Indian AI startups face US visa hurdles amid relocation push
Indian AI startups chasing customers and capital in the US face tightening visa rules, raising costs
BENGALURU, India (MNTV) – – Indian artificial intelligence (AI) startups are moving operations to the United States to be closer to customers, talent, and investors, but are encountering visa challenges as the Donald Trump administration tightens immigration rules, reports Economic Times.
Aravind Jayendran, cofounder of agentic AI startup LatentForce, said his team needs to be in the US within three months for critical client meetings but is struggling to secure business visas. “The appointment wait time ranges anywhere from three-and-a-half to nine months in India. For us, that’s just too long,” he said. “As a startup, we are already facing multiple challenges and this is yet another that we need to deal with now.”
Siddhant Mohan, cofounder of API testing and security firm Qodex, said while he holds a B1/B2 visa, it no longer suffices as his US visits have increased. “I’m spending close to six months a year in the US now, and that’s not sustainable on a B1/B2,” he said. He is applying for an O-1 visa, a category for people with extraordinary ability. “We are seeing that getting O-1 is harder than before as denial rates have increased. The process is far more uncertain than it was a couple of years ago.”
Founders and investors stressed that being in the US is crucial for scaling. “There is a limit as to how much we can do online,” Jayendran said. “For example, we have met all our customers in person and then closed the deal. If you cannot do that, it makes you handicapped as you are not getting sales.”
A Bengaluru-based investor said the restrictions are affecting growth plans. “Startups cannot afford long delays. If founders can’t meet clients, or if researchers lose their work permits, business continuity is at risk,” he said.
The number of Indians applying for O-1 visas has risen significantly. According to US Citizenship and Immigration Services, approvals climbed to 1,375 in FY24 from 210 in 2018. But the denial rate also increased, from 4.5% in FY23 to 5.8% in FY24. Immigration attorneys said scrutiny of applications has intensified, causing delays.
Mohan said Qodex is now shifting technical roles back to India. “We will be hiring more engineers in our offices in India instead of the US,” he said. “In the US, we will only hire for business development roles. Fresh engineering graduates, even those who studied in the US, are off the table now.”
Have Your Say!
Have you been affected by the issues raised in this story? Please share your experiences by emailing haveyoursay@soundvision.com.
Please include a contact number if you are willing to speak to a Muslim Network TV’s representative. You can also get in touch in the following ways:
Tweet: @MuslimNetworkTV
We must take charge of our narrative. Research indicates that 92% of their Muslim coverage is negative. Help us change that.
