Silicon Valley startup CEO challenges US’ H-1B visa fees hike, says $100,000 fees will favor…

Box CEO Aaron Levie has strongly criticized President Trump’s new $100,000 H-1B visa fee, warning that it grants large tech companies an unfair advantage over cash-strapped startups in the global talent acquisition race. Levie argued that the steep cost transforms international hiring into a “spending game” smaller firms cannot win, potentially pushing innovation overseas.

Speaking on *The A16z Podcast* alongside Andreessen Horowitz partners, Levie emphasized that the new policy, which takes effect September 21, represents a dramatic jump from current fees of $2,000 to $5,000. He believes this drastic increase will skew the competition in favor of large established companies that can absorb the costs, sidelining smaller startups.

Levie endorsed a significantly lower $20,000 fee proposal put forward by Khosla Ventures’ Keith Rabois, suggesting this amount would still allow smaller companies to compete for skilled workers effectively. Startup founders have echoed similar concerns, warning that Trump’s fee hike could “kneecap their hiring in the talent wars,” ultimately sending international workers to Big Tech firms better positioned to afford the new fees.

The concerns around the policy extend beyond Silicon Valley’s startup ecosystem. Billionaire investor Michael Moritz, whose portfolio includes tech giants like Google and PayPal, has cautioned that the fee increase could backfire by pushing tech innovation offshore. Skilled engineers now have more opportunities to work remotely from countries such as India and Eastern Europe, diminishing America’s competitive edge.

Beyond the fee structure, Levie outlined a broader six-point framework for H-1B reform. He called for flexible visa caps that respond directly to actual talent availability, suggesting the number of visas could vary anywhere from 5,000 to 80,000 annually. “There’s not a fixed number of the world’s best talent,” he explained.

Levie’s proposal emphasizes attracting “the absolute best in the world” while ensuring that H-1B programs raise rather than suppress American wages. He also warned against excluding junior-level international talent, noting that graduates from state universities earning Master’s degrees and becoming AI engineers are “positive sum” contributors to the economy.

This debate sheds light on broader questions about America’s ability to maintain its competitive edge in attracting global talent. Successful immigrant executives such as Microsoft’s Satya Nadella and Google’s Sundar Pichai have become symbols of the H-1B program’s potential to benefit the tech industry and the wider economy.

As the new visa fee policy approaches implementation, industry leaders continue to advocate for reform measures that balance attracting top global talent with protecting the interests of American workers and startups.

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https://timesofindia.indiatimes.com/technology/tech-news/silicon-valley-startup-ceo-challenges-us-h-1b-visa-fees-hike-says-100000-fees-will-favor/articleshow/124175606.cms

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