India has increasingly captured U.S. tech jobs through tactics like job relocation, telework, and special visas. This trend has consequences, driving American workers out of the tech industry, diminishing job opportunities, and lowering wages. Companies often outsource work to India for much lower costs, leading to a drain of technical expertise from the United States.
During the White House AI Summit on July 23, 2025, President Trump addressed this issue head-on. He challenged U.S. tech giants to stop hiring overseas, specifically targeting India and China. “End corporate outsourcing,” he declared, calling for jobs to return home. His blunt remarks highlighted a growing concern for American workers, as he noted, “They benefit from our freedoms while stashing profits overseas.”
In conjunction with his remarks, Trump unveiled a comprehensive 28-page AI Action Plan filled with over 90 policy measures. These initiatives aim to make the U.S. the global leader in AI, pledging to create thousands of domestic jobs. Notable strategies include expediting permits for data centers and chip fabrication plants and training skilled trades to support the necessary infrastructure. The plan emphasizes exporting complete AI solutions to allied countries while maintaining a focus on politically neutral models in federally funded projects.
Moreover, Trump signed three executive orders to bolster these goals. He established a national strategy for AI development, seeks to ensure federally funded AI projects adhere to political neutrality, and committed to increasing support for American-made AI tools. This clear pivot could reshape the landscape of U.S. tech jobs and impact India’s significant tech sector, where major firms like Apple, Amazon, and Google employ countless workers.
Data supports Trump’s concern for the domestic workforce. In California, a senior developer’s salary can exceed $150,000, while the equivalent position in India ranges from $20,000 to $40,000. Research indicates that when wages abroad are just 10% lower than domestic ones, offshore employment expands significantly, outpacing onshore growth. This trend has evolved since the early days of outsourced call centers, with critical high-skill roles now being sent overseas, particularly during the pandemic when offshore workforce growth surpassed onshore by a notable margin.
The number of H-1B visas granted to Indian nationals underscores the increasing reliance on foreign talent for high-tech roles in the U.S. In fiscal year 2023, Indian citizens received 72.3% of the total H-1B visas issued. This dependence raises questions about the fate of American workers, as major tech firms reportedly use these visa programs to offer salaries below local medians, suppressing wages and narrowing career development opportunities domestically.
As U.S. colleges train a growing number of students in computer science, the influx of foreign workers for similar roles intensifies competition, creating challenges in the job market. This combination of outsourcing and H-1B visa reliance threatens not only wages and availability of positions but also the overall development of crucial skills in the U.S. tech sector.
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