Summary:
- New US policy hikes H-1B visa fees to $100,000 from $5,000
- Box CEO Aaron Levie says move will hurt startups, favor Big Tech
- Proposes $20,000 fee cap with flexible visa quotas to attract talent
“A Spending Game Startups Cannot Win”
Box CEO Aaron Levie has sharply criticized the US government’s new $100,000 H-1B visa fee, warning it will tilt the global talent wars in favor of large tech giants while crippling cash-strapped startups.
Speaking on Andreessen Horowitz’s A16z Podcast, Levie argued the steep fee turns hiring into “a spending game smaller firms cannot win”. The new fee structure, effective September 21, marks a dramatic leap from the current $2,000–$5,000 cost.
Pushback From Founders & Investors
Levie backed Khosla Ventures’ Keith Rabois, who suggested a $20,000 cap to balance startup affordability with immigration goals. Founders fear the hike will “kneecap hiring in the talent wars,” forcing skilled workers toward Big Tech companies that can absorb higher costs.
Investors like Michael Moritz warned the policy could backfire by pushing innovation overseas, as global engineers increasingly opt for remote roles from India, Eastern Europe, and other hubs.
A Broader Call For H-1B Reform
Beyond fees, Levie proposed a six-point framework for H-1B reform, calling for flexible visa caps ranging from 5,000 to 80,000 annually, depending on demand. He emphasized attracting “the absolute best in the world” while ensuring the program uplifts — not suppresses — American wages.
Citing examples of international graduates becoming AI engineers, Levie stressed that excluding junior-level talent is shortsighted. The debate comes as immigrant leaders like Satya Nadella (Microsoft) and Sundar Pichai (Google) embody the H-1B program’s transformative potential.
