Naidu says H-1B visa tightening is temporary, cost advantage will bring US back

Andhra Pradesh Chief Minister N Chandrababu Naidu said the recent tightening of the H-1B visa regime in the US is only a temporary setback, asserting that Indian tech professionals’ skill and cost advantage will keep them in global demand despite short-term policy disruptions

Visakhapatnam: The recent tightening of the H-1B visa regime in the United States is only a temporary setback, and the cost advantage Indian tech professionals offer is bound to bring them around, Andhra Pradesh Chief Minister N Chandrababu Naidu said.

Naidu, who is credited with having the vision of developing Hyderabad as a cyber hub two decades ago when most didn’t see the huge opportunities lying in the technology sector, said Indian tech professionals continue to be in high demand across geographies as they offer a strong mix of advanced skills and cost advantages.

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Andhra Pradesh and Telangana account for the most Indian tech professionals going to the US on H1-B visas. President Donald Trump recently imposed a sweeping overhaul of the H-1B visa programme, which allows US employers to hire foreign professionals in specialised occupations, by introducing a USD 1 lakh supplemental fee for new visa petitions filed on or after September 21, 2025.

While Trump had argued the fee hike was to curb “abuse” of the programme, he seems to have softened his stance, acknowledging that the United States needs to “bring in talent” from abroad as America simply does not have “certain talents” domestically, particularly for highly technical and complex roles.

“Cost is very, very important…you (Indian techies) are providing cost-effective services. They are bound to depend on us. That is going to happen. I am very clear,” Naidu said in an interview with PTI. Any restrictions on Indians, he said, cannot stop their progress.

This is a “temporary setback”, he said. “Some people will suffer. But, we have to make use of them.” Asked if he was willing to provide opportunities to techies displaced by the new visa rules, Naidu said opportunities will emerge as India embraces the next-gen technology across sectors – from indigenous 4G tech stack to satellites, drones and AI quantum computing. “We will create opportunities.”

Even as US visa scrutiny intensifies, countries such as Canada, Australia, the UK, and those in Europe and the Middle East are actively seeking skilled engineers in software development, AI, cybersecurity, and cloud technologies.

Analysts say many companies are recalibrating hiring strategies to leverage India‘s talent depth and economic efficiency, either through remote roles or expanded engineering centres in the country. This shift is opening new avenues for techies from Andhra Pradesh and across India.

Industry bodies add that the worldwide digital transformation cycle is creating sustained demand for specialised skills, ensuring that Indian professionals remain well-positioned globally despite short-term fluctuations in US immigration policy.