Big Tech Sponsorship Plummets: Is There Still Hope for H-1B Students in the US?
A change is emerging in the H-1B market that warrants the attention of international students and families working in the US.
Worldway Immigration has noted that, according to the latest data from the US Department of Homeland Security (DHS), affected by the previous $100,000 H-1B fee, several large IT companies that historically used H-1B visas in large volumes saw a significant drop in lottery registrations this year.
And as the US government proposes another new H-1B fee of $103,000, whether companies will remain willing to sponsor H-1B visas for foreign employees in the future is becoming a more realistic question.
1. H-1B “Heavy Users”
Collective and Drastic Reduction in Registrations
The most obvious change is among some of the past H-1B “heavy users.”
Data shows:
• Infosys: H-1B lottery registrations decreased by more than 8,100 this year, a year-on-year drop of about 91%;
• Tata Consultancy Services (TCS): Decreased by more than 5,600, a year-on-year drop of about 95%;
• Cognizant: Dropped directly to 0 from 3,752 in the previous year;
• IBM (International Business Machines): Decreased by more than 2,700, dropping almost to zero.
These companies have historically been major users of US H-1B visas.
A major reason for this sharp decline in registrations is that the cost for companies to sponsor H-1B visas is rising significantly.
2. The $100,000 Fee
Companies Begin to Re-evaluate
In 2025, the US government added a $100,000 fee for certain individuals applying for H-1B visas from outside the United States.
This policy had a particularly significant impact on IT consulting firms that dispatch large numbers of employees from overseas to work in the US.
Previously, while sponsoring an H-1B employee still required paying application fees, attorney fees, and other costs, it was generally within an affordable range for companies.
However, $100,000 is an entirely different concept.
If a company needs to sponsor hundreds or even thousands of H-1B employees a year, the additional cost could reach tens of millions or even over a hundred million dollars.
As a result, some companies began to reduce H-1B registrations or even stopped participating altogether.
Although this $100,000 fee was later struck down by a federal court, just as companies breathed a sigh of relief, the US government proposed a new fee scheme.
3. The New $103,000 Proposal
The Impact May Expand Further
Currently, the US Department of Homeland Security is pushing forward a new H-1B fee proposal.
According to the proposed rule, each future cap-subject H-1B petition may require an additional payment of $103,265.
Which is over $103,000.
And compared to the previous $100,000 fee, the population affected this time could be even broader.
The previous fee mainly affected applicants processing H-1B visas from outside the US to work in the country.
If the new fee scheme is ultimately implemented, it could also affect many international students who study in the US, work via OPT after graduation, and then transition from F-1 to H-1B status.
Currently, this policy is still in the proposal stage and has not been officially implemented.
But for companies, a very realistic question lies ahead:
Are they willing to pay an extra $100,000+ to hire a foreign employee?
For high-paying, high-tech, and hard-to-replace positions, large companies might still be willing to bear the cost.
But for newly graduated international students, entry-level positions, and highly replaceable roles, the situation could be entirely different.
4. Fewer Applications
Does Not Mean H-1B Will Be Easier
The Institute for Progress (IFP), a US think tank, calculated the impact of the new $103,000 H-1B fee.
It predicts that under different scenarios, future H-1B demand could drop by about 63%—91%.
Some calculations even show that if a large number of companies reduce applications due to high costs, future annual H-1B demand could fall below the current annual cap of 85,000.
But this does not mean H-1B visas will become easier to obtain. On the contrary, the more likely scenario is that there will be fewer companies and positions willing to hire international students, sponsor H-1Bs, and bear the high costs.
For international students, the prerequisite for applying for an H-1B is first finding an employer willing to sponsor them.
If companies reduce international student hiring and H-1B sponsorship due to rising costs, even if the subsequent lottery competition decreases, front-end job opportunities may also decrease accordingly.
Therefore, “the cap might not be met” and “H-1B is easier” are actually two completely different things.
5. Long-term Stay in the US
Immigration Paths Must Also Be Considered in Advance
As H-1B visas become increasingly affected by corporate costs, hiring policies, and employer willingness, many families need to consider more than just whether they can win the lottery. Instead, they must think about whether their jobs and legal status should continue to rely on employer sponsorship in the coming years.
Especially for families who have clearly decided they want their children to study, work, and even develop long-term in the US, the earlier they integrate legal status into their overall planning, the more room they will have for internships, employment, and career choices in the future.
This is also why some families, in addition to study abroad and career planning, are simultaneously considering an immigration path that does not rely on employer sponsorship.
EB-5 investment migration is one such option. Eligible applicants do not need to rely on a US employer to sponsor an H-1B, nor do they need to participate in the annual H-1B lottery. Right now, EB-5 is also approaching two important milestones.
Currently, under the new EB-5 law, the minimum investment remains $800,000. Starting January 1, 2027, the minimum EB-5 investment will be raised to $900,000—$950,000 or even higher; on September 30, 2026, the protection period of the “grandfathering clause” under the new EB-5 policy will reach an important milestone.
As these dates approach, project selection, financial arrangements, and application material preparation need to be initiated even further in advance.