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Illustration by Yana Peeva

H1B Visas and the International Talent Race

The $100,000 fee on U.S.’s H1B Visa has pushed international talent to regions like China, the Gulf, and Europe. This has started a scramble for skilled international workers.

Oct 20, 2025

One of the most unexpected and controversial news in the last month became the decision of U.S. President Donald Trump to introduce a $100,000 fee for H-1B visa applications – visas which allow people to “perform services in a specialty occupation, services of exceptional merit and ability relating to a Department of Defense (DOD) cooperative research and development project, or services as a fashion model of distinguished merit or ability.”The visa permits American companies to employ skilled workers who are essential in keeping them competitive. The executive order and its immediate implementation are said to have a significant impact on the American technology sector. According to the BBC, “Amazon tops the list of beneficiaries, with more than 10,000 H-1B visas approved in the first half of 2025.”. However, those who will likely be most affected by this decision are small companies and start-ups, for whom the fee could become the decisive factor in employing talent. According to the President, this choice was motivated by what he called “abuse” of the program, namely companies benefitting from “unfair wage competition from foreign workers”, which puts domestic workers at a disadvantage.
Nevertheless, there are actors who stand to gain economic advantage from this intensified global war for tech talent – and they have already started exploring this opportunity. Among them is China, which announced a new visa category, the K-visa, in August, effective from October 1, 2025. It is similar to the American H-1B visa, targeting particularly young and skilled professionals in Science, Technology, Engineering, and Mathematics, making China more open to international exchanges. This move is crucial in attracting South Asian professionals due to the visa’s flexibility and affordability, especially compared to the American option.
Another prominent winner in this situation is the Middle East, particularly the Gulf countries. By creating a business-friendly environment for technology-related companies, the UAE and Saudi Arabia are aiming to become the world’s artificial intelligence hub. They have taken different directions in their strategies, with the UAE presenting varied visa options and Saudi Arabia introducing skill-based work permits. Despite fast-paced growth and increased foreign talent, one potential problem that might arise in the long run is retention, mainly due to limitations on gaining the countries’ citizenship.
The U.K. and Europe are also attempting to enter the race. For instance, it was reported that the U.K. Prime Minister Keir Starmer is considering abolishing visa charges for eminent professionals in fields such as science, engineering, medicine, and digital technology. Europe, however, faces many problems in terms of the tech ecosystem and might be more challenged in attracting talent due to increasing anti-immigration sentiment. Still, as Forbes reports, the fees could deter the talent already in Europe from leaving for the US, which would help the expansion of European AI companies.
Regardless of who benefits the most, one thing is certain: the H-1B visa fee has created an unprecedented vacuum for the foreign professionals in the US, sparking a global race for talent that will dramatically alter the landscape of tech and AI.
Anna Lipiec is a Staff Writer. Email them at feedback@thegazelle.org.
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