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Capgemini Plans Sale of US Division Amid Political Pressure

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Capgemini, the global consulting and technology services firm, is reportedly moving to sell its US subsidiary, Capgemini Government Solutions (CGS). This decision follows increasing political pressure in France regarding CGS’s contract with the US agency, Immigration and Customs Enforcement (ICE). The contract has drawn scrutiny, especially after two fatal shootings in Minnesota involving US citizens.

In a statement to CNBC, Capgemini acknowledged the challenges posed by the legal constraints in the United States. The company stated, “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.”

The contract with ICE, signed in December 2025, has not been explicitly linked to the decision to sell CGS, although it has contributed to the scrutiny the subsidiary has faced. According to CNBC, CGS represents a minor portion of Capgemini’s overall business, accounting for just 0.4 percent of its projected revenue for 2025 and less than 2 percent of its revenue in the US.

Review of Contract and Procedures Underway

In light of the recent events, Capgemini is conducting a thorough review of the content and scope of the contract with ICE, as well as CGS’s contracting procedures. The scrutiny from French politicians, including Finance Minister Roland Lescure, has emphasized the need for greater transparency regarding the subsidiary’s operations and its implications for the firm’s reputation.

While the sale of CGS has not been officially confirmed, the discussions surrounding this potential divestment reflect the growing complexities that companies face when operating in politically sensitive environments. Capgemini’s decision underscores the delicate balance between fulfilling contractual obligations and maintaining corporate values and public trust.

As the situation continues to unfold, stakeholders will be watching closely to see how Capgemini navigates these challenges and what impact this decision will have on its broader operations in the US and internationally.

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