Trump’s plan to charge $100,000 for new H-1B visas is met with dismay by CEOs who want the world’s top talent

• In today’s CEO Daily: Diane Brady on what CEOs have to say about Trump’s plan for new H-1B visa fees.
• The big story: The Murdochs and Michael Dell are named in TikTok deal talks.
• The markets: Mixed but calm.
• Plus: All the news and watercooler chat from Fortune.

Good morning. Elon Musk has noted that he is in the U.S. because of the H-1B visa. I came to the U.S. on one, too. So did Melania Trump. Odds are high that none of us would have been able to work here, had it cost our employers $100,000 a pop. Donald Trump’s decision to dramatically raise the cost of this key visa for foreign workers caused chaos over the weekend, followed by mild relief that existing holders are exempt, but widespread confusion about what this means for business. “We’re being inundated with member requests,” U.S. Chamber of Commerce CEO Suzanne Clark told me yesterday. “We’re working with the Administration and our members to understand the full implications and the best path forward.”

Tech and consulting giants will bear the brunt of this cost—Amazon alone would have had to pay more than $1 billion had that fee been charged for its visa holders—but thousands of smaller companies and startups rely on the program. It will no doubt be challenged in court as new visa fees are typically the domain of Congress, but, for now, the fee stands. Here’s the reaction I’ve heard from some leaders this weekend, many of whom are in town for Climate Week and the U.N. General Assembly.

The system needs reform–I was surprised to hear a veteran tech leader agree with the White House contention that the H-1B has made it too easy for U.S. companies to hire entry-level foreign talent rather than look for workers at home. “A lottery is not a meritocracy,” he told me. “Companies have been using these visas to displace American workers. That’s just a fact.” With Gen Z struggling to find work, something had to give.

Foreign workers fuel innovation–Attracting the best and brightest from around the world is part of America’s secret sauce. Many entrepreneurs come as foreign students, ultimately getting an H-1B that enables them to build successful companies and careers here. The Bureau of Labor Statistics estimated that the U.S. would need more than one million additional STEM workers between 2023 and 2033. AI and automation may reduce labor demand, but the multiplier effect of top talent doesn’t diminish. 

Industry will fight back–CEOs have been remarkably tepid in response to various White House moves, from tariffs to directives on how to run their businesses. But fear of the President’s wrath is giving way to frustration: Says one foreign-born CEO I spoke to: “Show me a country that wins by turning away talent, firing experts and making it more costly to do business.”

Contact CEO Daily via Diane Brady at diane.brady@fortune.com

This story was originally featured on Fortune.com