Tuesday, 02 January 2024 12:17 GMT

French Capgemini Announces Plans to Sell US-Based Subsidiary


(MENAFN) French technology conglomerate Capgemini disclosed Sunday its decision to divest a subsidiary that provides operational support to the US Immigration and Customs Enforcement (ICE) agency, a French broadcaster reported.

The corporation confirmed it will place Capgemini Government Solutions on the market, with the divestiture process commencing without delay.

The unit represents around 0.4% of the group's estimated 2025 revenue, and less than 2% of its turnover in the US, according to a company statement.

The decision follows exposes by the NGO L'Observatoire des multinationales, subsequently covered by French public broadcaster France 2, revealing that Capgemini furnished ICE with technology utilized to track and pinpoint foreign nationals.

Nationwide unrest has intensified throughout the US as President Donald Trump's administration advances its hardline immigration crackdown and mass deportation strategy, triggering widespread demonstrations this weekend, particularly following the deadly shootings of two American citizens by federal authorities within the past month.

The controversy has ignited fierce backlash in France, where labor union representatives and political leaders have challenged Capgemini's accountability. Trading on the CAC 40 index, Capgemini maintains operations across approximately 50 nations globally.

French Economy Minister Roland Lescure said on Thursday that transparency was essential, calling on the company to clarify its contracts with ICE and reassess them if necessary.

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