I am currently recruiting engineers for my startup in India. The vast majority (>99%) of the candidates who have worked at TCS, Infosys, Cognizant etc. do not have any skill set whatsoever. They cannot solve engineering problems beyond the very basics and write shitty unmaintainable code. At this point I am forced to apply a more stringent red flag check if a candidate is coming out of that company. 10 years of "experience" in these companies = 1 year of experience * 10 years.

These companies do actually abuse the program and the legit people who are highly skilled suffer because of the lottery system - including highly skilled Indians who do NOT work at these companies but are working in small startups who cannot afford to put in multiple applications to win the lottery by statistics (instead of skill).

If this "flooding" is stopped then a lot of SV startups will have an easier time recruiting great talent from India.

I am skeptical though of the fact that whatever is replacing this system will not be circumvented soon in some other way.