i2Coalition Internet Infrastructure Policy Report: December 2025

Your update on important Internet policy issues

OUTLOOK

Congressional activity intensified during December in the lead-up to the winter holiday break, with the House and Senate scheduled to return to Washington the week of January 5, 2026. To avoid a second government shutdown, Congress must pass legislation to fund the federal government by midnight on January 30. Meeting this deadline will be a major focus of legislative work in early January, as completion of all work on remaining FY 2026 appropriations bills was left unfinished in December. The FY 2026 National Defense Authorization Act (NDAA) was the only bill that had the perceived certainty of passage and enactment before January 1. No deal was reached among Republicans and Democrats to extend the contentious Affordable Care Act federal health insurance subsidies, so they are slated to expire at year’s end. Health insurance industry experts predict that the stalemate allowing the year-end 2025 expiration of the subsidies effectively means that monthly premium payments for 22 million Americans will rise an average of 114%. This deeply partisan Congressional health care debate will resume in earnest in January. President Trump continued rapid pursuit of a complex combination of his major international and domestic priorities. The President consistently underscored the benefits he sees for America flowing from his tariff strategies. While intensifying his focus on Venezuela, President Trump also dispatched his son-in-law Jared Kushner and his special envoy Steve Witkoff to conduct Ukraine-Russia negotiations with both sides toward ending the war. After the House failed to include AI preemption language in the NDAA, President Trump signed an AI preemption executive order. Growing concerns about Americans’ economic anxiety and affordability prompted President Trump to deliver a prime-time speech to the nation on December 17 to defend his economic policies.

TECH POLICY PRIORITIES 

Intermediary Liability/Content Moderation. Legislation to repeal Section 230 was introduced in the House and Senate in late December. A bipartisan group of Senators led by Lindsey Graham (R-SC) introduced a measure to repeal Section 230 two years after the date of the bill’s enactment. Senator Graham wants to build support momentum for this repeal measure around the 30th anniversary of the Telecommunications Act of 1996 in February 2026. Rep. Harriet Hageman (R-WY) introduced legislation to repeal Section 230 after December 31, 2026.

Federal Privacy. The House Energy and Commerce Committee will resume work on a slate of bills addressing children and teens’ online privacy and safety, with plans to move to a full committee markup of a package of these bills in early 2026. The GOP-led House Energy and Commerce Committee Privacy Working Group to date has not released draft text for federal comprehensive consumer data privacy and security legislation but reportedly plans to act early in the new year. The Senate Judiciary Committee held a kids online safety hearing in December at which Chair Grassley (R-IA) highlighted a package of bills to combat online child exploitation by revamping federal sentencing laws, targeting online criminal networks, and cracking down on offenders who use child sexual abuse material (CSAM) to extort and coerce children.

Copyright/IP. The Supreme Court heard oral arguments on December 1 in the Cox v. Sony contributory copyright liability case, and a decision is expected in 2026 by the end of the Court’s current term. Meta announced several commercial AI data agreements with news publishers, which will allow Meta to provide “real-time” news and updates through its AI chatbot by linking to articles and websites from the publishers.

Antitrust/Competition. The Supreme Court heard oral argument on December 8 in Trump v. Slaughter which concerns whether the president may unilaterally fire members of independent commissions like the FTC without cause. Netflix faces a class action lawsuit led by an HBO Max subscriber which alleges that Netflix’s proposed acquisition of Warner Bros. threatens to minimize competition in the U.S. subscription streaming market and which seeks an injunction to block the deal.

Broadband. FCC Chair Brendan Carr, and Commissioners Olivia Trusty (R) and Anna Gomez (D) testified at an FCC oversight hearing on Dec. 17 before the Senate Commerce Committee. A bipartisan group of senators led by Sen. Deb Fischer (R-NE) is pressing the Trump administration to preserve states’ ability to use money left over from the $42.45 billion Broadband Equity, Access, and Deployment (BEAD) program, as the 2021 infrastructure law outlined. President Donald Trump’s December 11 EO on a national framework for artificial intelligence instructs the Commerce Department to issue a notice within 90 days specifying the conditions under which such leftover BEAD funds can flow to states, and directs that no money go to states with “onerous” AI laws.

Intermediary Liability/Content Moderation

Senate: Sen. Graham (R-SC) Leads Bipartisan Section 230 Repeal Legislation – On December 17, ten Senators introduced a bill to repeal Section 230 two years after the date of enactment of the legislation. This action follows Senator Graham’s announcement at a Senate Judiciary hearing that he intended to promote bipartisan action on Section 230 repeal legislation around the 30th anniversary of the Telecommunications Act of 1996 in February 2026.

House: Rep. Hageman (R-WY) Introduces Sunset to Reform Section 230 Act to Curb Big Tech Censorship – On Dec. 16, Congresswoman Harriet Hageman (R-WY) introduced the Sunset to Reform Section 230 Act to force Congress to reform the broad authorities it has granted to Big Tech. Her bill would repeal Section 230 after December 31, 2026. Hageman’s news release announcing the bill states:

• • “To facilitate the Internet revolution, Congress enacted Section 230 to protect the tech companies and free speech of users, a noble and necessary balance that is still needed today. However, it also grants tech companies immunity from civil liability for the removal of content that Big Tech considers to be ‘obscene, lewd, lascivious, filthy, excessively violent, harassing, or otherwise objectionable.’”
  • “The current statute does not define what otherwise objectionable means, nor could it because it is not a common standard. What is objectionable to one person might not be to another. In this absence, Big Tech has defined what is objectionable based on its own beliefs. For years, that was with a liberal Silicon Valley bias, the very group that colluded with the federal government on the largest censorship programs in our nation’s history.”

• “What Congress must do is replace the ‘otherwise objectionable’ standard with an ‘unlawful’ standard. This would allow Big Tech to remove content that harms our children, facilitates terrorism, and more. I am a cosponsor of the Stop the Censorship Act, which would make this change, but the opportunity for this reform will only come if Congress is forced to periodically debate the reauthorization of Section 230, which my bill would do.”  

House: Bipartisan Deepfake Liability Act – Representatives Celeste Maloy (R-UT) and Jake Auchincloss (D-MA) introduced the Deepfake Liability Act, aimed at addressing the rapid rise of nonconsensual deepfake pornography and the online tools that enable it. Women and teenage girls are the overwhelming targets of these abuses, which now make up the vast majority of deepfake content online. 

• The bill amends Section 230 by conditioning a platform’s liability protections on meeting a clear duty of care. Platforms would be required to take basic steps to prevent cyberstalking and abusive deepfakes, respond to reports from victims, investigate credible complaints, and remove harmful content that violates individuals’ privacy. The legislation also clarifies that AI-generated content does not qualify for Section 230 immunity.
• The Deepfake Liability Act incorporates the notice and removal framework from the Take It Down Act. It outlines requirements for reporting processes, investigation procedures, timely removal of unlawful material, and data logging to ensure victims can access information needed for legal action.

i2Coalition’s Perspective – In the 119th Congress, the i2Coalition will continue to build on its record of educating policymakers about the complexities of the Section 230 debate and threats posed to the entire Internet ecosystem beyond the largest tech social media platforms if uninformed legislation is adopted or legal cases are wrongly decided. In 2023, the i2Coalition joined other prominent tech trade associations in a letter and related efforts directed to the Senate Judiciary Committee to oppose the ill-advised, re-introduced EARN IT Act. In 2024, the I2Coalition joined numerous tech trade associations and civil society groups in a letter to Congressional leaders expressing strong support for The Invest in Child Safety Act, which would directly give law enforcement authorities more resources to battle online child predators and would provide support to victims and their families. The i2Coalition continues to build on its collaboration with key allies in the library and higher education communities to promote a full understanding of the scope of Section 230. The i2Coalition filed an amicus brief with the U.S. Supreme Court in Gonzalez v. Google on Jan. 18, 2023, to advance the Court’s accurate understanding of the scope and impact of Section 230’s immunity protections for Internet intermediary providers. On May 21, 2024, the i2Coalition led in sending to Congress a broad affected stakeholders letter signed by ten organizations to express strong opposition to the House Energy and Commerce Committee bipartisan leaders’ draft bill to sunset Section 230 by December 31, 2025. In the 119th Congress, the i2Coalition will also continue to inform and educate policymakers if misplaced enforcement and procedural approaches to other online problems are proposed.

Privacy

House: E&C Subcommittee Markup of Children’s Safety Bills – The House E&C CMT Subcommittee marked up a slate of 18 children’s safety bills that were the topic of an earlier legislative hearing in an effort to move as many of those bills forward as possible. While the bills were passed out of subcommittee, the committee will be continuing significant work on the text of the bills prior to a full committee markup expected in early 2026.

House: HELP Committee Staff Refine Health Privacy Proposal Ahead of 2026 Markup – The majority staff of the HELP Committee plan to move their health data privacy bill forward regardless of broader privacy negotiations, targeting an early 2026 markup. The measure would extend HIPAA-like safeguards to non-HIPAA entities, update de-identification and wellness data rules, and modernize standards for digital health technologies. 

House: Judiciary Committee Holds FISA Oversight Hearing – The House Judiciary Committee held a well-attended, bipartisan oversight hearing on the Foreign Intelligence Surveillance Act (FISA) in preparation for further legislative proceedings necessary to reauthorize FISA Section 702 by April 19, 2026, before the law expires.

• Led by Chairman Jordan, the need and strong bipartisan support for imposing a warrant requirement for federal government access to FISA database information about U.S. citizens dominated the hearing discussion about the additional reforms Congress should adopt in the next FISA reauthorization legislation in 2026.
• Several other key FISA reforms were discussed repeatedly with bipartisan support, including: close the data broker loophole; reform FISA Court procedures (e.g., add stronger amicus participation to protect privacy interests); significantly narrow the expanded statutory definition of an “electronic communication service provider” (ECSP).
• The hearing also included a broader discussion of government accountability mechanisms and balancing the extent of the FBI’s role in surveillance activities.

i2Coalition’s Perspective – i2Coalition works closely with U.S. policymakers to educate about and maximize understanding of the business impacts of privacy and data collection legislation and regulation affecting the technology sector in the U.S. and globally. For example, on Oct. 6, 2022, in Washington, and on Dec. 6 in Brussels, the i2Coalition and eco hosted timely webinars on the status of the EU-US Data Privacy Framework, with panelists from government, industry, and civil society. The i2Coalition will continue to follow EU-US efforts on transatlantic data flows policy making and engage with the responsible U.S. Department of Commerce officials and staff and with our EU allies and partners. In the 119th Congress, we will continue to focus on presenting substantive updates and educational resources to Congress and federal policymakers about the work we are doing and the progress being made with ICANN and NTIA on the development of a sound, workable global access model for domain name registration data meeting the requirements of the GDPR and federal and state laws, and the needs of law enforcement agencies. In Congress and before the Administration, we will continue to emphasize the need to combine enhanced privacy policies with the ability to deploy strong encryption, unencumbered by backdoors, as primary tools we leverage to keep people safe online.

Copyright/IP 

SCOTUS: Cox v. Sony Dec. 1 Oral Arguments – The Supreme Court heard oral arguments on December 1 in the Cox v. Sony contributory copyright liability case. The case involves the issue of whether Internet providers can be held liable for providing internet access to users accused of copyright infringement. This case could have a major impact on access to the Internet and free speech. In previous rulings, a Virginia district court jury awarded Sony $1 billion in damages, and the retrial, if it goes in Sony’s favor, could lead to even higher fines. The billion-dollar case against Cox is being closely watched with numerous amicus briefs filed on both sides, and a Supreme Court decision is expected later in this term.

Courts: Suno Pushes for a Lawsuit to Focus on AI Fair Use – Suno, an AI music generator, has renewed its push to dismiss most claims in a copyright lawsuit brought by artists, arguing that narrowing the case would let the court focus on whether training AI models on copyrighted music qualifies as fair use. This is one of several suits accusing Suno of copyright infringement, including alleged violations of the Digital Millennium Copyright Act (DMCA) for “stream-ripping” music from YouTube. Suno argued it did not violate the DMCA because YouTube’s system restricts downloading, not access, which they say places it outside the scope of the law. Suno is also seeking to dismiss an unfair competition claim.

Industry: Meta Strikes AI Deals with News Publishers – Meta announced new AI data agreements with major news publishers, including USA Today, CNN, Fox News, The Daily Caller, the Washington Examiner, and Le Monde. As Meta expands its AI chat tools, it has resumed paying for editorial content to ensure its chatbots provide the most recent, verified news. These deals allow Meta to pull real-time information from partner outlets, and users will see the sources and direct links to the publishers’ websites when using Meta’s AI chatbot.

Patents: Experts Register Concerns With PTO’s Proposed Rules – The window to comment on the PTO’s proposed changes to the PTAB process closed earlier this month. With more than 10,000 comments filed, the PTO’s proposed reforms have become a flashpoint for questions that go way beyond discretionary denials, with many asking whether the USPTO is functionally trying to engage in de facto legislation to neuter the PTAB. Patent expert, Scott McKeown, seems to agree with this perspective. In recent comments, he characterized the PTO’s pending proposal as “overreaching” and an attempt to “back-door what should be [accomplished via] legislative changes”. He went on to suggest that the PTO’s proposal “will invite years of litigation and further destabilize a system that is already hanging together with duct tape.”

• The proposed rule would expand upon USPTO Director John Squires’ emphasis on “born-strong” patents and quiet title. The rule would also require IPR petitioners to stipulate that they will not pursue invalidity claims elsewhere and to file those stipulations in any parallel litigation.
• Senators Thom Tillis (R-NC) and Chris Coons (D-DE), along with Representatives Nathaniel Moran (R-TX) and Deborah Ross (D-NC), submitted a brief set of comments in support of the proposed rule. However, a group of 14 former lawmakers, led by former Sen. Leahy, expressed strong opposition to the rulemaking, noting that several of its provisions exceed the USPTO’s authority by restricting defenses in district court and creating nonstatutory barriers to filing inter partes reviews. Patients for Affordable Drugs also opposed the rule, saying it would weaken the PTAB’s role in efficiently challenging invalid pharmaceutical patents and reduce access to low-cost generics and biosimilars.

i2Coalition’s Perspective – i2Coalition will continue to actively fight for the preservation of Section 512 safe harbors of the DMCA that its members have relied upon, including particularly the conduit provisions, to launch and operate their businesses successfully without being deluged with litigation threats. We will work to educate policymakers to ensure balanced intellectual property policy outcomes for our members. In addition, the i2Coalition will engage through outreach, dialogue, and the public comments process in any future Canadian copyright consultations to urge continuity of balanced approaches in consideration of any reforms of Canada’s safe harbor framework for online intermediaries.

Cybersecurity 

House: Future of AI and Cybersecurity Hearing – As artificial intelligence development accelerates, stakeholders, consumers, and Congress are voicing concerns about security vulnerabilities and how adversaries are already exploiting them. The House Homeland Security Committee held a Dec. 17 hearing on the future of AI, cybersecurity, and threats. This hearing comes after OpenAI’s recent warning that future AI models could present significant security threats due to their rapidly evolving capabilities against critical networks.

House: Homeland Sec. Committee Hearing on Worldwide Threats – The House Homeland Security Committee held a Dec. 11 hearing on Worldwide Threats with DHS Secretary Kristi Noem, where multiple Democrats called for her resignation over alleged violations of federal court orders and detention of U.S. citizens, though she defended her record and left the hearing early. The hearing focused primarily on immigration enforcement. However, FBI Operations Director Michael Glasheen noted that CISA 2015 cyber threat sharing authorities are critical for private sector partnerships against AI-enabled threats. Also as major public sporting events are approaching, lawmakers, including Chairman Garbarino (R-NY), Rep. McCaul (R-TX), and Rep. Strong (R-AL), touched on the counter-drone capabilities that were included in the NDAA, which Secretary Noem called one of the department’s top three priorities. Chair Garbarino highlighted persistent challenges, including intelligence sharing gaps and jurisdictional limitations, particularly at ancillary venues like training facilities, while Rep. Strong emphasized the need to extend counter-drone protection to college football stadiums, which he said often host over 90,000 people.

Trump Admin.: TikTok Deal Announced – The Trump Administration reached a deal with TikTok that is slated to be closed by Jan. 22. The deal gives ownership to a select group of U.S. investors with ByteDance maintaining a minority stake. The deal follows lengthy negotiations earlier this year, and would hand a valuable asset to Oracle, the tech company run by Trump ally Larry Ellison. Half of the new TikTok U.S. joint venture reportedly will be owned by a group of investors — among them Oracle, Silver Lake and the Emirati investment firm MGX, who will each hold a 15% share. 19.9% of the new app will be held by ByteDance itself, and another 30.1% will be held by affiliates of existing ByteDance investors. The U.S. venture will have a new, seven-member majority-American board of directors. It will also be subject to terms intended to protect Americans’ data and U.S. national security.

FTC: Probe of TP-Link’s Disclosures on China Ties – As Congress and the administration continue to enact policies to limit Chinese networking equipment in the U.S., the Federal Trade Commission has opened an early-stage investigation into whether TP-Link (a spin-off of a Chinese company that covers nearly half of the home router market in the US) misled consumers about its ongoing links to China after restructuring its business. The inquiry follows earlier federal scrutiny of the company and seeks to determine whether TP-Link’s U.S. branding created a false sense of security, even as co-founder Jeffrey Chao denies any effort to obscure its supply chain or affiliations. While no complaint has been filed, the probe underscores continued government attention to potential risks posed by technology firms with connections to China.

FCC: Hikvision Challenges New FCC Restrictions on Chinese Surveillance Equipment – Hikvisioni is challenging a new FCC rule that closes loopholes allowing previously authorized Chinese telecom and surveillance gear to be imported or sold in the US. The FCC unanimously voted to expand its national security restrictions to cover older Huawei and Hikvision models and products containing components from other high-risk suppliers. Hikvision argues the FCC is overstepping its authority and says it is weighing legal options.

Senate: Plankey’s Path to CISA Blocked – Sean Plankey’s nomination to lead the Cybersecurity and Infrastructure Security Agency (CISA) effectively collapsed in December after multiple senators placed holds preventing a floor vote. While Plankey—a senior advisor at the U.S. Coast Guard—previously had bipartisan support, procedural obstacles now make confirmation unlikely, leaving CISA under acting leadership as the Trump administration prepares its national cybersecurity strategy. Senators’ objections appear tied not to Plankey himself but to unrelated disputes involving U.S. Coast Guard contracts in Florida, delayed release of a telecom network security report, and stalled disaster relief funding for North Carolina.

i2Coalition’s Perspective – As policymakers’ concerns and efforts intensify regarding how to improve cybersecurity and guard against growing attacks and threats, i2Coalition has increased its monitoring of this area. We will continue to engage in targeted policy matters and proceedings where the i2Coalition’s participation can enhance understanding and support improvements. In this regard, on November 14, 2022, the i2Coalition filed comments with CISA in response to the RFI on CIRCIA implementation. The i2Coalition also filed comments regarding proposed rules to implement CIRCIA on July 3, 2024. On March 3, 2023, the i2Coalition filed comments on NIST’s Cybersecurity Framework 2.0 Concept Paper. On November 6, 2023, the i2Coalition filed comments on the public draft of NIST’s Cybersecurity Framework 2.0. The i2Coalition filed extensive comments on April 29, 2024, opposing poorly drafted rule proposals in the Department of Commerce Infrastructure as a Service (IaaS) “Know Your Customer” rulemaking and has teamed with our tech industry colleagues to urge reconsideration by the Department.

Antitrust/Competition 

Courts: Netflix facing class action over Warner Bros. deal – Michelle Fendelander, an HBO Max subscriber, filed a class action lawsuit in December against Netflix alleging that its proposed acquisition of Warner Bros threatens to minimize competition in the U.S. subscription streaming market. As part of the complaint, Fendelander is asking the court to issue an injunction to prevent the proposed transaction from happening. Netflix has responded to the lawsuit by stating, “We believe this suit is meritless and is merely an attempt by the plaintiffs’ bar to leverage all the attention on the deal.” Regardless of the lawsuit’s outcome, the proposed transaction is expected to receive significant U.S. regulatory scrutiny.

SCOTUS: Executive Authority & Independent Commissions – The U.S. Supreme Court heard arguments on Dec. 8 in the case Trump v. Slaughter, which concerns whether the president may unilaterally fire members of independent commissions without cause. This case involves President Trump’s removal this year of FTC Democratic commissioner, Rebecca Slaughter.

i2Coalition’s Perspective – i2Coalition monitors but has not actively engaged on this issue.

Tax/Trade

House: Genesis Mission, Export Controls & Federal AI R&D – The House Science Committee held a Dec. 10 hearing to examine DOE’s Genesis Mission to accelerate AI, quantum, and fusion research to compete with China. Republicans Self (R-TX) and Hurd (R-CO) pressed DOE on export controls for advanced AI chips and protecting federally-funded research from foreign access, while Foster (D-IL) emphasized rigorous validation standards for AI-generated research. While bipartisan members supported the initiative’s strategic focus, significant friction emerged over the concurrent termination of $7.5–$8 billion in previously awarded energy grants covering grid modernization, clean energy, and workforce programs, with Democrats demanding transparent decision-making criteria.

House: Under the AI Overwatch Act Introduced – House Foreign Affairs Chair Brian Mast (R-FL) announced per a Punchbowl News report that he would introduce legislation that treats the sales of AI chips to “countries of concern” similarly to military arms sales. Under the bill Congress could block exports of AI chips going to nations like China, Russia, and Venezuela. The bill also would create a new license exemption for “trusted” cloud providers selling chips to U.S. allies and partners. The exemption would not include chips going to countries of concern. The bill reportedly incorporates many of the changes that Rep. Mast proposed for the GAIN AI Act, which was not included in the annual defense bill. Mast’s bill comes on the heels of President Trump’s decision to allow Nvidia to sell its H200 chip to China. Several House Democrats, led by Rep. Josh Gottheimer (D-NJ), introduced a bill to block the sale of H200 chips to China.

USTR: Press Interview with Jamieson Greer – In a Politico press interview in December, U.S. Trade Representative Jamieson Greer outlined the administration’s trade priorities, including its use of the International Emergency Economic Powers Act (IEEPA) to impose global tariffs. Greer said the administration is preparing alternative options should the Supreme Court curtail that authority, though he offered no specifics. He also cited ongoing trade discussions with Europe, reiterated U.S. opposition to the EU’s Digital Markets Act and related regulations, and noted that a small European delegation was discussing non-tariff barriers. On the upcoming USMCA review, Greer said the administration remains open to renegotiation or exiting the agreement if it better serves U.S. interests.

Trump Admin: USTR Trade Investigation of EU Digital Regulation – The Trump administration could launch a trade investigation into the European Union’s digital regulations if Brussels refuses to budge on its tech policies, U.S. Trade Representative Jamieson Greer said on Dec. 18. “We have tools like Section 301, which is an investigatory tool that is designed to have a negotiated outcome,” Greer said in an interview on CNBC’s “Squawk Box.” President Trump has used the findings of past Section 301 investigations into unfair trade practices as a justification to raise tariffs on China and other countries. Unlike the “reciprocal” duties Trump imposed on the EU and other trading partners earlier this year, there is a longer process the administration must follow before it could raise duties under the Section 301 law.

i2Coalition’s Perspective – i2Coalition continues to work for balanced trade agreements that foster digital trade, and we generally support efforts to put trade with China on a more level footing. We support the global digital trade principles articulated in the global industry letter to the G20. We will continue our engagement with USTR in support of those principles and against non-tariff trade barriers. The i2Coalition will also continue our work with our EU-based members on the DSA, DMA, and the NIS2 Directive toward balanced and transparent regulations, including providing input on major relevant U.S. policy discussions having an impact on evolving global intermediary liability principles (e.g., the Section 230 debate in the U.S. Congress). The i2Coalition will continue to underscore and educate USTR officials in the Special 301 proceedings about the key point that USTR should not confuse “notorious markets” with neutral intermediaries such as Internet infrastructure providers. The i2Coalition’s efforts before USTR are succeeding, as demonstrated in the 2024 Review of Notorious Markets for Counterfeiting and Piracy report issued on January 8, 2025, in which not one of our Internet intermediary members or any other traditional Internet infrastructure company was cited in the online markets list.

Artificial Intelligence

Trump Admin: EO on National Policy Framework for AI – On Dec. 11 the Trump administration decided to return to the EO approach on AI preemption, following the House’s failure to include AI preemption legislative language in the NDAA. Key timelines of the December 11 Executive Order are listed below.

• Within 30 days, the Attorney General shall establish an AI Litigation Task Force to challenge state AI laws inconsistent with this order’s policy.
• Within 90 days, the Secretary of Commerce shall publish an evaluation identifying onerous state AI laws, including those that require AI models to alter truthful outputs or compel disclosures that may violate the First Amendment or Constitution.
• Within 90 days, the Secretary of Commerce, in consultation with the Assistant Secretary of Commerce for Communications and Information (NTIA), shall issue a Policy Notice stating that states with onerous AI laws are ineligible for non-deployment BEAD Program funds.
• Within 90 days of the evaluation’s publication, the FCC Chairman shall initiate a proceeding to determine whether to adopt a federal AI reporting and disclosure standard that preempts conflicting state laws.
• Within 90 days, the FTC Chairman shall issue a policy statement on how the FTC Act’s prohibition on unfair and deceptive practices applies to AI models.
• The Special Advisor for AI and Crypto and the Assistant to the President for Science and Technology shall prepare a legislative recommendation for a uniform federal AI policy framework that preempts conflicting state laws.

Reaction to President Trump’s AI EO – President Trump’s AI Executive order to limit state regulation of AI was quickly met with statements of opposition and threats to challenge the EO in court. Democrats and some Republicans have largely condemned the order, which would prevent states from passing AI laws and hold back federal funding for broadband and other projects if states defy the order. A Utah Republican lawmaker called it an “overreaching act that fundamentally disregards the Tenth Amendment and the necessary role of the States in technology governance.” Florida Gov. Ron DeSantis told Politico it should be up to Congress to establish policies on preemption. Democratic federal lawmakers largely condemned the EO as overreach, favoring Big Tech. Senate Commerce Chairman Cruz (R-TX) attended the EO signing. Notably, Senator Blackburn (R-TN), who strongly opposed the AI moratorium last summer, appears to have shifted her position and now supports the EO in an X post. Additionally, over 70 legislators (primarily Democrats with a couple of Republicans) from 27 states signed an open letter over the weekend criticizing the EO for preventing states from protecting constituents from AI harms. Industry groups are on the lookout for the White House’s legislative recommendations on a federal framework.

State AGs Dec. 17 Filing With FCC in Build America Docket: Nearly two dozen state attorneys general sent Dec. 17 reply comments in the FCC’s Build America wireline deployment docket, warning the agency of potential legal hurdles if it moves to “overreach” and restrict state rules for artificial intelligence. The filing argues that the better, and legally appropriate, course is for the FCC to stand down and allow Congress to first decide what, if any, federal preemption of state (and local) regulation of AI is appropriate.

Congress: NDAA Excludes AI Moratorium and GAIN AI Act – The conference agreement on the NDAA (National Defense Authorization Act) released in December omitted several major AI proposals, including a federal moratorium on state AI regulation and the GAIN AI Act, which would have prioritized domestic AI chip sales over exports. The bill instead focuses on defense-related AI policy, creating an AI Futures Steering Committee, directing DoD to develop AI governance and risk-mitigation policies, banning the use of AI from foreign adversaries in DoD systems, and restricting U.S. investment in sensitive Chinese sectors such as semiconductors and AI. The conference text also excludes reauthorization of the Cybersecurity Information Sharing Act (CISA), which expires January 31 under the current continuing resolution.

Congress: House Passes SPEED ACT, Senate Commerce AI Legislation Talks Stalled – On Dec. 18, the House passed a bill aimed at making it easier to get federal permits to build infrastructure for AI projects. The bill, known as the SPEED Act, had backing from major tech companies. The bill cleared the House in a 221-196 vote. The bill now heads to the Senate, where it is likely to be part of a larger conversation around permitting reform. Senate Commerce Committee AI negotiations stalled in December, according to Republican staff, who say that it is due to the absence of a Democratic framework to guide discussions. While Democratic offices are considering a range of issues, including algorithmic bias, national security, authenticity standards, and chatbot regulation, Republicans say these priorities have not been consolidated into a unified negotiating position. They add that recent momentum on AI policy has come from the House and the administration and that meaningful progress in the Senate will require clearer direction from all sides. 

Trump Admin.: “Genesis Mission” Industry Meeting – Industry Nvidia, Google and OpenAI were among a handful of tech companies that met with White House officials on Dec. 18 to coordinate on President Trump’s executive order directing the Department of Energy and various science agencies to adopt artificial intelligence. The roundtable reportedly brought together representatives from 24 tech companies to meet with Energy Secretary Chris Wright, Director of the White House Office of Science and Technology Policy Michael Kratsios, and DOE Undersecretary for Science Darío Gil. Also in attendance were representatives from xAI, Anthropic and AMD, among others.

• The event was the first official meeting on the order, dubbed the “Genesis Mission,” since it was signed in November. The order is meant to supercharge scientific research capabilities by embracing AI and sharing government data sets with universities and private industries.
• The meeting concluded with the companies signing memorandums of understanding with the administration to advance the Genesis Mission. The full list reportedly includes Accenture, AMD, Anthropic, Armada, Amazon Web Services, Cerebras, CoreWeave, Dell, DrivenData, Google, Groq, Hewlett Packard Enterprise, IBM, Intel, Microsoft, NVIDIA, OpenAI, Oracle, Periodic Labs, Palantir, Project Prometheus, Radical AI, xAI and XPRIZE.

Trump Admin.: International Trade Admin. (ITA) RFI & Tech Industry Responses – The ITA received voluminous comments from the tech sector in response to the RFI seeking recommendations for how to develop the American AI Exports Program. Many commenters urged adoption of a broader definition of what is included in the full AI technology stack to ensure that the breadth of the AI ecosystem is included. Tech industry commenters supported establishing a wide variety of consortia within the ITA to establish U.S. dominance in the global AI market by allowing tech companies of all sizes to participate in the export program. The Consumer Technology Association (CTA) advised the administration to study how its tariff policy affects opportunities for the full AI stack in global markets. Top tech firms are hoping a planned AI Export Program out of the Commerce Department will foster international consensus when it comes to promoting “democratic” AI frameworks and preventing “overly prescriptive” regulations.

Industry: Andreessen Horowitz Federal AI Roadmap – Venture capital firm Andreessen Horowitz released a federal AI roadmap in December that presents nine pillars for a policy framework that balances responsible AI while also encouraging U.S. innovation. The firm is offering the proposal to lawmakers considering the creation of a cohesive framework for a federal AI standard.

Industry: Nokia AI Infrastructure Reports – Nokia wants to boost physical telecom infrastructure necessary to drive AI’s continued evolution. Nokia released two reports – for the U.S. and for Europe – based on surveying more than 2,000 tech and business officials on how ready current networks are for future AI demands. Nokia reported that 88 percent of U.S. respondents fear the expansion of network infrastructure might not keep up with AI. Another potential constraint involves data centers’ demand for power.

Congress: Democrats Introduce Bills to Address AI Civil Rights and Workforce Issues – A group of Democrats, including Sens. Ed Markey (D-MA), Cory Booker (D-NJ), and Elizabeth Warren (D-MA), and Reps. Yvette Clarke (D-NY) and Pramila Jayapal (D-WA) reintroduced the Artificial Intelligence Civil Rights Act. This bill would prohibit AI developers and deployers from using algorithms that discriminate against or cause a disparate impact on access to goods, services, and opportunities, including employment, education, housing, and healthcare. Lisa Blunt Rochester (D-DE), Mazie Hirono (D-HI), and Adam Schiff (D-CA) introduced the Workforce of the Future Act. This bill would create a Dept. of Education grant program to expand access to emerging and advanced technology education. It would also authorize the Department of Labor to award grants to workforce training for workers most impacted by AI.

House: AI Bill on Fraud Deterrence – Reps. Ted Lieu (D-CA) and Neal Dunn (R-FL) introduced the AI Fraud Deterrence Act, which would increase penalties for scammers who use AI to commit financial fraud, including impersonating federal officials. This bill doubles some fines under key fraud statutes and adds AI-specific fines of up to $1–2 million. It also increases prison sentences to up to 20 years for most AI-enabled offenses and up to 30 years for AI-enabled bank fraud.

Senate: Bipartisan AI Scam Prevention Legislation – Senators Capito (R-WV) and Klobuchar (D-MN) introduced the Artificial Intelligence Scam Prevention Act in December. The bill prohibits using AI to impersonate people with intent to defraud and updates telemarketing/consumer fraud laws for the first time since 1996.

i2Coalition’s Perspective – The i2Coalition is closely monitoring the rollout of the Trump Administration’s AI Action plan released in July 2025. The i2Coalition filed comments in March 2025 in response to the AI Action Plan RFI, highlighting AI’s dependence on Internet infrastructure and the need for the Action Plan to account for the needs and challenges faced by this critical sector to ensure that the U.S. remains the global leader in AI development and deployment.

Tech

Industry: Opposition to H1-B Visa Fee – A group of small tech companies are calling on the Trump administration to reverse its new H1-B visa fee. The White House in September set new requirements for employers seeking to bring temporary workers to the U.S., claiming the visa is being exploited by companies to keep wages low. The policy places a $100,000 sponsorship fee on employers that wish to acquire H1-B visas for foreign workers. Attorneys general in 20 states challenged the administration in court over the new proclamation, arguing the visa program helps fill gaps in specific industries, particularly in the tech world. The App Association, which is leading the group of small tech companies, argues the policy will lead to fewer startups, fewer jobs, and fewer American technologies competing on the global playing field.

Trump Admin.: U.S. Tech Force – The Trump administration launched the U.S. Tech Force, aiming to recruit 1,000 fellows with backgrounds in AI, cybersecurity and other high-tech fields into federal agencies. It is the latest attempt to solve the government’s long-standing recruitment problem.

Congress: Democrat Tech-Skilled Workforce Legislation – Sen. Mark Warner (D-VA) and Rep. Raja Krishnamoorthi (D-IL) introduced legislation that would educate workers on and help them to adapt to emerging technologies like AI. The Investing in American Workers Act would modernize the tax code to encourage employers to invest in workforce training tied to recognized postsecondary credentials–particularly for lower- and moderate-income workers–so employees can adapt to new technologies, transition to emerging roles, and share in the gains of a rapidly evolving economy.

Crypto: Senate Market Structure Legislation Status – Some crypto leaders on Dec. 17 met

with key lawmakers as the U.S. Senate is about to take some time off from the negotiations over a crypto market structure bill — the industry’s most important policy aim. Senator Tim Scott, the chairman of the Senate Banking Committee that’s taken a lead on trying to advance the bill, hosted the meeting with several insiders and lobbying groups as the lawmakers continue to negotiate several details of the bill. This latest gathering included Coinbase and other crypto-connected companies, such as Kraken, Ripple, a16z and Chainlink, in addition to industry advocacy groups such as Crypto Council for Innovation’s CEO Ji Kim, the Blockchain Association, the Digital Chamber and DeFi Education Fund, plus Democratic lawmakers, Goldman Sachs Group Inc., BNY and the Securities Industry and Financial Markets Association (SIFMA). The talks have so far hung up on such issues as the treatment of decentralized finance (DeFi) and the Democrats’ proposal to ban senior officials from personal business ties to the industry, aimed predominantly at President Trump. While the industry fostered hopes for more concrete action on the legislation this year, such as a committee markup in the Banking Committee or the Senate Agriculture Committee that also has to approve a bill, the end-of-year goal has now slipped to January. That comes with some potential complications, such as the end-of-next-month federal budget deadline in which Congress must revisit the negotiating drama over the federal spending plans that already dealt the government a weeks-long shutdown this year.

i2Coalition’s Perspective – i2Coalition monitors but has not actively engaged on this issue.

Telecommunications

Senate: Commerce Committee FCC Oversight Hearing on Dec. 17 -FCC Chair Brendan Carr (R) , and Commissioners Olivia Trusty (R) and Anna Gomez (D) testified at an FCC oversight hearing on Dec. 17 before the Senate Commerce Committee.

• The hearing gave both parties a chance to press Carr on the controversial comments he made about Jimmy Kimmel, when he raised the spectre of fines and even license revocations for TV stations airing the ABC late-night comedian.
• As a result of the hearing, the Federal Communications Commission removed a description of the agency as “independent” to support comments made by Chair Carr. Sen. Ben Ray Luján (D-NM.) had asked Carr if the agency was independent: “The FCC mission on the homepage of the FCC: An independent U.S. government agency overseen by Congress. Is that factual, or is that a lie?” Carr replied by saying the FCC “is not formally an independent agency.” Later on, the FCC website was updated to remove the word “independent” from the homepage.

House: Democrats Demand NTIA Move Forward on BEAD Grants to States-House E&C Ranking Member Pallone (D-NJ), Communications & Technology RM Matsui (D-CA) and Oversight Subcommittee RM Clarke (D-NY) sent a letter to NTIA demanding that the agency follow the law (IIJA) and immediately disperse BEAD broadband grants to states. The letter followed reports that the administration planned to release the executive order that would block BEAD funds to states unless they comply with a moratorium on state AI laws. The letter also raised concerns about NTIA’s updated guidance this year that diverges from the original intent of the IIJA and would give priority to the “cheapest technologies – regardless of their performance or scalability,” They wrote that this change in priorities appears to be largely similar to the 2020 Rural Digital Opportunity Program (RDOF), which “incentivized widespread underbidding and other anticompetitive behavior that has led to massive defaults by providers.”

Senate: Letter to NTIA on Use of Leftover BEAD Funds – In a letter led by Sens. Deb Fischer (R-NE) and Ben Ray Luján (D-NM) a bipartisan group of senators is pressing the Trump administration to preserve states’ ability to use the money left over from the $42.45 billion Broadband Equity, Access, and Deployment (BEAD) program, as the 2021 infrastructure law outlined. Fischer’s letter was also signed by Sens. Jerry Moran (R-KS.), Jim Risch (R-ID), Mike Crapo (R-ID), Dan Sullivan (R-AK) and Lisa Murkowski (R-AK). Democratic signatories include Senate Commerce ranking member Maria Cantwell (D-WA).

• Under the 2021 infrastructure law and the original Biden administration rules for BEAD, states could use leftover funds for a variety of purposes, such as broadband adoption and workforce development. The Trump administration cut the cost of many state Internet deployments under BEAD, in part due to efficiency-based tweaks to the rules earlier this year. That may leave about half of BEAD funding left over, and it’s not clear whether states will be able to retain that money and for what purposes.

• Senator Fischer also led a Nebraska delegation letter asking NTIA to ensure some of these funds can support connectivity efforts for precision agriculture.
• Sen. Joni Ernst (R-IA) floated legislation last month to claw back the leftover broadband funds to reduce the national budget deficit. Co-sponsors include Senate Commerce Chair Ted Cruz (R-TX) and Mike Lee (R-UT).
• President Donald Trump’s EO on a national framework for artificial intelligence instructs the Commerce Department to issue a notice within 90 days specifying the conditions under which such leftover BEAD funds can flow to states, and directs that no money go to states with “onerous AI laws.
• NTIA Administrator Arielle Roth has considered the idea of letting states use the leftover BEAD money for broadband permitting reform and promised guidance in early 2026. She told an audience at a Free State Foundation event that NTIA is operating under the assumption states will get to use the money, but that nothing has been finalized.

Senate: Armed Services Chair Wicker (R-MS) Broadband Funding Bill – Senator Roger Wicker (R-MS) announced he introduced a bill to give states around $20 billion to $22 billion in broadband deployment funding. The move goes against efforts from fellow GOP Sens. Cruz (R-TX)) and Ernst (R-IA) to repeal the funding.

Senate: Universal Service Working Group Letter to FCC – Sen. Deb Fischer (R-NE) and her fellow members of the working group to overhaul the Universal Service Fund (USF) subsidies sent a letter to the FCC seeking a staff-level briefing on the topic by Jan. 30. The lawmakers seek the most recent cost projections for the various USF programs.

Senate: Democrat Letter to FCC on Broadband Transparency Labels – Eight Democrat Senators, led by Sen. Schiff (D-CA), wrote a letter to the FCC Chair Brendan Carr asking him not to pursue the FCC’s proposed rollback of broadband providers’ transparency requirements. The letter states: “The broadband label program represents bipartisan recognition that clear information is essential to a functioning market. The law Congress passed was not a suggestion. It was a directive, rooted in the straightforward principle that consumers deserve to know what they are purchasing in easy-to-understand terms and what it costs when they sign a contract. We respectfully urge the Commission to withdraw or substantially revise this proposal and to maintain the comprehensive transparency protections that Congress mandated in IIJA. Families across the country are counting on the FCC to ensure that broadband providers compete in quality and price. That requires consumers to actually see and understand both.”

House E&C Hearing on NG911 and Other Public Safety Bills – The House Energy & Commerce Subcommittee on Communications and Technology Subcommittee held a Dec. 16 hearing on public safety communications in the U.S. On the docket for discussion was H.R. 6505, the Next Generation 911 Act, and six other pieces of public-safety legislation. H.R. 6505, sponsored by Subcommittee Chair Hudson (R-NC) and Rep. Carter (R-LA), would appropriate an undefined amount of funding for next-generation 911 tech upgrades for FY 2026-30, following Republicans’ choice not to allocate future spectrum auction revenue for technology upgrades in the most recent budget reconciliation package.

i2Coalition’s Perspective – i2Coalition monitors but has not actively engaged on this issue.

Energy & Environment

House: E&C Environment Subcommittee Hearing on PFAS – The House Energy & Commerce Subcommittee on the Environment held a Dec. 18 hearing entitled “Examining the Impact of EPA’s CERCLA Designation for Two PFAS Chemistries and Potential Policy Responses to Superfund Liability Concerns.” The hearing explored how federal actions on CERCLA create concerns about potential liability in the wake of the EPA’s designation of two PFAs chemicals as hazardous substances under the Superfund law. The Subcommittee is assessing the current statutory and regulatory landscape for PFAS and considering what steps are needed to respond to these concerns.

TSCA: Organizations Letter Opposing Changes – Toxic-Free Future, Safer States, and more than 250 state, local, and national public health and environmental groups sent a joint letter to Congress, urging lawmakers to reject the chemical lobby’s efforts to weaken the Toxic Substances Control Act (TSCA), the main federal law governing chemicals made, imported, or used in the U.S.

The letter comes as chemical industry lobbyists push Congress to reopen and roll back key public health protections added to TSCA in 2016, changes designed to fix decades of failure in the nation’s chemical safety system.

i2Coalition’s Perspective – i2Coalition monitors but has not actively engaged on this issue.

RELEVANT HEARINGS & EVENTS TRACKED BY i2COALITION IN DECEMBER

December 2 

• Senate Commerce, Science, and Transportation Committee, Subcommittee on Communication, Media, and Broadband, “Signal Under Siege: Defending America’s Communications Networks,” LINK

• House Oversight and Government Reform Committee, Full Committee, “Full Committee Business Markup,” LINK

• • • H.R. 5457, the Strengthening Agency Management and Oversight of Software Assets Act
    • H.R. 5235, Skills-Based Federal Contracting Act
    • H.R. 5578 Expanding Whistleblower Protections for Contractors Act of 2025

• House Energy and Commerce Committee, Commerce, Manufacturing, and Trade Subcommittee, “Legislative Solutions to Protect Children and Teens Online,” LINK

• House Energy and Commerce Committee, Energy Subcommittee, “Securing America’s Energy Infrastructure: Addressing Cyber and Physical Threats to the Grid,” LINK

• Senate Foreign Relations Committee, East Asia, the Pacific, and International Cybersecurity Policy Subcommittee, “Countering China’s Challenge to American AI Leadership,” LINK

December 3 

• House Ways and Means Committee, Tax Subcommittee, “Promoting Global Competitiveness for American Workers and Businesses,” LINK

December 9 

• • Senate Judiciary Committee, Full Committee, “Protecting Our Children Online Against the Evolving Offender,” LINK

• Senate Health, Education, Labor, and Pensions Committee, Children and Families Subcommittee, “Building Pathways: Advancing Workforce Development in the 21st Century,” LINK

• Senate Judiciary Committee, Intellectual Property Subcommittee, “Balancing the Interests of Local Radio, Songwriters, and Performers in the Digital Age,” LINK

• Senate Appropriations Committee, Commerce, Justice, Science, and Related Agencies Subcommittee, “A Review of the Activities and Fiscal Year 2026 Funding Priorities of the Office of the United States Trade Representative,” LINK

December 10

• House Science, Space, and Technology Committee, Energy Subcommittee, “The Genesis Mission: Prioritizing American Science and Technology Leadership,” LINK

• House Financial Services Committee, Full Committee, “From Principles to Policy: Enabling 21st Century AI Innovation in Financial Services,” LINK

• House Education and the Workforce Committee, Higher Education and Workforce Development Subcommittee, “Building a Talent Marketplace: How LERs Empower Workers and Expand Opportunity,” LINK

• House Oversight and Government Reform Committee, Cybersecurity, Information Technology, and Government Innovation Subcommittee, “Using Modern Tools to Counter Human Trafficking,” LINK

December 11 

• House Judiciary Committee, Full Committee, “Oversight of the Foreign Intelligence Surveillance Act,” LINK

December 12

• House Energy and Commerce Committee, Full Committee, “Member Day Hearing,” LINK

December 16

• House Judiciary Committee, Administrative State, Regulatory Reform, and Antitrust Subcommittee, “Anti-American Antitrust: How Foreign Governments Target U.S. Businesses,” LINK
• House Transportation & Infrastructure Committee, Aviation Subcommittee, “The State of American Aviation,” LINK
• House Energy and Commerce Committee, Communications and Technology Subcommittee, “Legislative Improvements to Public Safety Communications in the United States,” LINK

December 17 

• House Oversight and Government Reform Committee, Full Committee, “Member Day,” LINK
• House Homeland Security Committee, Cybersecurity and Infrastructure Protection Subcommittee, “The Quantum, AI, and Cloud Landscape: Examining Opportunities, Vulnerabilities, and the Future of Cybersecurity,” LINK
• Senate Commerce, Science, and Transportation Committee, Full Committee, “An oversight hearing to examine the Federal Communications Commission,” LINK
• House Homeland Security Committee, Full Committee, “Task Force on Enhancing Security for Special Events in the United States: “A Scourge Against Humanity: Addressing Human Trafficking at Mass Gatherings,” LINK
• Senate Commerce, Science, and Transportation Committee, Aviation Safety, Operations, and Innovation, “Hearings to examine FAA’s plan for ATC modernization, focusing on evaluating progress, ensuring accountability and results,” LINK

December 18 

• House Science, Space, and Technology Committee, Investigations and Oversight Subcommittee, “Research Security: Examining the Implementation of the CHIPS and Science Act and NSPM-33,” LINK

House Energy & Commerce Committee, Subcommittee on the Environment, “Examining the Impact of EPA’s CERCLA Designation for Two PFAS Chemistries and Potential Policy Responses to Superfund Liability Concerns,” LINK