New Delhi: At a time when the H-1B visa programme faces political backlash in the United States for allegedly taking away American jobs, data shows Indian IT services companies have significantly reduced their reliance on the visa, while American technology giants have become its biggest beneficiaries.

Indian IT firms reduce H-1B usage

According to data from the National Foundation for American Policy (NFAP), approved H-1B petitions for initial employment from the top seven Indian IT firms dropped 56% to 6,700 in FY2023, down from 15,100 in FY2015. One major Indian IT services company, once the leading sponsor of H-1Bs, recorded a sharp 75% decline over this period.

Industry experts attribute this trend to strategic shifts, including:

  • Increased local hiring in the US (over 50% of workforce now local)
  • Investments in automation and AI
  • Diversified global delivery centres beyond the US

“The seeds of this change were planted nearly a decade ago. Firms realised they needed to cut visa dependence and focus on local delivery models,” said Ashutosh Sharma, VP at Forrester.

US firms lead H-1B approvals

In contrast, the top five US technology firms collectively secured nearly 28,000 H-1B approvals in FY2024. A leading e-commerce company alone bagged about 10,000 approvals in FY2025, topping the list once again.

Unlike outsourcing firms, US product companies use H-1Bs for high-paying specialised roles in engineering, AI, and data science.

“This reflects a persistent shortage of niche talent in the US. Tech leaders rely on the H-1B programme to attract world-class professionals essential for innovation,” said Sanketh Chengappa KG of Adecco India.

Politics and policy noise

The recent Halting International Relocation of Employment (HIRE) Bill in the US Senate, along with tariff threats from Trump-era officials, has rattled the Indian IT industry. The bill proposes a 25% tax on certain service payments to foreign firms.

However, analysts argue the bill is unlikely to pass in its current form. “This is more political noise than policy reality,” said Pareekh Jain of EIIRTrend, noting India’s $280 billion IT sector remains resilient.

Union IT Minister Ashwini Vaishnaw also reassured professionals, saying India is engaging with global corporations and governments to ensure the industry’s growth remains secure.

Outlook

  • Indian IT majors (TCS, Infosys, Wipro, HCLTech, Tech Mahindra) now report 20–50% dependency on H-1Bs.
  • US giants like Google, Meta, Apple, Microsoft, and Amazon remain heavily reliant on the programme, even as they ramp up hiring in India.
  • Analysts expect Indian IT to expand in Japan, Latin America, and Europe to diversify risks.

“Indian IT firms are insulated from the immediate noise, but the future is about balancing regulatory risks with operational agility,” said Chengappa.