Trump’s New $100K Fee For Foreign Worker Visas Leaves Tech Industry Scrambling
President Trump’s latest move on immigration is shaking up the tech industry and the global talent pipeline it relies on. On Friday, the White House announced that employers must now pay $100,000 for each new H-1B visa application, nearly 60 times the previous $215 lottery registration fee.
The H-1B visa allows US companies to hire skilled foreign professionals in high-demand fields such as engineering, IT, and medicine. The program issues up to 85,000 new visas annually through a lottery system, including 20,000 reserved for US-trained graduate students.
Ripple Effects Across Silicon Valley
The tech industry is particularly reliant on H-1B talent, with more than two-thirds of visas being awarded to tech professionals. In 2024 alone, Amazon secured over 9,200 approvals, according to data from the US Citizenship and Immigration Services. Other major employers include Google, Meta, Microsoft, Apple, and Tesla, with H-1B holders often filling roles in AI, cybersecurity, and software engineering.
The sudden fee hike triggered internal warnings. According to The Wall Street Journal, Amazon, Google, and Microsoft advised H-1B employees to avoid international travel. Microsoft went further, urging employees to stay in the US “for the foreseeable future.” The White House later clarified that the change applies only to new applications and won’t affect current visa holders’ travel rights.
Despite the reassurance, damage was done. On Monday, Indian tech stocks, including Infosys and Tata Consultancy Services, plunged. India is the largest source of H-1B talent, accounting for 71% of approvals in 2024, with China a distant second at 11.7%.
The H-1B Visa Debate
The administration defends the recent change as a crackdown on alleged misuse of the program. It claims H-1B workers now make up over 65% of IT roles, up from 32% in 2003, while recent computer science graduates face a 6.1% unemployment rate. The Labor Secretary has been directed to revise wage requirements to protect US salaries.
Critics argue the policy undermines a visa program that has powered decades of innovation. High-profile entrepreneurs like Elon Musk have benefitted from H-1Bs, and tech leaders worry the fee hike could drive top talent to more welcoming regions.
President Trump’s own stance has been inconsistent. In 2016, he called H-1Bs a “cheap labor” scheme. Yet in late 2024, before returning to office, he called it a “great program.” In 2025, his administration has tilted back toward restriction.
Legal Battles And Global Workforce Shifts Expected
Reuters reports that many immigration lawyers expect Trump’s move to be challenged legally soon.
Meanwhile, analysts predict Trump’s move will accelerate hiring and investment in nearer offshore hubs, including Mexico and some parts of Latin America, where costs are lower and time zones more compatible than in South Asia.
Multinational companies may also deepen their reliance on global capability centers (GCCs), offshore offices that support everything from IT to R&D. India currently hosts more than half of the world’s GCCs, employing 1.9 million people across 1,700 companies, according to a Reuters-reported study by IT industry body Nasscom and consulting firm Zinnov.
That number is expected to rise sharply in the coming years as companies rethink their global talent strategies.
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