Fights are brewing in the Senate over broadband, spectrum, AI and digital service tax provisions in the reconciliation bill.

Why it matters: Tech policy is getting caught in the crosshairs of Republicans' massive budget bill.

State of play: A provision in the bill written by Senate Commerce Chair Ted Cruz would prohibit states from enforcing any AI regulation if they want to receive funds from the Broadband Equity Access and Deployment Program.

• Sen. Josh Hawley is planning to draft an amendment with Democrats to remove the provision and force a vote if it's not removed before the budget bill hits the floor, his office confirmed.
• Other GOP senators who championed BEAD may also start to raise concerns.

Tying the AI moratorium to broadband funds is an effort to resolve issues with the Senate's Byrd Rule, which prohibits non-budget language from being tacked onto a budget bill.

• An aide for Sen. Ed Markey said that, according to his office's read, there is no provision in the bill limiting the AI moratorium, meaning that even if states don't want the internet money, they'd still be forced to halt AI regulation.
• Some outside groups are also pushing back: Public Citizen called the move "a stunning display of corporate appeasement."

On spectrum, the Senate bill would restore the FCC's auction authority through 2034 and requires at least 800 MHz — 500 federal and 300 non-federal — of spectrum to be auctioned within an eight-year period.

• Sen. Mike Rounds is not satisfied. He and other DOD champions are looking to make changes to the language and negotiations are ongoing, though no specific changes have been proposed yet, his office confirmed.

What they're saying: "This language represents a reasonable compromise that will help avoid network congestion and maintain U.S. leadership in wireless innovation while protecting critical federal government missions," AT&T executive vice president for federal legislative relations Mike Ferguson said.

• FCC chair Brendan Carr said the spectrum provision "will create jobs, encourage innovation, and expand high-speed connections to more Americans."
• Advocacy group WifiForward prefers a carve-out that would protect spectrum in the 6 GHz band from future auction.
• "While a clear carve-out is preferable, we look forward to working with policymakers to ensure that consumer needs are put first as the bill continues through the reconciliation process," the group said.

What we're watching: The Senate Finance Committee has not released its title yet but could include a measure from the House that would set up a retaliatory measure for "unfair" foreign taxes.

• Corporate America is pushing back against the language, but it could be welcomed by the tech sector facing digital services taxes.
• Big Tech companies are clamoring for a reprieve from the EU and other countries, and the Trump administration has shown an appetite for such retaliation.

Here's what we're keeping an eye on this week on the Hill.

1. Key nom: Jacob Helberg will have his hearing to be under secretary for economic growth, energy, and the environment at the State Department tomorrow at 10am before the Senate Foreign Relations Committee.

• Helberg — who's served as an adviser to Palantir and the U.S.-China Economic and Security Review Commission — also helms the Hill & Valley Forum, a group focused on defense innovation, beating China and getting tech companies involved in government work.

2. 23andMe: Tomorrow at 10am ET, the House Oversight and Government Reform Committee convenes a hearing titled "Securing Americans' Genetic Information: Privacy and National Security Concerns Surrounding 23andMe's Bankruptcy Sale."

• 23andMe interim CEO Joe Selsavage and board member Anne Wojcicki appear before lawmakers.
• On Wednesday at 10:15am ET, the Senate Judiciary Committee holds its own hearing on 23andMe.

3. Screen spotlight: At 10:15am ET tomorrow, the House Education & Workforce panel on early childhood, elementary, and secondary education discusses screen time in schools.

4. Defense tech: The House Oversight military panel meets on Wednesday at 10am for a hearing on overhauling procurement to "accelerate defense innovation."

5. Science markup: House Science considers four pieces of legislation on Wednesday at 2pm ET, including the Small Business Artificial Intelligence Advancement Act, which would direct NIST to develop resources for small businesses to help them use AI.

6. STOP CSAM: The Senate Judiciary Committee gathers for a business meeting on Thursday at 9:30am ET.

• The STOP CSAM Act was listed on the agenda for the first time last week and held over, making it eligible to be marked up as early as this week.

7. Export controls: The House Foreign Affairs South and Central Asia Subcommittee examines the FY26 budget for Commerce's Bureau of Industry and Security on Thursday at 10am ET.

• Jeffrey Kessler, the under secretary of Commerce for industry and security, testifies at the hearing, titled "Export Controls and the AI Arms Race."
• Trump's budget calls for a $122 million boost to BIS.