Under the law the first 20,000 H1B petitions that are filed on behalf of foreign nationals that have earned an advanced degree from a U.S. institution of higher education are exempt from the USCIS H1B quota. This essentially creates a separate pool of 20,000 additional H1B visa numbers each fiscal year that are available only to those foreign nationals who have earned a Master's or higher graduate degree from a US institution of higher education.
Check out almost any Comp Sci faculty at any major american university -- you will find a lot of foreigners --- especially Chinese and Indian kids. These universities and those kids have nothing to do with bodyshops. To lump all of them with bodyshoppers is just ignorant.
My understanding is that those smart kids at the major universities doing computer science aren't getting those H1B visas, and they certainly aren't working at the bodyshops. They're on student visas.
The big companies get some, but most of the slots, even for the masters-degree-only section, go to "insourcing" outfits that have the paperwork down to a science, and have a list of colleges with super slightweight (but still accredited) masters degree programs.
Under the law the first 20,000 H1B petitions that are filed on behalf of foreign nationals that have earned an advanced degree from a U.S. institution of higher education are exempt from the USCIS H1B quota. This essentially creates a separate pool of 20,000 additional H1B visa numbers each fiscal year that are available only to those foreign nationals who have earned a Master's or higher graduate degree from a US institution of higher education.
src :http://www.visapro.com/Immigration-Articles/?a=1090&z=48