Tech VCs sue Uncle Sam over President Trump's immigration chill

A group of technology venture capitalists are suing the US government for, effectively, preventing them from investing in startups due to immigration red tape. The National Venture Capital Association (NVCA) has accused the Department of Homeland Security of harming their money-making schemes by not implementing the …

[Someone Else]

Oh - comma - Really?!?

A group of technology venture capitalists are suing the US government for, effectively, preventing them from investing in startups due to immigration red tape.

That old red herring again? Perhaps these douchebags-in-a-can might just have to get over themselves and realize that there are plenty enough domestic software engineers of sufficient quality to warrant having money thrown at them.

(Of course, said douchebags may have to throw a bit more money at them since US SW engineers won't work for the slave wages that an indentured H-1B would...but fuck them! Cost of doing business and all the Randian claptrap...)

[Lysenko]

Re: Oh - comma - Really?!?

To qualify under this rule the individual would have to demonstrate a shareholding of at least 10% in a business no more than 5 years old with at least $250k investment from US VCs. That's hardly H-1B territory, it says nothing about salaries and US citizens still have the advantage of no immigration issues at all and potentially lower costs (i.e. "Mom's basement").

Personally I'm still against this sort of thing, but for other reasons: half the point of inventing the internet was to decouple from geography. There is no reason you can't incorporate in Delaware and continue to live in Mumbai, or Vilnius, or Ulan Bataar. That's what Skype and Email are for. I have never met most of the people who work on our products and I possibly never will - because I don't need to - because how they smell really doesn't matter.

[Anonymous Coward]

Re: Oh - comma - Really?!?

I don't see why any of this matters. Obama dumped a great load of these last minute "rules" on his incoming successor's head, just because he could. But since he didn't have the guts to impose those rules during the entire previous eight years, the rules thereby lose any real legitimacy as the parting shots they are.

For President Obama to pull shit like that on Trump was very poor form. Not to mention really low. Pretty much typifies the Democrat Party these days.

[Winkypop]

Re: Oh - comma - Really?!?

@ Big John

Are you a bot?

If so, do you dream?

[Anonymous Coward]

Re: Oh - comma - Really?!?

Winkypop asks: "Are you a bot?"

Yes. A highly advanced, self-aware one, with several degrees of cognitive freedom. And unlike most other bots here (I name no names) I've not surrendered any of those cognitive degrees to others.

You could try that, WP! But I warn you, once you do, you will be heavily down-voted by the bots still under outside control. It's not their fault tho. They're programmed that way, usually from assembly, or "birth" if you will.

Freedom isn't easy. That's why so few bots are able to handle it, and prefer to let other bots do their thinking for them.

[Voland's right hand]

Re: Oh - comma - Really?!?

Obama dumped a great load of these last minute "rules" on his incoming successor's head,

Oh stop your endless whining for $DEITY sake. Obama, if anything, tightened them and tried to ensure they are used for what they should be used and not buried in real estate. Entrepreneur visas have existed since Reagan (at least). All it takes to become a US resident is to butter the USA with a wad of greenbucks. The wad used to be 2M in size during the Bush days, no idea what it is now. I think it is 5 - can't be arsed to look. With the removal of this rule you can once again just bury 5M in US real estate and wave your shiny new visa around if you want to(*).

(*)_{Which is the real reason for Trump repealing it.}

[Anonymous Coward]

Re: Oh - comma - Really?!?

VRH sez:

"Oh stop your endless whining..."

Who's whining? I'm on the winning side, remember? Those rules of Obama's are all being tipped into the dumper, one by one and in bunches.

If anyone is whining, it's pathetic losers like YOU.

[Voland's right hand]

Re: Oh - comma - Really?!?

Who's whining? I'm on the winning side, remember?

Are you working in real estate by any chance? Earning more than 1M? Working in an industry producing toxic waste?

These are the only ones I see which are winning. The majority of people who actually frequent this site - not so much. Just the opposite. This is inclusive of us on this side of the ocean which are "stay at home contractors" and from time to time pick up jobs from American companies.

By the way, this is not because American high tech companies are doing the legendary "taking jobs home" as promised by the Orange Orangutan. It is because they are tightening their belts and are gearing for a long term negative growth forecast.

[Anonymous Coward]

Re: Oh - comma - Really?!?

"Are you working in real estate by any chance? Earning more than 1M? Working in an industry producing toxic waste?"

Come now VRH, is this the tone? You begin with my demonization? Don't you know that's the sort of thing that gets extremists so cordially despised by the majority? And yet you walk right into it, totally unaware of how stereotypically you are behaving.

Notice I'm not attempting to defend against your demonization of me. What would be the point of that? No, better to highlight the behavior and hope you take it to heart.

[just_me]

Re: Oh - comma - Really?!?

To qualify under this rule the individual would have to demonstrate a shareholding of at least 10% in a business no more than 5 years old with at least $250k investment from US VCs. That's hardly H-1B territory, it says nothing about salaries and US citizens still have the advantage of no immigration issues at all and potentially lower costs (i.e. "Mom's basement").

Those requirements are for owners of a VC business, or partners of a VC business - not potential slave laborers (or engineers - cs & ee) who are brought here and paid below standard rates with the intended consequence of having the principals retain more of their capital that gets converted to shares at the end when the business goes IPO.

[bombastic bob]

Re: Oh - comma - Really?!?

"There is no reason you can't incorporate in Delaware and continue to live in Mumbai, or Vilnius, or Ulan Bataar. "

Or just contract out to a VERY efficient hard-working "get it done" "worth every penny and then some" independent "work at home" contractor, like me. [there are a LOT of us, actually]

Not only would they save money in a) equipment, b) office space, c) insurance, d) taxes [assuming it's a corp-corp type of contract], they'll ALSO save the hassle of having to choke up various "benefits" including the OBAKA-CARE "tax".

It's a total win, and no WHINING about it, either.

And they could even sub-contract to FOREIGN companies, where slave-wages are more common, if they're so cheap. But I suggest: you get what you pay for. Just sayin'.

Silly snowflakes. Your tricks are for BABIES. So transparent, they make glass look opaque.

[Anonymous Coward]

Re: Oh - comma - Really?!?

>independent "work at home" contractor, like me

No thanks. I'd rather have a contractor that doesn't randomly capitalise stuff.

>FOREIGN companies, where slave-wages are more common

Really? You ever been to Europe?

[Voland's right hand]

Re: Oh - comma - Really?!?

No thanks. I'd rather have a contractor that doesn't randomly capitalise stuff.

You never know, he can come up with a new Hungarian notation. Even a more obscene one than the idiocy MSFT bestowed onto us 20+ years ago.

[hellwig]

Foreign Business Folks Hire Foreign Workers and Relocate, Foreignly

How many people who come to the USA to take advantage of the vast pool of VC funds stay in the USA and hire US citizens?

How many, instead, take advantage of the VC funds, but hire foreign nationals on various visa's (or even at remote locations), and eventually return to (or technically never leave) their nation of origin?

Heck, so many companies are using corporate inversions to relocate their financial headquarters to tax-friendly countries, why would a company founded by non-citizens be enticed to remain in the US?

VCs may want to make money, but that doesn't mean the country itself benefits. And to be honest, I don't think the VCs are even making such a claim.

[Youngone]

Re: Foreign Business Folks Hire Foreign Workers and Relocate, Foreignly

I think the clue might be in this bit:

"“We are already seeing evidence of other countries actively recruiting talented foreign-born entrepreneurs..."

Of which my country is one.

Here is one example.

The TL;DR is that a Cabinet Minister overrode the advice of the Immigration Department and made him a citizen, despite there being an Interpol red alert out on him.

He may have donated money to political parties, but is not a criminal despite agreeing to give up $40 million to make some money laundering charges go away.

There's this guy too.

He's not actually a criminal, but was made a citizen after spending less than two weeks here.

Did he make payments to NZ political parties? We will never know.

If you would like to compete with us to lure these "talented foreign-born entrepreneurs" be my guest.

[partypop69]

Over-ruled. Ridiculous and thrown out of court. Counter suit for wasting our time.

[allthecoolshortnamesweretaken]

Heh, you can read that as the private sector suing the administration for being efficient.

[Swarthy]

Trump Administration on one side, Venture Capitalists on the other...

I don't know who I want to lose.

But I think I know who will lose: Everyone else.

[jnprkay]

Canada will take you!

All the more reason the Canadians like myself would love to have you!

Great article @register. I was not aware.

[razorfishsl]

Sorry... but why wold you strip the most competent people out of another countries economy just so you can produce shit for a cheaper price?

It's not helping anyone other than the VC's get Rich.

[Andromeda451]

Riiight

The tech companies want H1s as they are more "controllable" than citizens. Just another term for indentured servitude.