French IT services firm Capgemini announced on Sunday that it is divesting its U.S.-based arm, Capgemini Government Solutions, effectively exiting that particular federal-facing business in the United States.
Read on to find out more about this development!
Capgemini to Sell U.S. Government Solutions Unit, Exit Federal Business
The decision comes at a tense moment for the company, which has recently faced mounting scrutiny over a contract linked to the U.S. immigration enforcement agency ICE, an agency already under heavy public criticism.
That scrutiny intensified against the backdrop of widespread protests triggered by immigration policies under U.S. President Donald Trump, putting additional reputational pressure on firms associated with enforcement activities.
In explaining the sale, Capgemini said that U.S. legal and regulatory requirements tied to federal contracts involving classified work limited the company’s ability to properly oversee how the subsidiary operated.
The company stated that these restrictions made it difficult to maintain sufficient operational control and ensure the subsidiary’s activities remained consistent with the group’s broader goals, noting: “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.”
Capgemini Acquires WNS For Rs 28,000 Crore With A Focus On Agentic AI
Capgemini’s acquisition of WNS marks a transformative moment in the global business process management (BPM) and IT services sector. The $3.3 billion all-cash deal brings together two complementary giants, enabling Capgemini to deepen its Digital Business Process Services (BPS) portfolio, especially as enterprises worldwide seek AI-powered operational transformation.
Capgemini Acquires WNS For Rs 28,000 Crore With A Focus On Agentic AI
Why This Acquisition Matters
WNS’s strength lies in domain-centric digital services delivered through 25 Indian delivery centres. With 40000+ employees and a strong presence in verticals like banking, healthcare, logistics, and insurance, the acquisition adds scale and specialization to Capgemini’s already diverse global footprint.
The 28 percent premium reflects WNS’s strategic value, driven by long-standing relationships and deep domain knowledge. The integration also aligns well culturally and operationally, ensuring smoother post-acquisition synergy.
