Core Insights - The Trump administration's announcement on September 20, 2025, introduced a $100,000 annual fee per H-1B visa application, causing significant disruption in the US tech sector [1][2] - Major tech companies like Amazon, Microsoft, and Google have responded by urging their employees abroad to return to the US immediately, indicating the urgency and potential impact of the new regulation [1] H-1B Visa Overview - The H-1B visa program is the largest non-immigrant temporary work visa program in the US, allowing companies to sponsor foreign employees in specialized fields, with a cap of 65,000 visas per fiscal year [3] - As of January 2025, there are approximately 730,000 H-1B holders in the US, along with around 550,000 dependents [3] Impact on the Tech Sector - The new fee contradicts the administration's goal of boosting US tech manufacturing, as restrictive immigration policies may hinder innovation and increase costs for companies attempting to reshore production [2] - The majority of H-1B visa recipients are from India (70%), with significant numbers also from China (10%), highlighting the reliance of US tech companies on foreign talent [4] - Amazon leads in H-1B visa approvals, with over 10,000 applications in the first half of 2025, followed by Tata Consultancy Services, Microsoft, and Meta, each with more than 5,000 approvals [4] Political Context - The Trump administration's introduction of the $100,000 fee is framed as a response to perceived abuse of the H-1B visa program, aimed at protecting US wages and jobs [5] - The administration's economic policy focuses on reindustrializing the US manufacturing sector, particularly in advanced industries like tech and automotive [5]
Restrictive immigration policies will hinder the US tech sector
Yahoo Finance·2025-09-29 16:33