Capgemini, a global technology and consulting company, has agreed to sell its subsidiary, Capgemini Government Solutions, to ITC Federal, an American firm that provides services and digital solutions to federal agencies focused on internal security and defense. This move comes after Capgemini decided to separate from the subsidiary in early February, following controversy over a contract that provided an identification and location tool to U.S. Immigration and Customs Enforcement (ICE), a federal agency involved in immigration enforcement. The transaction is expected to be finalized soon, pending standard conditions for such deals. The controversy began in January after reports by the French organization L'Observatoire des multinationales, later covered by France 2, revealed that Capgemini had supplied ICE with a tool to identify and track foreign nationals. These reports emerged during a highly sensitive period in the U.S., following the deaths of protesters who were killed by federal agents, which sparked widespread outrage among unions and French political leaders. The revelations raised questions about the ethical implications of the technology being used in the context of immigration enforcement. Capgemini explained that it had been unable to exert full control over the subsidiary due to legal restrictions in the U.S. for companies working with federal agencies handling classified information. In response to the backlash, the company decided to sell the subsidiary. Capgemini's CEO, Aiman Ezzat, mentioned on LinkedIn that he learned of the contract through public sources. He noted that the subsidiary had operated independently for 15 years and that Capgemini could not access classified information related to its activities. Public records show that the contract, signed in December 2023, was worth $4.8 million and had the potential to increase to $365 million depending on performance. Capgemini had previously stated in September that it could not directly manage the operations of the subsidiary, though it did not elaborate further. This sale is part of a broader restructuring plan by Capgemini, which had announced in January its intention to cut up to 2,400 jobs in France.