Billionaire VC Mike Moritz slams new H-1B visa fee as ‘brutish extortion scheme’

In a recent opinion piece for the Financial Times, renowned venture capitalist Michael Moritz has expressed strong disapproval of the Trump administration's newly announced $100,000 annual fee on H-1B visas. These visas are crucial for allowing 85,000 skilled foreign professionals to work in the U.S. each year, particularly in the technology sector. Moritz, who previously led Sequoia Capital, has drawn a vivid parallel between the government's actions and the notorious character Tony Soprano, labeling the fee as a 'brutish extortion scheme.' He articulates his belief that the administration is fundamentally misguided about the rationale behind tech companies hiring foreign talent. According to Moritz, these hires are not an attempt to displace American workers or reduce costs, but rather a necessity to fill critical skills gaps in the labor market. He warns that this policy could have severe consequences, driving businesses to shift operations overseas to places like Istanbul, Warsaw, or Bangalore. Moritz emphasizes that engineers from esteemed universities in Eastern Europe, Turkey, and India are just as qualified as their American peers. Instead of imposing restrictions on H-1B visas, Moritz advocates for an increase in the number of visas granted, suggesting that the U.S. should consider doubling or tripling them. He also proposes granting automatic citizenship to foreign nationals who earn STEM PhDs from top American universities. Highlighting the successes of the H-1B program, he cites prominent figures like Microsoft’s Satya Nadella and Google’s Sundar Pichai, who are both foreign-born CEOs. Moritz reflects on his own journey, having received the precursor to the H-1B visa in 1979, and expresses gratitude for the opportunities the U.S. has provided him.