A PYMNTS Company

DeepSeek Faces Global Scrutiny as Governments Ban AI Model Over Security Concerns

 |  February 4, 2025

Chinese artificial intelligence startup DeepSeek has quickly risen to prominence with its DeepSeek-R1 model, becoming one of the most downloaded AI applications worldwide. However, its rapid ascent has been met with growing security concerns, prompting multiple governments to ban or investigate the platform, according to Reuters.

Security and Data Privacy Concerns

As per Reuters, concerns surrounding DeepSeek-R1 include its potential to generate harmful or biased content, as well as broader cybersecurity risks. The fact that DeepSeek is a Chinese company has added another layer of scrutiny, as China’s national security laws allow authorities to access data from companies operating within its jurisdiction. This has fueled fears that DeepSeek could be used as a tool for data collection, particularly by foreign governments.

Countries That Have Banned DeepSeek

Australia

The Australian government has implemented a sweeping ban on DeepSeek across all government devices. On Tuesday, the Secretary of the Department of Home Affairs issued a directive requiring all government entities to remove any existing DeepSeek applications and web services from their systems. Per Reuters, Home Affairs Minister Tony Burke labeled the AI startup an “unacceptable risk” to national security, prompting immediate action to protect government infrastructure. The ban does not extend to private citizens’ devices.

Taiwan

Taiwan has also moved swiftly to ban the use of DeepSeek’s AI model across government agencies and critical infrastructure. The Ministry of Digital Affairs cited concerns over national information security, stating that DeepSeek’s operations involve cross-border data transmission, which could lead to data leakage. As Reuters reports, Taiwan’s concerns are heightened due to Beijing’s territorial claims over the island and previous apprehensions about Chinese tech companies.

United States (Texas)

While the United States has not imposed a nationwide ban, Texas became the first state to prohibit DeepSeek on government-issued devices. Texas Governor Greg Abbott announced the move on January 31, stating that the state would not allow the “Chinese Communist Party to infiltrate our state’s critical infrastructure through data-harvesting AI and social media apps.” According to Reuters, Texas’ ban also extends to other Chinese-owned platforms, including Xiaohongshu (RedNote) and Lemon8.

Related: Italy Blocks Chinese AI Model DeepSeek Over Data Privacy Concerns

Italy

Italy was the first country to take action against DeepSeek, ordering a block on January 30. The Italian data protection authority instructed DeepSeek’s parent companies, Hangzhou DeepSeek Artificial Intelligence and Beijing DeepSeek Artificial Intelligence, to halt data processing activities involving Italian users. Per Reuters, Italian regulators took issue with DeepSeek’s refusal to comply with requests for information and are currently investigating the company’s operations within the country.

Countries Investigating DeepSeek

In addition to outright bans, several countries have begun probing DeepSeek’s data management practices. Authorities in Belgium, Ireland, France, and South Korea have initiated inquiries into how the AI company handles user information, according to Reuters. These investigations could potentially lead to further restrictions or regulatory actions against the platform.

The rise of DeepSeek has been met with significant pushback from global regulators, particularly in countries wary of Chinese technology’s implications on national security. With bans already in place and investigations underway, the future of DeepSeek’s AI model remains uncertain in several key markets.

Source: Reuters