
H-1B Visa Policy Shift: Risks and Opportunities for the Global IT Services Industry
Description
This IDC Market Note provides an assessment of the U.S. H-1B visa policy shift, highlighting its immediate cost pressures, deal uncertainties, and operational risks for global IT services firms. It outlines IDC's perspective on how these changes will accelerate offshore and nearshore delivery adoption, driving structural shifts in competitive dynamics. The Note also provides guidance for services firms to mitigate risks, rebalance talent strategies, and leverage AI and automation to enhance resilience and long-term competitiveness."The $100,000 H-1B visa supplemental fee is a catalyst for structural change in IT services. While it creates near-term cost pressures and deal uncertainty, it accelerates offshore and nearshore delivery adoption. Firms that realign talent strategies and embrace AI-driven delivery will become more resilient and competitive," says Nishant Bansal, associate research director, Worldwide Services Research, IDC.
Table of Contents
7 Pages
Executive Snapshot
In This Market Note
Potential Impacts on the IT Services Industry
Higher Onshore Staffing Costs
Impact (Moderate to Significant) and Area: Margins
Reduced Availability of Skilled Labor in the United States
Impact (Significant) and Area: U.S. Workforce and Project Delivery
Job Creation and Economic Growth
Impact (Moderate) and Area: Job Creation and Growth
Deal Structuring and Pricing Pressure
Impact (Moderate) and Area: Deals
Acceleration of Offshore/Nearshore Delivery
Impact (Significant) and Area: Strategy/Operations
Margin Compression
Impact (Moderate to Significant) and Area: Profitability
Shift in Sales/Go-to-Market Strategy
Impact (Moderate) and Area: Deals/Market Positioning
Operational Risks from Uncertainty
Impact (Minor to Moderate) and Area: Delivery/Operations
Digital Sovereignty Pressures
Impact (Moderate) and Area: Local Innovation
Does India Stand to Benefit?
Global Beneficiaries Beyond the United States
IDC's Point of View
Guidance for Tech Suppliers
Learn More
Related Research
Synopsis
Search Inside Report
Pricing
Currency Rates
Questions or Comments?
Our team has the ability to search within reports to verify it suits your needs. We can also help maximize your budget by finding sections of reports you can purchase.