Since its inception, Jordan has experienced large-scale and diverse immigration waves from neighboring countries. The research focuses on the wave that took place during and after the Gulf War of 1991, which left a lasting impact on the country's economy, social fabric, and in particular on the IT industry. The research used a field survey of 37 local companies as well as the analysis and synthesis of various data, and relevant government laws and regulations to probe the impact of that wave. It concluded that, the immigrants caused a boom in all sectors of the economy, as evidenced by the phenomenal 16% growth in the economy in 1992. They created new businesses and competition in the IT industry, and brought technical skills and managerial expertise, that gave a boost to the IT sector and forced the acceleration of local market concepts such as consulting, specialization, and marketing. The Jordanian Government played a passive role at best through its laws, regulations, and practices. During the following decade, few Jordanian IT companies reaped the benefits of the revamped IT sector and attained international fame, when for example, Maktoob portal was acquired by Yahoo. It is hopeful that other countries can benefit from the Jordanian experience in dealing with the ongoing immigration waves and the diversity they bring with them.