French tech company Capgemini said on Sunday it was selling its US subsidiary Capgemini Government Solutions after coming under pressure in recent days to explain a contract it signed with US immigration enforcement agency ICE.
"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.
It said the divestment process "will be initiated immediately".
The group's contract with ICE was first revealed by independent media outlet l’Observatoire des multinationales.
It found Capgemini sold “skip tracing” services – a form of data-driven locating and tracking of individuals whose whereabouts are unknown – used by ICE to verify home and work addresses and support removal operations as part of a large-scale anti-immigration crackdown.
Read more‘Essential’ to ICE: French IT giant Capgemini under fire over migrant tracking role
The framework agreement is capped at over $365 million, with nearly $4.8 million already committed.
Capgemini, which operates in around 50 countries, convened an emergency board meeting this weekend. In an internal message sent to employees, the group specified that the disputed contract, awarded in December, "was the subject of an appeal".
According to the group, Capgemini Government Solutions represents 0.4 percent of the group's estimated revenue in 2025 and less than 2 percent of its revenue in the United States.
(FRANCE 24 with Reuters)