Here is the Changes for 2008:

Employers should also consider that the foreign national who they intend to employ must be in lawful non-immigrant status which must be valid until October 1, 2007 which is the affectivity date of that approved H1B Visa. Should the foreign national not meet this requirement, for example a person in B-2 or Tourist visa may elect to have his/her B-2 tourist visa extended so that they may bridge the gap between the time their authorized stay (I-94) expires until October 1, 2007. If extending the B-2 tourist visa is not an option, the foreign national may then leave the U.S. and return to their home country before their authorized stay (I-94) visa expires and obtain their H1B visa at the U.S. Embassy in their home country.

Source: http://www.kateraynor.com/articles/h1b-visa-cap.html