Indian IT Firms Slash H-1B Sponsorship by 46% as US Giants Surge

(UNITED STATES) Indian IT firms are pulling back from their long-running role as major sponsors of H-1B visas, while US tech giants have stepped into the lead, reshaping the flow of high-skilled workers into the United States 🇺🇸. As of 2025, top Indian IT firms have cut H-1B sponsorships by roughly 46% to 56% over the last five to eight years. At the same time, US companies such as Amazon, Microsoft, Apple, Google, and Meta have widened their use of the program, drawing in more Indian talent to support growth in artificial intelligence, cloud computing, and other advanced fields. The shift reflects a mix of tighter immigration policies, higher costs, and changing business strategies on both sides of the globe.

The scale of the decline among Indian IT firms

In recent years, the top six Indian IT firms—Tata Consultancy Services (TCS), Infosys, HCL Technologies, Wipro, Tech Mahindra, and LTIMindtree—reduced their H-1B issuances by an average of 46% between FY2021 and FY2025.
Over a longer period (2015–2023), the drop is even sharper: the top seven Indian IT companies saw a 56% decline in approved initial H-1B petitions, falling from about 15,100 in FY2015 to 6,700 in FY2023. At least one large Indian IT company experienced a 75% plunge in H-1B approvals over that span. Those numbers point to a decisive strategy shift rather than a short-term dip.

TCS, which employs roughly 600,000 people globally, reduced its H-1B sponsorship from 10,525 in 2021 to 5,505 in 2025, yet remains the second-largest H-1B sponsor after Amazon. The cooling pace among Indian service providers reflects broader operational adjustments: more local hiring in the US, increased automation, and larger offshore delivery footprints to serve clients without sending many staff onsite.

US tech giants stepping up

The changing leaderboard is clear. Amazon is currently the top H-1B sponsor, with about 10,000 approvals in FY2025—an increase of 787 approvals from 2024. JPMorgan Chase and Microsoft also posted year-over-year gains, adding 721 and 464 approvals respectively. Other prominent US sponsors include Apple, Meta Platforms, Cisco Systems, Visa Technology and Operations, Amazon Web Services, and General Motors.

• These totals include a mix of new hires, renewals, and transfers, but still signal staying power among US tech giants hiring for cutting-edge roles across software, data, and hardware.
• US firms have increased their sponsorship activity to meet demand for AI, machine learning, cybersecurity, and cloud services, with India remaining a core talent hub.

How the H-1B system shapes employer strategy

The H-1B program caps new petitions at 85,000 per year, a number that equals only 0.05% of the US labor force. That tight cap creates fierce competition and limits employers’ ability to plan headcount that depends on visa outcomes. Additional pressures include:

• Ongoing political debates and calls to protect domestic jobs
• Higher legal and compliance costs
• Variable processing times and lottery-based selection for initial filings

These factors make H-1B sponsorship less attractive for some Indian IT firms that once relied heavily on it to deploy teams to US client sites. US tech firms, facing strong demand for niche skills, have often been willing to absorb filing costs and compliance work to secure the right specialists.

The H-1B cap and related processing dynamics force companies to balance global talent strategies: local hiring, offshore delivery, and selective H-1B filings where onsite presence is essential.

Delivery model and hiring changes at Indian IT firms

Indian IT firms have shifted toward new delivery models that reduce their reliance on visas:

• Building larger US-based teams through local hiring
• Adding nearshore hubs in the Americas
• Expanding remote work and automation to handle more work offshore

These changes reduce the need to send employees to the US on H-1B visas, and lower exposure to visa delays, denials, and legal costs that can disrupt timelines.

Interpreting the approval numbers: renewals and transfers

The raw approval counts require careful reading:

• Many approvals in a given year cover renewals, which typically occur every three years.
• Transfers between employers also inflate yearly totals.
• Thus, headline gains may not fully reflect net new job creation.

Still, higher approvals for US sponsors point to strong demand and an ability to manage the costs and timelines associated with H-1B filings. Renewals and transfers are also signs of retention and mobility—workers are staying in the US job market and moving to roles that better match their skills.

What this means for Indian professionals and families

For Indian engineers and their families, the landscape has real implications:

• There may be fewer H-1B sponsorships via Indian IT service providers, but more direct openings at US tech giants.
• Roles in AI model development, cloud infrastructure, data engineering, cybersecurity, chip design, and embedded software remain in high demand.
• H-1B status is temporary and depends on timely renewals (usually every three years) and, for many, possible green card sponsorship later.
• Families must plan for schooling, spouses’ work prospects, travel complications, and the risk that job changes can trigger new filings or transfers.

Employer tactics: selective filings vs. in-house hiring

Employers on both sides are making tactical bets:

Indian IT firms:
– Invest in automation and platforms to reduce onsite headcount.
– Expand consulting and higher-value offerings delivered with smaller onshore teams.
– Pursue selective H-1B filings only where onsite presence is essential.

US tech giants:
– Scale research & development and data-intensive services that require tight, in-house teams.
– Offer competitive packages (salaries, stock, bonuses) that attract and retain global talent.
– Combine H-1B filings with local recruitment and internal training to manage cap constraints.

Policy and market forces driving the trend

Several structural factors underlie the shift:

• Rising costs and complex immigration mandates increase the expense of each filing.
• The 85,000 annual cap leaves many qualified candidates without a slot, complicating staffing plans.
• Public pressure to protect domestic jobs encourages companies to recalibrate cross-border role counts.
• Demand for specialized skills in AI, cloud, and data motivates US employers to absorb filing burdens when they find the right talent.

Company-level details highlight this: Amazon’s ~10,000 approvals in FY2025 and gains at JPMorgan Chase and Microsoft show where demand concentrates. The active sponsor list now spans cloud, social media, payments, networking, and automotive software—indicating broad industry reliance on H-1B talent.

Practical guidance for jobseekers and employers

For jobseekers:
1. Prioritize skills aligned with current demand: AI, cloud, data engineering, cybersecurity, chip design, and embedded software.
2. Target roles on product teams and research groups at US tech firms for direct hiring opportunities.
3. Be prepared for the temporary nature of H-1B status and plan fallback options (remote roles from India, alternate visa paths, long-term sponsorship).

For employers:
– Manage the annual cap with a mix of H-1B filings, local hiring, training, and offshore delivery.
– Maintain robust compliance teams and external counsel to handle filings, timelines, and costs.
– Focus H-1B filings on roles where onsite presence or niche skills are essential.

Data sources and further reading

Readers can check official figures and employer-level statistics at the USCIS H‑1B Employer Data Hub. The hub tracks approvals, denials, and employer activity, offering a clear look at how the market is moving.

Policy briefs and research reports also help parse:
– The share of renewals versus initial filings
– Yearly trends across sectors
– How AI and cloud expansions are shaping sponsorship demand

Bottom line

The H-1B landscape has changed markedly since the mid-2010s. A 56% drop in initial approvals for leading Indian IT companies (2015–2023) and a 46% average reduction among top firms (FY2021–FY2025) show a strategic, structural shift. US tech giants have become the most active sponsors, expanding approvals even as the system remains capped and competitive.

For Indian professionals, the most direct path to US roles today often runs through US employers. For companies, the H-1B program remains a vital but constrained tool—shaped by a strict cap, complex rules, and a global race for talent that shows no sign of slowing down.