How Trump’s $100,000 H-1B Visa Fee Could Shake Up Indian IT — A Closer Look

 🧠 How Trump’s $100,000 H-1B Visa Fee Could Shake Up Indian IT — A Closer Look

The U.S. government’s bold decision to charge employers $100,000 for each new H-1B visa petition has sent ripples through the global tech industry — and Indian IT firms are squarely in the spotlight. 

💥 What Changed?

Traditionally, companies sponsoring H-1B visas — the main route for bringing skilled foreign workers into the U.S. — paid only a few thousand dollars per application. But now, a steep $100,000 fee for new H-1B hires has been introduced, transforming what was a routine cost into a potentially massive financial burden.

🇮🇳 Why TCS and Infosys Are on the Front Lines

Indian IT services firms like Tata Consultancy Services (TCS) and Infosys have historically been among the top employers under the H-1B program. They send thousands of Indian engineers to work on U.S. projects every year, creating value both for clients and employees. 

According to Bloomberg’s analysis cited by Moneycontrol:

• Infosys would have seen over 93% of its new H-1B hires hit with this fee — translating to potentially over a billion dollars in additional charges had this rule always been in place. 

• TCS similarly would have faced huge costs on thousands of H-1B visas. 

These numbers aren’t hypothetical — they illustrate how completely this change reshapes the economics of placing workers in the U.S.

📉 What This Means for Hiring and Hiring Strategy

Faced with such high visa charges, companies may rethink how they deliver services:

🔹 Cutting back on new H-1B sponsorships — especially for employees entering from abroad. 
🔹 Shifting work offshore (to India or other lower-cost locations), since on-site U.S. staffing just became more expensive. 
🔹 Boosting U.S. hiring of local talent to meet client needs without paying the visa fee.

One immigration attorney quoted in the analysis even said the new cost could reshape “market behavior” around the H-1B lottery and overseas hiring. 

🌍 Bigger Picture: U.S.–India Tech Ties in Flux

This fee increase comes amid broader debates in the U.S. around immigration, labor markets, and global competitiveness. While aimed at reducing perceived abuses of the visa system, the policy could force Indian IT firms to rethink decades-old business models — and, in the process, accelerate trends like offshore delivery and on-site localization.

TCS and Infosys have already signaled their focus won’t change overnight: both companies emphasize continuity in client services despite potential policy headwinds.

🧩 Final Takeaway

Trump’s $100,000 H-1B visa fee is more than just a new charge — it’s a structural shock to the business models of major outsourcing firms. For companies like TCS and Infosys, the implications go beyond costs to influence talent strategy, delivery models, and global expansion plans.

Depending on how this policy evolves (and whether legal challenges succeed in blocking or modifying it), Indian IT could be entering a turning point in its U.S. journey.