'As one of many immigrants at Nvidia, I know the opportunities we've found in America have profoundly shaped our lives.'
A growing chorus of American businesses is pushing back against President Donald Trump's decision to impose a $100,000 fee on H-1B visa applications, warning that it could weaken the country's innovation edge and disrupt a vital stream of skilled workers.
Chipmaker Nvidia CEO Jensen Huang, in a note to staff, said the company would continue to sponsor H-1B visas, absorb all associated costs, even under the newly announced $100,000 fee.
'As one of many immigrants at Nvidia, I know that the opportunities we've found in America have profoundly shaped our lives,' Huang wrote, according to Business Insider.
'And the miracle of Nvidia -- built by all of you, and by brilliant colleagues around the world -- would not be possible without immigration.'
His assurance came just as a coalition of trade bodies representing chipmakers, software firms and retailers urged the White House to reconsider the policy.
In a letter sent to Trump last week, roughly a dozen business groups said the new charge threatens to choke a critical talent pipeline and leave essential roles unfilled.
'We ask the administration to work with industry on necessary reforms to the H-1B visa programme without increasing the challenges US employers face in recruiting, training and retaining top talent,' the groups wrote.
According to a copy seen by Bloomberg News, the letter was sent two weeks after Trump's H-1B proclamation.
It acknowledged his focus on domestic investment while warning that the higher fee could make hiring global specialists far more difficult.
The signatories included the Business Software Alliance, the semiconductor association SEMI, the National Retail Federation, the Entertainment Software Association and the Information Technology Industry Council.
Chamber of Commerce raises economic concerns
The business community's pushback has been building for weeks.
Three weeks earlier, Neil L Bradley, Executive Vice President and Chief Policy Officer of the US Chamber of Commerce, had written to US Commerce Secretary Howard Lutnick expressing alarm at the sharp increase in costs.
'Since 1990, the H-1B programme has helped grow the US economy, create American jobs, and lift wages for US workers by allowing highly skilled individuals from around the world to contribute to our economy,' wrote Bradley in the letter reviewed by Business Standard.
He pointed to studies showing that 'H-1B workers do not displace, but rather complement native workers.'
Bradley argued that the new $100,000 payment was '10 to 20 times higher -- more for smaller companies -- than current fees', adding that such costs 'would clearly limit the ability of many companies, especially smaller firms, to hire the skilled individuals they need to grow their businesses and the American economy'.
Legal challenge gathers steam
As business groups stepped up pressure, a coalition of unions, employers and religious organisations filed a lawsuit in a federal court in San Francisco, calling the move unconstitutional.
'No President has the authority to create new taxes. The $100,000 H-1B tax will be struck down,' said American immigration attorney Charles Kuck on X.
The case, the first to contest Trump's new proclamation, argues that the president's authority to restrict immigration does not extend to rewriting the law that governs visa programmes.
Among the plaintiffs are the United Auto Workers union, the American Association of University Professors, a nurse recruitment agency and several religious groups.
They maintain that the policy oversteps executive power and risks deepening labour shortages in key sectors.
White House stands firm
The White House defended the new measure, saying it would curb misuse of the visa system while still allowing US companies to access top talent.
'Widespread visa abuse not only undermines American workers, but undermines the companies that need to recruit first-class talent,' said Kush Desai, White House spokesman, in a statement.
Officials argued that the added cost would discourage fraudulent applications and ensure the visas are used by employers with genuine needs.
Technology and retail giants fear ripple effects
Beyond the policy debate, the $100,000 charge has sparked anxiety across industries that depend on international talent.
Companies such as Microsoft, Amazon and Walmart have long relied on H-1B visas to bring in skilled engineers, analysts and consultants.
Executives warn that the new cost structure could slow innovation and hiring, especially in areas like artificial intelligence, semiconductors and biomedical engineering.
Intel, Taiwan Semiconductor Manufacturing Co, Samsung Electronics, Applied Materials and KLA -- all represented on SEMI's board -- joined the warning that the policy could undermine US competitiveness.
'The new approach to H-1B visas, as it stands, will harm the administration's goals to ensure the US remains a leader in AI, revitalises manufacturing growth, and advances US-developed energy,' the groups said.
A nurse-staffing agency and several unions have also filed suit in federal court, seeking to block the fee.
Hospitals, especially in rural areas, said the H-1B programme remains essential for recruiting doctors and nurses to address workforce shortages.
The administration has said that medical professionals could qualify for exemptions, with details issued on September 22.
Feature Presentation: Aslam Hunani/Rediff