Capgemini to Sell U.S. Subsidiary Over ICE Contract Scrutiny

French IT company Capgemini announced on Sunday that it will sell its U.S. subsidiary, Capgemini Government Solutions, amid growing backlash over the unit's contract with U.S. Immigration and Customs Enforcement, or ICE. The decision follows intense scrutiny after two U.S. citizens, Renee Good and Alex Pretti, were fatally shot by ICE and Customs and Border Protection agents during operations in Minneapolis last month.

The subsidiary had secured a roughly $4.8 million contract with ICE in December to develop technology for identifying and tracking migrants in the United States. The agreement drew widespread condemnation, particularly after the Minneapolis incident, which highlighted concerns about ICE's tactics and sparked global protests against the agency's practices. French lawmakers, including Finance Minister Roland Lescure, questioned Capgemini in parliament about the deal, while unions and advocacy groups demanded greater transparency.

In a statement, Capgemini cited U.S. privacy and security regulations as a key factor in the sale, noting that legal constraints on contracts with federal entities involved in classified activities limited the company's ability to maintain...