Are there going to be fewer onsite assignments for Indian professionals in America? And will that result in a boost for key sectors and battlegrounds in the Indian startup ecosystem?

These two questions and many more plague thousands of Indian engineers and tech professionals after the Donald Trump administration on Friday slapped a $100,000 (around INR 88 Lakh) annual fee on foreigners working in the US on H-1B visa.

Indians, predominantly tech professionals, make up about 14% of all college-educated foreign migrants in the US, shows a study by Migration Policy Institute. The USCIS said 283,570 Indians got the H-1B visa in 2024, accounting for 71% of the total 399,395 visas Washington issued last year.

Under the new H-1B fee structure, which will be effective from September 21, the sponsoring employer will have to pay $100,000 as annual charge per visa, besides the existing fees of $215 for lottery registration and $780 for petition filing.

The new visa regime takes the cost of the H-1B visa to nearly $101,000 from $1,700 to $4,500, depending on the employer. The fee is applicable for each year the visa is valid, up to six years.

This is significant in terms of remittances, with Indians living in the US sending home $32 Bn out of a total inflow of $129 Bn in 2024. Making up nearly 28% of the kitty, the US is the single largest source of remittance after the Gulf countries, which generated $49 Bn or 38% of the total pie.

Industry body NASSCOM reacted sharply, stating that the adjustments of this nature could potentially have ripple effects on America’s innovation ecosystem and the wider job economy as well. “India’s technology services companies will also be impacted as business continuity will be disrupted for onshore projects which may require adjustments,” it said in a statement.

Industry observers largely believe that Indian IT professionals are likely to face reduced........

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