Bloomberg Talks: Ark Investment CEO Cathie Wood Talks H-1B Visa Program

Date: September 22, 2025
Host: Bloomberg
Guest: Cathie Wood, CEO and Founder of ARK Invest

Episode Overview

In this episode, Bloomberg sits down with Cathie Wood, CEO of ARK Invest, to discuss the recent changes to the H-1B visa program under President Donald Trump, broader implications for the U.S. technology sector and global talent flows, as well as her perspectives on U.S. economic policy, productivity trends, and the ongoing AI race. The conversation also covers China's technological ambitions and corporate strategies.

Key Discussion Points & Insights

1. H-1B Visa Changes and US-India Relations

• Trump’s H-1B Policy Shift:
  The Trump administration has sided with its anti-immigration wing, specifically targeting new H-1B visas. Cathie Wood frames these moves as part of ongoing negotiations with India, rather than a long-term U.S. policy stance.

• Long-term Perspective:
  Wood reassures that U.S. tech leaders believe the restriction is a temporary negotiation tactic, with the broader goal still being to attract international tech talent educated in the U.S.

  "This is part of a much broader negotiation, particularly with India in mind. Those negotiations have not finished and of course this is very important to India."
  —Cathie Wood [01:13]

• Regulatory Arbitrage and Global Talent:
  Other countries are viewing U.S. visa restrictions as an opportunity to introduce their own versions of "golden visas" to attract top talent.

  "I call this regulatory arbitrage. Other countries should be looking at this as an opportunity to attract the best and the brightest."
  —Cathie Wood [02:56]

2. Economic Policy, Productivity, and the Fed

• Rolling Recession and Recovery:
  Cathie Wood notes that the U.S. is transitioning from a rolling recession (2022–2024) to a rolling recovery. She attributes economic shifts in employment to soaring productivity and capital investment rather than signals of deeper recession.

• Corporate Tax Environment:
  She highlights the effective U.S. corporate tax rate potentially dropping as low as 10% after accounting for accelerated depreciation and tax code changes, despite the nominal rate staying at 21%.

  "When we incorporate accelerated depreciation...the effective corporate tax rate in the US could be now as low as 10%."
  —Cathie Wood [04:23]

• Contrarian View on the Dollar:
  Contrary to concerns about the dollar's future, Wood foresees a rebound due to higher returns on invested capital in the U.S. stemming from deregulation and pro-business policies.

  "We actually think that the dollar will turn around because the return on invested capital in the US thanks to deregulation and tax policies is going to increase relative to the return on invested capital elsewhere."
  —Cathie Wood [04:54]

3. Productivity, Inflation, and Economic Boom

• Productivity as an Anti-Inflationary Force:
  Wood expresses confidence that growth driven by higher productivity will not be inflationary. Instead, she expects inflation could fall below 2% in the next year, potentially even reaching zero.

  "Productivity is one of the most potent anti-inflationary forces. We would not be surprised to see inflation drop below 2% next year and head for zero because we think the productivity gains are that profound."
  —Cathie Wood [05:54]

• Outlook for 2026:
  She predicts the rolling recovery will evolve into a productivity-driven economic boom as the U.S. heads into midterm elections, crediting Biden-era policy for “engineering” this setup.

4. AI Investment Race and U.S. Tech Giants

• CapEx in Hyperscalers and AI:
  The massive capital expenditure by major U.S. hyperscalers (OpenAI, Anthropic, XAI, Gemini/Google) indicates heated competition. Most other AI startups have dropped out, leaving only the largest players.

  "They're really talking to one another, you know, and willing to throw as much capital as possible to leapfrog one another."
  —Cathie Wood [07:58]

• Meta’s Comeback Play:
  Meta (Facebook) is “acqui-hiring” talent from failed AI startups to get back in the game, leveraging an open-source strategy.

5. China’s Tech Strategy and Deep Seek

• Shift to Profitability:
  President Xi Jinping is redirecting China's economic focus toward “new productive forces”—i.e., technology. The government’s recent discouragement of “involution” or market saturation, particularly in electric vehicles, is seen as a positive move toward profitability.

  "We think competition is a great thing as long as it's rational. … President Xi Jinping's discussion about…moving away from involution…is very positive."
  —Cathie Wood [08:49]

Notable Quotes & Memorable Moments

• On H-1B Visa Negotiations:

  "I think the suddenness, the Friday announcement and the lack of clarity threw a lot of people, including us. The clarity now is this applies only to new H1B visas."
  —Cathie Wood [01:38]

• On Regulatory Arbitrage:

  "Seize the moment." —Cathie Wood [02:56]

• On U.S. Productivity:

  "Companies are harnessing AI tools and substituting capital for labor…This rolling recovery will lead next year into an economic boom, a productivity-driven economic boom."
  —Cathie Wood [03:42, 05:10]

• On Tech Giants’ AI Race:

  "OpenAI is still ahead on at the margin, the others are getting closer…. Meta Platforms—they are…acqui-hiring out of these companies that are not going to make it right."
  —Cathie Wood [07:23]

Key Timestamps

• 01:13 – Wood on H-1B as part of U.S.–India negotiations
• 02:56 – Regulatory arbitrage and global talent flows
• 03:42 – Shift from recession to recovery and productivity as driver
• 04:23 – U.S. effective corporate tax rate insight
• 05:54 – Productivity’s deflationary impact
• 06:46 – Capital spending and the AI hyperscaler race
• 08:49 – China’s shift toward technology profitability

Summary Prepared for: Listeners seeking a thorough and insightful breakdown of Cathie Wood’s perspectives on U.S. economic policy, immigration, global talent, and the future of technology competition.