Hiring Diversification for U.S. Tech Leaders: Build-Operate-Transfer and Nearshoring Explained

TL;DR: On September 19, 2025, President Trump signed a proclamation imposing a $100,000 fee on new H-1B visa petitions filed after September 21, 2025. While this fee applies only to new petitions and doesn’t affect current H-1B holders or renewals, the policy change has prompted U.S. tech companies to reassess their talent strategies. Organizations building geographically diversified teams through Build-Operate-Transfer (B.O.T) models and strategic nearshoring in Canada/Latin America are creating resilient hiring pipelines that reduce dependency on single immigration pathways while maintaining access to world-class engineering talent in North American time zones.

The announcement sent shockwaves through the tech sector, underscoring a critical lesson: over-reliance on a single immigration pathway is a strategic risk. The imperative is clear: build resilient talent strategies that can withstand policy shifts.

Why Talent Diversification Is a Strategic Imperative

The September 2025 H-1B policy change has accelerated conversations already underway in many organizations about talent diversification. Several converging forces are driving U.S. tech leaders to diversify their hiring:

Immigration policy uncertainty: The surprise announcement sparked fear and confusion among foreign workers and forced companies who employ them to scramble. After the White House outlined the new policy, some big tech companies instructed H-1B employees who were traveling outside the U.S. to return immediately, expressing concern they might not be allowed to re-enter without the $100,000 payment. This immediate disruption highlighted the risks of depending on single pathways for critical technical talent.

Talent shortages across AI, software development, and cloud engineering: Tech companies face challenges finding enough local talent to satisfy the need for innovation, with experts noting that “the technology talent that is needed to meet the demand of US-based companies is not available in the US, at least not at the scale and price point as it is available in other locations”. Competition for specialized technical skills in U.S. markets continues to intensify.

Cost implications for strategic hiring: The new six-figure fee is expected to hit startups and mid-sized companies the hardest, while giants like Amazon, IBM, Microsoft, Google or Meta may absorb the cost. For organizations without unlimited budgets, alternative talent strategies become essential.

Risk of losing talent to competing destinations: While U.S. companies wrestle with H-1B complexities, other countries are actively positioning themselves as attractive alternatives. China launched a new K Visa aimed at attracting skilled STEM workers, while Canada confirmed the federal government is examining measures to draw skilled workers affected by the fee. U.S. companies that don’t build alternative pathways risk losing access to global talent altogether.

By spreading hiring capacity across multiple geographies—especially nearshore software development teams in Canada and Latin America—US tech companies build safety nets against policy shifts, cost increases, and talent shortages.

This isn’t risk mitigation—it’s building resilient technology teams that can adapt to changing conditions while maintaining delivery momentum.

Nearshoring: The Strategic Middle Ground

Nearshoring gives U.S. firms access to deep talent pools with geographic proximity. Unlike traditional offshore outsourcing to distant time zones, nearshore IT staffing for U.S. companies provides seamless collaboration within overlapping work hours.

Why Nearshore Delivery Works for U.S. Companies

When you hire developers in Canada or work with nearshore teams in Latin America, you gain:

North American time zone alignment for seamless collaboration: Canadian teams work in identical time zones with U.S. operations, enabling real-time collaboration throughout the workday. Latin America operates in time zones from UTC-3 to UTC-6, allowing at least four hours of daily overlap with U.S. teams for most countries in the region.

No U.S. visa requirements for remote work: Engineers work from their home countries in Canada or Latin America, eliminating the need for H-1B or other U.S. work visas entirely.

Fluent English communication and cultural compatibility: Canadian professionals share language, business practices, and cultural norms with U.S. teams, eliminating communication barriers entirely. Latin American engineers often have strong English proficiency and cultural alignment with North American business practices, though communication standards may vary by country and individual.

Deep technical expertise across modern stacks: Both regions offer specialists in Python, React, AI, machine learning, data engineering, cloud architecture (AWS, Azure, GCP), and platforms like Snowflake—covering the full spectrum of enterprise technology needs.

Operational efficiency compared to U.S.-based hiring: Canadian nearshore hiring provides access to senior technical talent with minimal friction—no visa requirements, no entity setup, and straightforward compliance. While costs are higher than Latin American alternatives, they’re still significantly lower than comparable U.S. markets. Latin American nearshore hiring provides substantial cost advantages—typically 30-40% savings compared to U.S. market rates—while maintaining quality standards.

Top Nearshore Markets for U.S. Tech Companies

Canada:

The premier nearshore destination for U.S. companies seeking senior technical talent without immigration complications. Canada offers:

  • Identical time zones with U.S. operations (EST, CST, MST, PST).
  • Zero language barriers and complete cultural alignment.
  • Robust technical education system producing world-class engineers.
  • Strong IP protection and legal frameworks aligned with U.S. standards.
  • Straightforward cross-border operations without entity establishment requirements.
  • Political stability and predictable regulatory environment.
  • Growing tech ecosystems in Toronto, Vancouver, Montreal, and Calgary.

Canada represents the closest alternative to the U.S.-based hiring—offering the same cultural context, business practices, and professional standards and providing cost efficiencies.

For organizations prioritizing seamless integration, minimal operational friction, and senior-level expertise, Canada is the natural first choice for nearshore expansion.

Latin America

A compelling nearshore alternative for organizations seeking to scale technical teams rapidly and cost-effectively. Countries like Argentina, Costa Rica, Colombia, Brazil, and Mexico have become nearshore powerhouses—producing highly skilled engineers experienced in agile, product-driven environments.

For U.S. tech leaders seeking long-term workforce resilience, nearshoring isn’t outsourcing—it’s team extension in real time. Canada provides the path of least resistance for organizations prioritizing cultural fit and senior expertise, while Latin America offers compelling economics for teams focused on rapid scaling at optimized costs.

Learn more: IT Staff Augmentation: A Complete Guide for North American Businesses

Build-Operate-Transfer (B.O.T): Your Path from Partnership to Ownership

While nearshore staffing offers flexibility, the Build-Operate-Transfer model provides a structured path to build permanent capability abroad without upfront setup risks.

What Is the B.O.T Model in IT Outsourcing?

The B.O.T model is a contractual relationship where a service provider sets up, optimizes, and runs an IT or business process delivery operation with the contractually stipulated intent of transferring the operation to your organization as a captive center.

Unlike traditional outsourcing where relationships conclude with transitions to other providers or back in-house, B.O.T establishes a clear pathway to ownership from day one.

How the Build-Operate-Transfer Model Works

The engagement unfolds in three distinct phases:

Build Phase (Up to 3 months):

  • DevEngine recruits your team based on your technical requirements
  • Establishes legal and operational frameworks
  • Sets up physical and technological infrastructure
  • Implements governance mechanisms and organizational structures
  • Develops onboarding and training programs

Operate Phase (Up to 3 years):

  • DevEngine manages daily operations under your guidance
  • Maintains complete transparency through regular reporting
  • Aligns with your KPIs and business expectations
  • Implements continuous improvement initiatives
  • Ensures SLA and XLA adherence
  • Prepares for eventual transfer through knowledge documentation

Transfer Phase (Up to 3 months):

  • Complete ownership transfer of all assets, processes, and people
  • Transition of office space and procured assets
  • Transfer of all operational processes including HR, finance, and training
  • Legal handover with minimal disruption to ongoing projects

Why the Build-Operate-Transfer Model Beats Traditional Outsourcing

  • Intellectual property retention: Complete ownership of all code, processes, and institutional knowledge transfers to you.
  • Cultural continuity: From day one, teams operate under your brand and align with your organizational culture, making the eventual transfer seamless.
  • Scalable and compliant team structures: DevEngine handles all compliance, legal frameworks, and operational complexities during the build and operate phases.
  • Predictable costs and transparent pricing: Fixed-fee pricing eliminates surprises and allows accurate long-term financial planning.
  • Long-term capability development: Rather than perpetual vendor dependency, you build strategic organizational capabilities that become fully yours.

This approach isn’t outsourcing—it’s a strategic pathway to ownership, giving U.S. companies the autonomy of an in-house team with the scalability and expertise of a specialized partner.

Deep dive: Build-Operate-Transfer (BOT): Scaling Software & Data Engineering in Uncertain Times.

The Future Belongs to Diversified Teams

The world of technical hiring continues to evolve, building talent strategies that depend entirely on single pathways creates vulnerability to factors beyond your control. The September 2025 H-1B policy change represents one data point in an ongoing evolution of U.S. immigration policy. For companies that previously relied on H-1B pathways as their primary strategy for accessing specialized technical talent, recent developments underscore the value of building diversified approaches.

Nearshore software development teams in Canada or in Latin America provide strategic alternatives:

  • No visa complexity: Engineers work from their home countries in Canada or Latin America, eliminating visa dependencies entirely.
  • Faster onboarding: DevEngine can have Canadian or Latin American engineers working within 2-3 weeks, compared to the H-1B lottery cycle and processing timeline. Build teams without waiting for annual visa allocation windows.
  • Scalable hiring: Scale your team based on business needs, not immigration quotas. Build teams of 5, 15, or 50+ engineers across Canada and Latin America without the constraints that limit immigration-dependent hiring strategies.
  • Cost predictability: Fixed, transparent pricing without uncertainty about future policy changes. Canadian nearshore costs are higher than Latin American alternatives but significantly lower than U.S. markets, while Latin American rates provide 30-40% savings compared to U.S. hiring.
  • Flexibility for future transitions: Nearshore hiring doesn’t preclude eventual U.S. relocation if that becomes strategically important. It simply removes immigration pathways as a blocking dependency for accessing talent now.

U.S. tech companies adopting B.O.T and/or nearshoring models report more than operational relief—they see measurable strategic gains:

  • Faster delivery through continuous work cycles: Extended working hours across time zones accelerate project completion without burning out individual teams. Canadian teams working in EST/PST align perfectly with U.S. operations, while Latin American teams in different time zones can provide extended coverage when needed.
  • Access to specialized expertise and senior talent: Canada offers deep pools of senior architects, CTOs, and technical leads with decades of experience in enterprise environments. Latin America provides strong mid-level and senior engineering talent with expertise in modern technology stacks and agile methodologies.
  • Improved retention with embedded teams and peer-led culture: DevEngine’s approach of building dedicated, culturally aligned teams results in higher retention rates than traditional offshore models. DevEngine understands North American business practices and expectations. Each hire is specifically sourced for your technical stack and cultural fit.
  • Resilience to policy shifts and hiring disruptions: Geographic diversification ensures that no single policy change can disrupt your entire talent pipeline.
  • Cost optimization without quality compromise while maintaining identical quality standards through rigorous peer-led vetting.

In short, hiring diversification strategies for global IT teams transform talent risk into competitive advantage. DevEngine helps you get there: faster, strategically, and without dependency on uncertain immigration pathways.

More flexible engagement models:

  • Team Augmentation (Canada & Latin America): Scalable from one engineer to full delivery pods, fully dedicated and embedded in your team
  • Staff Augmentation (Canada): Contract-based access to senior Canadian IT professionals for time-and-materials engagements
  • Permanent Placements: End-to-end recruiting for full-time roles in Canada
  • Build-Operate-Transfer: Complete pathway to ownership of your nearshore capability in Canada or Latin America
  • Fractional Expertise: Part-time access to senior talent (CTOs, architects, data leads) for strategic initiatives

Whether you’re building AI infrastructure, scaling a data engineering function, or expanding delivery capability, DevEngine offers a modern alternative to immigration-dependent hiring strategies.

Ready to Diversify Your Engineering Talent Pipeline?

Explore nearshore staffing and BOT team-building options across Canada and Latin America with DevEngine.

Schedule a discovery call to:

  • Discuss your specific technical needs and hiring challenges.
  • Review potential cost savings and ROI analysis.
  • Explore transition timelines and implementation roadmaps.
  • Understand how the BOT model or nearshore staff augmentation fits your strategic goals.

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