EU takes IBM, Atos and Leonardo to court over €212 million border system

Court case over delays

The European Union has brought a civil case against IBM, Atos and Leonardo over the development of its smart border system. The lawsuit appeared in eu-LISA’s 2025 financial accounts, published in July, without naming the companies.

The Financial Times identified the three firms after obtaining letters exchanged with eu-LISA. The agency confirmed that it had started proceedings to protect the EU’s financial interests, but declined to discuss the ongoing case.

System now operational

The project missed a series of deadlines before going live, leaving travelers facing airport queues. eu-LISA said the proceedings relate to the development phase and do not affect the system’s operation.

The agency said the Entry/Exit System, or EES, is fully operational. Estonia’s Harju County Court confirmed the civil case had been filed, but no hearings have been held or scheduled.

Costs and responsibility disputed

The contract increased from €142 million to €212 million in 2021, while delays added to the cost. In October that year, IBM Belgium and Atos Belgium disputed a fine imposed by eu-LISA, citing the COVID-19 pandemic and other factors outside their control.

The companies warned that an unrealistic schedule would frustrate stakeholders, according to letters reported by the Financial Times. In March 2022, IBM agreed to let eu-LISA withhold certain payments while the damages dispute was resolved, the newspaper reported.

Questions beyond the budget

The case leaves the companies’ responsibility for the delays and costs unresolved. Although the EES is operating, the dispute over who should pay remains unsettled.