<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0101</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2003-06-27</periodOfReport>

    <notSubjectToSection16>1</notSubjectToSection16>

    <issuer>
        <issuerCik>0001085621</issuerCik>
        <issuerName>INTERNET CAPITAL GROUP INC</issuerName>
        <issuerTradingSymbol>ICGE</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0000086115</rptOwnerCik>
            <rptOwnerName>SAFEGUARD SCIENTIFICS INC</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>  </rptOwnerStreet1>
            <rptOwnerStreet2>  </rptOwnerStreet2>
            <rptOwnerCity>  </rptOwnerCity>
            <rptOwnerState>  </rptOwnerState>
            <rptOwnerZipCode>  </rptOwnerZipCode>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
            <isDirector>0</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>1</isTenPercentOwner>
            <isOther>0</isOther>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeSecurity>
        <securityTitle>
            <value>Common Stock</value>
        </securityTitle>
        <transactionDate>
            <value>2003-06-27</value>
        </transactionDate>
        <transactionCoding>
            <transactionFormType>4</transactionFormType>
            <transactionCode>S</transactionCode>
            <equitySwapInvolved>0</equitySwapInvolved>
        </transactionCoding>
        <transactionAmounts>
            <transactionShares>
                <value>473889</value>
                <footnoteId id="F1"/>
            </transactionShares>
            <transactionValue>
                <value>0.47</value>
            </transactionValue>
            <transactionAcquiredDisposedCode>
                <value>D</value>
            </transactionAcquiredDisposedCode>
        </transactionAmounts>
        <postTransactionAmounts>
            <sharesOwnedFollowingTransaction>
                <value>13485818</value>
            </sharesOwnedFollowingTransaction>
        </postTransactionAmounts>
        <ownershipNature>
            <directOrIndirectOwnership>
                <value>I</value>
            </directOrIndirectOwnership>
            <natureOfOwnership>
                <value>SSD</value>
                <footnoteId id="F2"/>
            </natureOfOwnership>
        </ownershipNature>
    </nonDerivativeSecurity>

    <footnotes>
        <footnote id="F1">Reporting person also indirectly beneficially owns 14,868,130 shares owned of record by Safeguard Delaware, Inc., a wholly owned subsidiary, and has an indirect interest in 210,158 shares owned by TL Ventures IV, of which reporting person disclaims beneficial ownership except to the extent of its pecuniary interest therein.  Additional reporting persons:  Safeguard Scientifics (Delaware), Inc. and Safeguard Delaware, Inc., 103 Springer Building, 3411 Silverside Road, Wilmington, DE 19803.</footnote>
        <footnote id="F2">Safeguard Scientifics Delaware, Inc. (SSD) is a wholly owned subsidiary of Safeguard Scientifics, Inc.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName> Safeguard Scientifics Inc</signatureName>
        <signatureDate>2003-06-30</signatureDate>
    </ownerSignature>

</ownershipDocument>

