I'd disagree on nuance. Xenophobia is anti-foreigner. This targets people of color. They target people of color who are US citizens, too.

It is gutter racism.

edit: I wish I could be surprised by the downvotes, but it's gutter racism and I'm proud to point this out! I would be never be quiet about a matter of ethics and conscience just because of startup accelerator social media popularity points. This directly influences many of our friends and colleagues in this field. It is vile, evil racism and directly topical for software startups.

edit 2: the list of immigrants and children of immigrants who have founded software companies that are the absolute backbone of US information infrastructure is embarrassing to write down. Anyone can search for the information, but it's harder to list companies not founded by immigrants or children of immigrants.