigration and Customs Enforcement (ICE). This pressure comes amid ongoing criticism of the agency following weeks of protests against U.S. President Donald Trump’s immigration policy.

In its own press release, Capgemini does not mention this context and instead focuses on the legal and organizational reasons for the sale. Capgemini states that Capgemini Government Solutions is estimated to account for 0.4 percent of global revenue in 2025 and less than 2 percent in the United States.

According to the Financial Times, the work for ICE involved so-called skip-tracing services. This involves using data analysis and private investigators to track down individuals in the context of legal proceedings.

French government responded critically

The newspaper also reports that French ministers have criticized Capgemini for failing to oversee these contracts. Among others, French Finance Minister Roland Lescure is mentioned, who questioned the parent company’s oversight of its American subsidiary.

According to the Financial Times, Capgemini has previously stated that its American subsidiary operates autonomously to comply with U.S. requirements for sensitive federal contracts. This is in line with the company’s current explanation for the sale.

The Financial Times further reports that Capgemini has signed skip-tracing contracts totaling $12.2 million during the Trump administration, in addition to previous work totaling $2.5 million in data support. ICE is also reportedly planning to spend up to $281 million through suppliers to investigate approximately 1.5 million addresses.

According to the newspaper, Capgemini indicated earlier this week that the most recent contract with ICE, signed in December, is not currently being executed and that the company learned of this through public sources.

Finally, the Financial Times reports that ICE’s tender documents show that suppliers were asked to verify address details and determine new places of residence using both digital means and physical observation.