This Is Not Going To Be Easy For America

'The battle for brain power among Apple, Microsoft, Amazon, Alphabet, Meta, Nvidia and Tesla and newer AI companies is fierce.'
'Given the race for AI with China, these companies will find it hard pressed to fill that talent gap,' notes an IT professional based in the US.

Mr Trump has introduced a fee of $100,000 on applications for H1-B visas.

Howard Lutnick, America's commerce secretary, said the move would stop companies from 'bringing in people to take our jobs'.

With 70% of those visas being granted to Indian companies, this is going to be a watershed moment for foreign workers trying to live the great American dream.

But this is not going to be easy for America -- America's ability to draw in clever foreigners has always been one of the country's greatest strengths.

The battle for brain power among the top seven, so called magnificent seven (Apple, Microsoft, Amazon, Alphabet, Meta, Nvidia, and Tesla), and newer AI companies is fierce.

Given the race for AI with China, these companies will find it hard pressed to fill that talent gap.

A Pew Research report shows that 14% of the US population now comprises of immigrants. Mexicans followed by Indians are the two largest immigrant groups.

Indian students are the number one group to US universities. Most students particularly from India's top institutes make their way to US universities.

How will this impact large Indian IT companies? -- in the near term, this will almost certainly disrupt existing business models and revenues.

But most of the large players have already made alternate plans by hiring local people in the US, looking at new markets and some are doubling down on the large domestic market opportunity in India.

Also, Indian GCCs (Global Capability Centres) could witness a huge growth spurt.

Indian IT companies and multinationals will almost certainly push hard to expand their India- based GCC operations.

More students staying back in India will help these GCCs to hire the best talent more easily.

Indian students will likely look at alternatives such as European countries and Australia for higher education opportunities.

The rules of the global workforce are changing rapidly and it will remain to be seen how India reacts to this transformation.

Feature Presentation: Aslam Hunani/Rediff