# Capgemini Divests Federal Unit to ITC Federal

Capgemini is divesting its U.S. federal business unit, Capgemini Government Solutions (CGS), due to political and reputational challenges associated with contracts involving U.S. Immigration and Customs Enforcement (ICE). The unit is being sold to ITC Federal, a U.S.-based IT provider specializing in homeland security, law enforcement, and defense agencies. This transaction is expected to close in the coming weeks, signaling a shift in federal IT contracting within sensitive agency domains.

- **Why this matters:** Procurement professionals should note the transfer of federal contracts and capabilities from an international prime contractor to a domestic firm, which may influence future contract awards and vendor evaluations in homeland security and law enforcement sectors.
- The sale highlights reputational and political risks impacting contractor participation in sensitive federal agency contracts, potentially affecting vendor selection criteria.
- Contractors and industry stakeholders can anticipate changes in contract management and service delivery as ITC Federal assumes responsibility for CGS operations.
- This development may open opportunities for other vendors to engage with ICE and related agencies as the market adjusts to the new prime contractor landscape.

**Jurisdictions:** federal
**Industries:** Information Technology, Public Safety
**Topics:** Contracting Vehicles, Regulatory Compliance
**Published:** September 23, 2026

### Government Entities
- U.S. Immigration and Customs Enforcement (ICE)

### Vendors
- Capgemini (prime contractor)
- ITC Federal (awardee)

### Sources
- [Capgemini Exits U.S. Federal Unit Over ICE Contract Backlash](https://nearshoreamericas.com/capgemini-exits-u-s-federal-unit-over-ice-contract-backlash) - Nearshore Americas