Revised H-1B Visa Regulations: Shifts in Opportunity for Applicants

Participating in the H-1B visa draw has always been a game of chance, creating both winners and losers annually. Each spring, the government allocates 110,000 new visas, with the past fiscal year seeing nearly half a million hopeful applicants.

Recently introduced regulations by the Trump administration have altered the landscape, according to immigration experts. While some foreign nationals might see an improvement in their prospects, others could find themselves edged out.

A significant policy shift includes a hefty $100,000 fee for new applications from abroad, with a proposal also favoring the highest earners in the lottery. This means top wage earners are given four entries in the lottery, contrasting with a single chance for those in lower salary brackets.

Consequently, a highly paid machine-learning specialist stands a much greater chance than a junior developer from a smaller company in securing a visa.

The comment period for these wage rules concluded in October, and the Department of Homeland Security is currently evaluating feedback and finalizing the regulations.

Impacts and Intentions

The Trump administration argues that the H-1B program has been misused by some employers to hire overseas IT talent at lower wages compared to American workers. An executive order from September highlighted concerns about the program being used to replace local workers, framing these changes as protective of American jobs. The new fees have sparked legal challenges.

Matthew J. Tragesser from the United States Citizenship and Immigration Services remarked that ongoing reforms seek to minimize misuse and promote competitive wages, ensuring that these visas are awarded to the most skilled candidates.

Additionally, the State Department is intensifying its evaluation of H-1B visa candidates and their families, including social media scrutiny, causing some appointment delays.

Winners: Big Tech Corporations

Immigration attorneys suggest these lottery amendments are advantageous to large tech corporations. These companies frequently recruit visa holders already in the U.S. or hire fresh graduates from American universities, thus largely circumventing the fee, which primarily affects external applicants.

A review from the National Foundation for American Policy revealed that Amazon, Meta, Microsoft, and Google were top recipients of H-1B approvals in 2025.

Losers: Early-Stage Startups and International Students

Startups, often operating with limited funds, face disadvantages under the new wage-based system, which favors higher-paying large companies. Sophisticated tech startups, especially in AI, might navigate this aspect better due to competitive salaries in the field.

International students are also affected, as entry-level positions typically come with lower wages, reducing their chances in the lottery. Small to medium businesses may also be reluctant to underwrite visas amid the evolving rules.

The Uncertain Future for American Software Developers

The administration has presented these changes as an opportunity for American workers, particularly in the software realm. As some firms may hesitate to hire from abroad, domestic tech professionals might find new job opportunities.

Facing industry layoffs and a shift towards automation, local tech talent might increasingly represent a less risky option as compared to dealing with the complexities and costs of international hires.