If you are a foreign developer eyeing a US work visa, the landscape has shifted dramatically. Department of Labor data reveals that H-1B Labor Condition Application (LCA) filings for software developers dropped by 36% between fiscal 2022 and fiscal 2026. The decline is even steeper when looking strictly at new hires, where filings fell 46%. This isn't just a blip; it represents a structural change in how major US tech firms are staffing their engineering teams.
The $100,000 Fee Shockwave
The decline occurred in two distinct phases. The first drop of 27% happened in fiscal 2023, coinciding with widespread tech layoffs. After a slight recovery through 2025, filings plummeted another 14% in fiscal 2026. The sharpest contraction occurred between October and December 2025, immediately following the White House announcement of a $100,000 fee on new H-1B petitions. That specific quarter saw a 26% year-over-year decline, though the gap narrowed to 5% by the April-June period.
AI Titles Rise While Giants Hold Back
While traditional software roles shrink, titles explicitly mentioning 'AI' or 'machine learning' are growing, albeit from a small base. These titles accounted for just 1.8% of all certified H-1B filings in fiscal 2026. Interestingly, the growth is not driven by the usual suspects. OpenAI and Anthropic, despite being AI-first companies, rarely use 'AI' in their job titles; only 11% of their 402 filings included such terms, with most using 'Member of Technical Staff'. Conversely, employers outside the top five largest filers submitted 85% of AI-titled filings, indicating a decentralization of AI hiring.
Big Tech Diverges on Hiring Strategy
The data shows a stark divergence among tech giants. Microsoft and Google saw their software filings drop by 44% and 33% respectively. Salesforce also experienced a steep decline. In contrast, Nvidiaβs filings nearly quadrupled, and Amazonβs rose by 34%, increasing Amazonβs share of all software filings to 8.8%. The overall decline is largely driven by employers outside the top nine tech firms, who filed 41% fewer software developer visas compared to a mere 6% drop among the big players.
Key Takeaways
- Software developer H-1B filings fell 36% from FY2022 to FY2026, with new hire filings down 46%.
- A $100,000 fee on new petitions announced in late 2025 caused an immediate 26% quarterly drop in filings.
- AI-specific job titles remain rare (1.8% of filings) but are growing fastest among smaller employers.
- Nvidia and Amazon increased software filings, while Microsoft, Google, and Salesforce significantly reduced them.
- OpenAI and Anthropic mostly avoid 'AI' in their official job titles, preferring generic technical labels.
The Bottom Line
For developers, the 'AI engineer' title is often marketing rather than a distinct hiring category, while the real cost barrier for foreign talent has just skyrocketed. The data suggests US companies are using AI as a justification to hire fewer, more specialized foreign workers while shifting the bulk of AI adoption to domestic or non-H-1B labor.