• Microsoft President Brad Smith warned that US immigration policies could drive AI talent overseas.
• "Let's not put that at risk," Smith said.
• The Trump administration recently suspended Microsoft and other tech firms from a green card program.

If America wants to win the AI race, sending the world's brightest engineers packing might not be a winning strategy.

That's the warning from Microsoft President Brad Smith, who said the Trump administration's immigration crackdown risks driving the next generation of AI talent away from the United States.

"I think we should all be worried about sending intentionally or inadvertently or otherwise, signals that send the most talented next wave of AI software engineers to other countries rather than the United States," Smith said in an episode of Politico's "The Decoded Podcast" that aired on Thursday.

His comments come after the Trump administration announced last week that it was suspending Microsoft, Adobe, and several other technology companies from a federal program that sponsors foreign workers for permanent residency.

Vice President JD Vance accused Microsoft of abusing the Permanent Labor Certification, or PERM, program by laying off American employees while hiring lower-paid foreign workers.

Smith, who Business Insider reported was recently put in charge of Microsoft's communications, pushed back against those allegations, saying the administration had presented a misleading picture of Microsoft's hiring practices.

"What was presented as Microsoft replacing 6,000 people who lost their jobs with 9,000 foreigners was frankly completely off base," he said.

Smith said most of the company's visa and green card applications concerned existing employees rather than new hires, adding that Microsoft had hired 9,200 American workers in its last fiscal year.

"That was left out of the narrative," he said.

He also rejected suggestions that Microsoft pays foreign workers less than their American counterparts, saying employees are compensated under the same system regardless of immigration status.

The American dream, on hold

The dispute comes amid growing uncertainty for skilled foreign workers in the US.

As part of our ongoing H-1B Fallout series, Business Insider previously reported that the Trump administration's shifting immigration policies have prompted some international workers to explore opportunities abroad, including in countries like the UK, Germany, and Canada.

An analysis of federal data by Business Insider found that certified H-1B applications fell 10% in the first nine months of fiscal year 2026 compared with the same period a year earlier. Applications for data scientists, however, rose 22.5%, highlighting continued demand for specialized AI talent.

On the Politico podcast, Smith cited immigrants' economic contributions as evidence of what America stands to lose.

He said that five of the six technology and science medal recipients recently honored by President Donald Trump had immigrated to the United States.

According to Smith, the companies associated with those five individuals collectively represent more than a quarter of the S&P 500's market value.

Their contributions, he said, benefit not just technology employees but ordinary Americans whose retirement savings and pension funds are invested in those businesses.

"Think about what those five individuals have done for the well being, even the wealth and standard of living, of Americans across the country," Smith said.

"Let's not put that at risk."

• Elon Musk's Tesla unveiled its new car, the Roadster, on Thursday.
• In its demonstration, the car took flight using thrusters and performed kickflips.
• Here's what smart people in tech and business have to say about it.

Tesla’s long-delayed Roadster finally made an entrance — by flying off a ramp.

At a livestreamed event Thursday night, the sports car climbed a curved ramp until it was upside down, launched into the air, flipped, and landed on its wheels, apparently aided by thrusters beneath the vehicle.

“Well, it worked,” Elon Musk said during the livestream.

Musk said Tesla and SpaceX engineers collaborated on the car, which uses high-pressure air and thrusters to lift itself off the ground. Tesla also showed a recorded demonstration in which the Roadster reached 60 mph in 0.81 seconds.

While the legality of such a device on public roads remains in question, the tech world is reacting to Musk's new creation with awe.

Here is what the leading voices in business and tech are saying about the new Roadster.

Jason Calacanis

Angel investor Jason Calacanis said in an X post that the videos of the flying car looked like "science fiction," and they're real, although they don't seem to be.

He seemed enthused by the demonstration, asking that while the car was only airborne for a couple of seconds, "what if it could keep you in the air for five minutes? Or ten? Or 30?"

Gene Munster

Gene Munster, the managing partner at Deepwater Asset Management and a longtime tech analyst, wrote his two takeaways from the Roadster event on X.

First, that "it was an engineering flex with no commercial value beyond embarrassing traditional car makers."

And the second was that it signaled Musk's ambition to merge his two publicly traded companies, SpaceX and Tesla.

John Carmack

John Carmack, the former CTO of Meta's virtual reality division, politely rejected the flying car.

"That demo involved a non trivial chance of embarrassing failure!" he wrote on X.

He added, "I'm only going for the baseline model. At this point in my life, rocket bunny hops are out of my comfort zone."

Marques Brownlee

Tech YouTuber Marques Brownlee, better known as MKBHD, appeared incredulous at Tesla's claims about the new Roadster.

"They really just got on stage and said this newly designed 4000+ pound car can do flips and go half the speed of sound (380+mph) and will ship in 2028," he wrote on X. "This is a prank, right?"

Alexandr Wang

Meta's chief AI officer, Alexandr Wang, had one burning question after watching Tesla's Roadster demonstration.

"wait who the hell was driving the tesla," Wang wrote on X, sharing footage of the car speeding down a dark track.

Dan Ives

Dan Ives, an analyst at Yorkville Ives and a longtime Tesla bull, said the Roadster reveal was "a statement about where the Tesla and SpaceX engineering stacks are headed together."

He wrote that the car's SpaceX-developed hardware was "a small example of the synergies between Tesla and SpaceX."

Still, he said, "The Roadster will not move the volume or revenue needle," but would "restore the brand halo at the top of the market."

David Marcus

David Marcus, the former PayPal president and Meta executive, credited Musk with bringing a sense of awe back to technology.

"The thing I’m most grateful to Elon for is bringing back an age of wonder and excitement to humanity," Marcus wrote on X, sharing Tesla's Roadster demonstration.

"That was jaw-dropping awesome! Screams and mouths wide open in the audience. Nuts."

Sam Altman

Sam Altman, the CEO of OpenAI, appeared to momentarily set aside his long-running beef with Musk to congratulate the Tesla boss.

"Wow the new roadster looks quite amazing, good job @elonmusk," Altman wrote in a Friday X post.

Altman had reserved an earlier version of the Roadster but said in October 2025 that he had canceled it after waiting 7.5 years, prompting a public exchange of barbs with Musk.

Musk was a cofounder and early financial backer of OpenAI, but he left the company's board in 2018 and has become critical of Altman's leadership.