A recent proposal by the Trump administration to end the H1B visa lottery system and replace it with a merit-based selection process is under discussion. Indian professionals in the STEM (Science, Technology, Engineering, and Mathematics) fields will benefit from this replacement. The H1B visa lottery system is a process in which the USCIS (US Citizenship and Immigration Services) randomly selects candidates for an H1B visa when the annual cap is exceeded. The US has an annual limit for the H1B visa of 65,000 international workers. In 2024, India received 71% of the total H1B visa positions, making it the largest community to receive the H1B visa. Moreover, India is also one of the largest groups of engineers and scientists in the world, with over 2.25 million STEM graduates each year. Therefore, if the H1B visa lottery system gets replaced by merit-based selection, then Indians will benefit. Apart from this, candidates who have advanced degrees or possess skills in areas like AI, cybersecurity, or data science will also be able to get new opportunities. Read this article to learn more about the impact of the H1B merit-based selection on Indian students
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The H1B via lottery system randomly selects candidates out of a big pool of applicants. Due to this, many deserving candidates lose their chance to work in USA. With the new H1B merit-based selection process, deserving and talented candidates will receive the H1B visa. This will majorly impact the STEM fields. The following will be the benefits of H1B merit-based selection for Indian students.
Increased Opportunities: Students who belong to the STEM field and have earned advanced degrees will find more opportunities, as the H1B visa selection process will be merit-based.
Rewarding Experience: A merit-based system in the H1B visa process will be a rewarding experience for those who have worked hard during their STEM degree and have earned the necessary skills suitable for the H1B visa.
Strategic Career Planning: The new merit-based H1B system will encourage both students and employers to prioritize early preparation. This will lead to strategic and careful planning amongst aspiring students.
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Even though the merit-based H1B visa system will benefit the STEM-based students, the older reforms have had a major impact on these students. Recently, the Trump administration announced a H1B visa fee hike to $100,000. In addition, there was a proposal to remove the OPT program completely. The following are the two major changes in the USA for international students.
H-1B Fee Increase: Recently, the H1B visa fee increased from $2,000 - $5,000 to $100,000. This was a major change for international skilled workers, US organizations and the Indian IT sector. H1B visa fee hike impact will be seen as there is uncertainty in the job market in USA.
Proposal to Remove OPT and Implement OPT Tax: The Optional Practical Training (OPT) program which is an important work permit that allows international students to gain practical experience in the US after their studies in the same field. It has been recently suggested that OPT should be removed and another proposal stated that students on OPT must not be exempted from paying the tax.
If these changes are implemented in USA then it could impact the Indian students as they depend on OPT to enter the US market. Moreover, international students use OPT to transition to the H1B visa after receiving sponsorship from a US employer.
A recent survey conducted by the Institute for Progress and NAFSA shows that 54% of participants said they would not have enrolled in the US programs if there were no OPT. OPT is an important goal for international students studying in USA. It allows them to work in the US job market temporarily, right after completing their education. This survey highlighted the importance of OPT in attracting students from around the world. The survey was done between August 22 and September 12, 2025 among the current graduate and postdoctoral students on F1 or J1 visas in USA. The purpose was to study how potential changes to OPT might influence their choices about coming to, staying in, or leaving the US. The result of the survey was as follows:
54% of students said that if OPT were removed, they would not have selected the US for higher education.
57% stated that if OPT were removed, they would be unlikely to stay in USA.
49% PhD students and 33% of postdocs said they would reverse their plans.
Students from India continue to make up a significant portion of F-1 visa holders. In August 2025, the number of arrivals from India fell by 45% compared to the same month in 2024. The survey also asked about proposed changes to H1B visa allocation by wage level. The results were:
53% said they would not have enrolled in US programs if H1B were given based on seniority or wage levels.
48% of master's students and 52 % of PhD students might change their plan if the proposed H1B changes are implemented in USA.
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Frequently Asked Questions (FAQs)
A merit-based H1B visa is a visa process wherein the candidate will be selected based on their achievements and skills. This is a proposal by the US government. The merit-based H1B visa will be replaced by the current H1B lottery system. Currently, when the H1B annual cap is exceeded, then candidates are randomly selected.
Yes, H1B is a lucky draw system when the total limit of applications which is 85,000, exceeds the limit. Then the computerized system selected a random application to avoid bias. However, there has been a new proposal stating that the H1B lottery system will be replaced by a merit-based selection to choose candidates who have genuine skills and qualifications.
In case you are selected during the H1B lottery system, your sponsor will be required to submit Form I-129 before the deadline. Then the USCIS will review the application and approve it if it seems fit.
On Question asked by student community
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To study at foreign universities/abroad in U. S , the admission process will require the candidate to give one language exam and one standardized exam. However, depending on the country, course, college, or university you are applying for you may be exempted from standardized exams. The language test will showcase your English proficiency skills. These exams are required for pursuing almost all courses abroad. Different countries have different language exams such as
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There are many ways to choose your university such as fees, the ranking of the university, which state it is located and scholarships. My suggestion is to choose your research focus and write academic papers. In the US, PhD in Commerce admission into the university depends on what you want to study (your area of research) and your already completed research papers. You can begin your research by searching online for US universities offering PhD in Business Administration. One example is University of California Los Angeles (https://www.anderson.ucla.edu/degrees/phd-program/admissions#app-req) .
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