There is still a fairly large Indian American 1st and 1.5 gen diaspora with GCs and citizenship.
In most cases, we have those people manage relations with offshore teams in India.
So, just like how Chinese Americans became overrepresented in hardware and supply chain management roles in order to help manage a company's "China" story, the same thing is happening for "white collar" industries.
The first HN thread on the H1-B $100k fee pointed out that the $100k fee can be waived by the secretary (not sure which department). Most likely, H1-Bs won’t go away, they will just be bribe bait for the administration. Smaller companies who can’t lobby the admin or who aren’t in the good graces of the administration will have to do without H1-Bs, but all those tech titans who donated to the Trump Inauguration will magically get waivers for the fee.
It won’t be a matter of “outsource to India or hire locally”, it will be “what is the ROI of the bribe compared to having to hire locally when the labor market gets tighter?”
Without the H1B hand cuffs, retention/productivity in India will be doubly chaotic.
As messy as this is, some US companies may consider to make the effort to attempt to hire more in the US.
EDIT: added retention