Capgemini agrees to sell US government unit to ITC Federal after ICE contract dispute

Sale agreement with ITC Federal

French digital services corporation Capgemini announced on 12 September 2026 that it entered into an agreement to sell its American subsidiary Capgemini Government Solutions to ITC Federal. The purchasing entity, ITC Federal, operates as a United States provider of digital solutions and technical services tailored for federal agencies managing homeland security and defense portfolios. Capgemini noted in an official statement that the transaction remains subject to customary regulatory conditions required for an operation of this nature. The company anticipates that the transfer will be formally completed within the coming weeks. According to figures provided by Capgemini, the government-focused unit accounted for 0.4% of the parent group's total worldwide revenue in 2025 and under 2% of its annual revenue generated within the United States market.

Origins of the ICE contract controversy

The decision to divest the subsidiary resolves a crisis that began in January 2026 after investigations by the monitoring group L'Observatoire des multinationales were broadcast and detailed by French television network France 2. The published material revealed that Capgemini Government Solutions supplied specialized tools to identify and track the location of foreign nationals to US Immigration and Customs Enforcement, known as ICE. ICE served as a key federal agency deployed under US President Donald Trump during a wide-ranging anti-immigration enforcement campaign. The public emergence of the contract generated intense public reaction in the United States, where fatal shootings of demonstrators by federal agents had already provoked severe social tensions. In France, the revelations provoked protests from Capgemini labor unions and drew sharp condemnation across the domestic political spectrum.

Executive response and oversight limits

In response to the public outcry, Capgemini chief executive officer Aiman Ezzat posted a public message on LinkedIn stating that he had only discovered the existence of the ICE contract through publicly available sources. The unit had specialized in contracting for the American federal administration for 15 years prior to the disclosure. Capgemini's executive leadership announced plans to sell the entire government division in early February 2026, citing strict statutory limitations on foreign corporate governance. The company maintained that American national security regulations prevented French headquarters from auditing or intervening in classified federal projects.

“the usual legal constraints imposed in the United States for contracting with federal entities conducting classified activities did not allow the group to exercise appropriate control”

Corporate restructuring and next steps

The transaction brings an end to Capgemini's direct participation in classified American federal contracting eight months after the initial controversy emerged. The divestment unfolds as Capgemini manages separate domestic employment challenges in France, where an announced corporate restructuring currently threatens 2,400 jobs. Following the completion of the sale, ITC Federal will take over Capgemini Government Solutions and assume responsibility for its federal client commitments. Capgemini indicated that the final closing of the acquisition will proceed once standard administrative procedures and regulatory terms are met in the coming weeks.