What's really interesting about this is that not only was he an H1B, he was an H1B who attended an American school while here on a student visa.
Think about that for a minute, and wonder whether an American couldn't attend that school because he was filling a slot there.
I have a friend who spent three years trying to get into IT programs. The courses were over 50% foreign students, a boon for the schools since they pay full tuition. Or at least someone pays it for them, maybe the company they work for. He finally gave up the quest and went into technical writing, doing articles for a number of computer mags. He went on from there to work for a couple of Silicon Valley startups. Anyway, he certainly believes he was pushed out of line to make room for H1Bs. It certainly wasn't due to a lack of ability on his part as he's managed to succeed in the field without the degree. It did take him longer, and the lack of paper could still be a problem down the road.