Quick Read
- US replaces H1B visa lottery with a weighted selection favoring high-paid, high-skilled workers.
- A new $100,000 visa fee was upheld by a federal judge, raising concerns among businesses.
- Changes will take effect for the 2027 H1B registration season; tech giants remain key beneficiaries.
US Ends H1B Visa Lottery: Weighted Selection Prioritizes High-Paid, High-Skilled Workers
The landscape of high-skilled immigration to the United States is set for a seismic shift. On December 24, 2025, the Trump Administration announced the end of the H1B visa lottery system—a fixture of US immigration for over two decades. In its place, a weighted selection process will prioritize applications from higher-paid and higher-skilled foreign workers, aiming to reshape the future of America’s tech and knowledge workforce.
According to the Department of Homeland Security (DHS), this overhaul responds to long-standing concerns about wage suppression and system abuse. The old random lottery, DHS officials say, allowed US employers to flood the applicant pool with lower-wage, lower-skilled petitions, crowding out more qualified candidates and undermining opportunities for American workers (The News Minute).
How the New Weighted System Works
The annual cap of H1B visas remains at 65,000, with an extra 20,000 reserved for those holding advanced degrees from US institutions. But starting with the fiscal year 2027 registration season, employers will no longer have equal odds in a random draw. Instead, applications will be ranked, and those offering higher wages and seeking higher-skilled workers will have a greater chance of selection (AP News).
DHS emphasizes that the change does not block access for lower-wage employers but shifts the balance. The goal: to ensure that the H1B program genuinely attracts the world’s top talent, rather than acting as a backdoor for cheaper labor. Supporters argue this reform brings the program closer to congressional intent and restores its credibility.
$100,000 Visa Fee Upheld in Court
In a parallel move, the Trump Administration introduced a $100,000 fee per H1B visa—designed, officials say, to further deter abuse and ensure employers turn to foreign workers only when absolutely necessary. This fee was challenged in court but upheld by Chief US District Judge Beryl Howell, who ruled that the President’s authority under immigration law is broad enough to impose such a charge (Politico).
The decision sent shockwaves through the business community. Daryl Joseffer, executive vice president and chief counsel for the Chamber of Commerce, warned that the steep fee could make H1B visas unaffordable for small and medium-sized companies, potentially squeezing out innovative startups that rely on global talent. While certain employer categories are exempt from the cap, the fee represents a significant new barrier for many.
Tech Giants and Talent Flow: Who’s Affected?
Historically, tech giants like Amazon, Tata Consultancy Services, Microsoft, Apple, and Google have dominated the H1B program. In 2025, Amazon topped the list with over 10,000 approved visas. California continues to be the hotspot for H1B workers, reflecting the state’s central role in tech innovation (AP News).
Supporters of the H1B program highlight its importance not only for the tech sector but also for healthcare and education, where skilled foreign professionals fill critical gaps. Critics, meanwhile, argue that the system has too often favored entry-level positions over truly specialized roles, diluting its intended impact.
Broader Immigration Policy Shifts: Gold Card and Debates
This reform is part of a wider Trump Administration push to overhaul legal immigration. Alongside the H1B changes, the White House rolled out a $1 million “gold card” visa, offering a pathway to citizenship for wealthy individuals willing to invest in the US. These moves have sparked intense debate, with labor advocates and policymakers divided over how best to balance competitiveness, fairness, and protection for American workers.
The H1B program has always been a political flashpoint—central to America’s efforts to attract global talent, yet fiercely contested in Congress and the courts. Business groups warn that overly restrictive policies risk harming innovation and the economy. Advocates for reform counter that integrity and fairness must come first.
What’s clear is that the end of the lottery system marks a new era. Employers seeking to bring foreign talent to the US will face higher hurdles and tougher choices. For skilled professionals around the world, the path to working in America just got steeper—and perhaps, for some, a little fairer.
The US government’s overhaul of the H1B visa system signals a major shift toward valuing skill and compensation over luck. As the debate over high-skilled immigration intensifies, the true test will be whether these changes strengthen America’s competitiveness without shutting the door on the innovation and diversity that have defined its workforce for decades.