The same companies that had a problem with their employees telecommuting a few days/week are now going to coordinate development work happening 12 time-zones away. Easier said than done.
A lot of the code can be spec'ed and shipped, but a good chunk needs interaction with the people who are going to use it. Face to face. Get rid of the H-1B's, and the companies will have to hire americans.
But I'm open minded. If you can explain to me why the market will not adequately punish this poor business judgment (if indeed it is), then my major objection would be removed.