If you were anywhere close to a news source last week, you must have heard of DeepSeek. This Chinese company that led to a tech stock crash in the US market questioned the supremacy of OpenAI and gave the world a free and much more powerful alternative to ChatGPT with its R1 model. But now, companies and countries around the world have either already or are in the process of imposing bans on the use of DeepSeek models. Let’s explore more about this ban and how is it going to impact us!
DeepSeek being a Chinese LLM, faces tough scrutiny around the world. Countries and companies have trust issues with the way Chinese apps conduct and hence a ban of DeepSeek is their response to its growing popularity. Here are several reasons why, DeepSeek is getting banned:
DeepSeek’s data storage practices, including storing user data in China, have raised fears that the Chinese government could access sensitive information. This potential access is particularly concerning for government agencies and critical infrastructure operators.
DeepSeek’s compliance with Chinese government censorship policies, including the suppression of politically sensitive topics, has led to concerns about the dissemination of information and potential foreign influence. For example, it won’t answer any question regarding Chinese Premier “Xi Jinping”
DeepSeek’s data collection methods have drawn criticism from privacy watchdogs in various countries, including Ireland, France, and Belgium. These concerns focus on how user data is collected, stored, and potentially shared, raising questions about compliance with local data protection regulations.
There are apprehensions that DeepSeek could be used for foreign influence operations, such as spreading disinformation or surveillance, leveraging its AI capabilities. This concern is heightened by the company’s ties to China, a nation with which several countries have complex geopolitical relationships.
Countries are emphasizing the need for AI companies to comply with local data sovereignty laws, ensuring that data generated within their borders is stored and processed domestically. DeepSeek’s data storage practices may not align with these requirements, prompting regulatory actions.
Along with these, an issue that is often overlooked is DeepSeek questioning the supremacy of popular LLMs by OpenAI, Google, Meta, Mistral, and Claude. The leading tech companies across the USA and the world were not happy with the overnight success of DeepSeek’s R1. This model has demonstrated performance comparable to leading LLMs like GPT-4o and Claude-3.5-Sonnet but at a fraction of the development cost. This has disrupted the AI industry by offering more accessible and cost-effective alternatives, potentially threatening the market share of incumbent tech giants.
Also Read: How is DeepSeek Making Money?
A few countries in the last few days have declared bans or are discussing restrictions on the use of DeepSeek. Some of these countries are:
DeepSeek has taken steps to address the growing number of bans and restrictions:
Despite these efforts, many governments and organizations remain cautious, emphasizing the need for rigorous assessments to ensure that DeepSeek’s operations do not compromise national security or user privacy.
These actions reflect a growing global apprehension regarding DeepSeek’s data handling practices and their potential implications for national security and user privacy. Organizations and governments are increasingly cautious about integrating foreign-developed AI technologies into their systems without thorough assessments of associated risks.
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