A growing number of Indian artificial intelligence startups are reportedly relocating to the US to be closer to the hub of global AI innovation. A number of these firms are, however, running into immigration challenges as the Donald Trump administration enforces stricter visa policies across categories, restricting access and adding layers of administrative burden.
According to investors, cited in an Economic Times report, proximity to customers and partners in the US remains crucial for Indian AI firms.
“There is a limit to how much we can do online. 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,” said Jayendran of LatentForce, an AI solutions company.
The tightening rules are making it more difficult for startups to secure work permits for their teams. Furthermore, the administration is reportedly weighing a hike in the minimum wage threshold for employment visas, which could further complicate hiring plans.
Startups, battling these hiccups, are hence rethinking their staffing strategies.
Mohan, another founder cited by the paper, said his company will continue to recruit local US talent for business development roles, but has scaled back plans to hire fresh engineering graduates in the US, many of them Indian students completing their education there. Instead, the firm will expand engineering hiring in its India offices.
Despite these constraints, industry insiders beleieve Indian startups remain determined to establish a presence in the US, given the country’s critical role in shaping the future of AI.
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