How $100K H1B Fee is Impacting US Tech Companies?
The US tech companies are facing major changes due to the recent introduction of increased H1B visa fees. As these companies heavily depended on international talent, they are now relying on hiring American workers. Due to this change, Indian talent has been affected the most, as in 2024, the majority of H1B visa approvals were given to Indian applicants. The increase in the H1B visa fees of $100k is an initiative to prioritize American workers over international skilled workers. Tech giants such as Walmart, Tata Consultancy Services (TCS), Cognizant, and Intuitive Surgical have paused or reduced their H1B sponsorships. This not only impacts the US tech companies but also creates uncertainty in job opportunities for Indian applicants. Read this article to learn more about the US tech companies that have been impacted by the new H1B visa fee and what changes are being implemented by these companies.
This Story also Contains
- What is the New H1B Visa Fees in USA?
- How US Tech Companies Are Responding to H1B Visa Fee Hike?
- Conclusion
What is the New H1B Visa Fees in USA?
In September 2025, the Trump administration announced an increase in the H1B visa fee. To hire new international workers, the US companies will now be required to pay $100,000. This is a one-time payment required from the company sponsoring international talent. However the administration has clarified that the current H1B visa holders who are looking to extend their H1B visa or apply for a transfer are exempt from paying this new H1B visa fee. Moreover, if any H1B visa holder is looking to renew their existing visa status is also exempted from paying the 100k visa fee.
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How US Tech Companies Are Responding to H1B Visa Fee Hike?
Some of the US companies are planning to keep hiring through the H1B visa, irrespective of the hike in the H1B visa fee. Nvidia is a company in USA that has stated that it will continue to hire international talent through the new H1B policy. However several big tech companies in the US, are pausing on sponsoring international talent. Some of these companies and their reactions to the H1B visa fee hike are mentioned below.
Tata Consultancy Services (TCS)
Tata Consultancy Services is the largest sponsor for H1B visas. They receive around 20% of their revenue from North America. It has more than 12,000 global employees. However, due to the increase in H1B visas, they have stopped hiring new H1B sponsors. As per the reports by the Times of India and Deccan Chronicle, TCS CEO K Krithivasan shared that the company already has enough H1B visa employees in the US, so they will be focusing on hiring local talent.
Cognizant
Cognizant is an Indian IT consulting company that is based in New Jersey. After the increase in the H1B visa fees, it not been any official statement. However, it was observed that on October 14, 2025, Cognizant posted a job opening for a software engineering role in South Carolina. The job application mentioned a statement that stated that they will only consider applications from those who are legally authorized to work in the United States without the need for employer sponsorship. This requirement suggests that teh company is aiming to hire American workers or those who are currently working in USA.
Walmart
According to Bloomberg, Walmart has around 2,400 employees who are H1B visa holders. But they have now stopped hiring employees who require visas. A representative from Walmart has stated that the company is committed to hiring mindfully due to the H1B visa fee hike and is investing in employees who best serve their customers.
Intuitive Surgical
Intuitive Surgical is a medical tech company in California, USA. This organisation has stopped hiring employees on H1B visas since the end of September 2025. They posted more than 100 job postings on their official website, wherein it was highlighted that they are temporarily not offering the mentioned job posting to those who require an H1B visa to work in USA.
Conclusion
The $100K H1B fee is impacting how tech companies in the USA hire international talent. While the big companies are managing by hiring locally, smaller companies will find it challenging to adjust to the rising costs. In the long run, this policy might help create more jobs in the USA, but it will make it difficult to allow global talent to work in the USA. As some of the major firms have already started to respond to the new H1B visa policy, soon others will also start pausing to hire H1B sponsors. This is a big moment of uncertainty for international workers, especially from India.
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Frequently Asked Questions (FAQs)
Q: Who has to pay $100,000 for an H-1B visa?
A:
For an H1B visa, the company that is hiring the international workers has to pay the $100,000 fee. US companies sponsor international workers and invite them to work in USA. These organizations are liable to pay the H1B visa fees.
Q: Have companies stopped sponsoring H-1B?
A:
Several companies in the USA, especially the tech companies, have temporarily paused hiring H1B employees. This is because the Trump administration introduced increased H1B fees. Some of he companies that have paused sponsoring H1B employees include TCS, Walmart, Cognizant and Intuitive Surgical.
Q: Which country gets the most H-1B visas?
A:
India has received the largest number of H1B visas in 2024. Around 71% of approved applications were from India last year. Therefore, with the increase in the H1B visa fees, Indian applicants are the most affected.
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