US Plans $100,000 Annual H-1B Visa Fee Impacting Indian IT Firms

President Donald Trump has implemented a new $100,000 annual fee for new H-1B visa applicants, a move targeting tech companies heavily reliant on foreign skilled workers, particularly from India. This fee, effective immediately, does not impact current visa holders or those renewing their visas but is expected to disrupt operations for Indian IT firms and U.S. companies such as Microsoft, Amazon, and Alphabet. Industry leaders warn that the fee hike could lead to a talent deficit, forcing U.S. firms to reconsider their dependence on Indian tech talent and potentially push Indian companies to expand local hiring and global delivery models. The Indian government is actively engaging with U.S. authorities and the IT sector to address concerns arising from the fee increase, as major U.S. tech companies face significant cost challenges. Critics describe the policy as protectionist and potentially harmful to India-U.S. tech collaboration, though some see opportunities for Indian firms to advance along the value chain amid the disruption. Overall, the policy marks a significant shift in U.S. immigration and labor practices with broad implications for the global tech industry.