South Korea Halts Chinese AI App DeepSeek Over Privacy Concerns as Global Scrutiny Intensifies
February 17, 2025
DeepSeek's launch of its R1 program has sparked national security concerns globally, particularly as it utilizes inexpensive Nvidia semiconductors.
Experts note that DeepSeek's R1 model has demonstrated competitive capabilities against American counterparts while being developed at a lower cost, raising industry concerns.
South Korea's data protection authority has suspended new downloads of the Chinese AI app DeepSeek due to rising privacy concerns.
The emergence of DeepSeek poses a geopolitical challenge to established Silicon Valley giants, highlighting a trend toward AI democratization and increased global competition.
In the United States, lawmakers are considering legislation that could lead to a ban on DeepSeek and other Chinese AI technologies, with severe penalties for violations.
DeepSeek is part of a broader trend of AI models facing scrutiny over privacy practices due to the data collection methods used in training large language models.
The rise of DeepSeek has been described as a 'wake-up call' for the tech industry, highlighting the urgent need for vigilance in the face of global competition.
Despite its claims of delivering performance similar to ChatGPT at a lower cost, DeepSeek's data storage practices in China raise significant global privacy and security issues.
This situation emphasizes that effective software can yield competitive results even with less advanced hardware, prompting calls for increased investment in domestic software development.
As AI technology evolves, regulatory frameworks must adapt to protect user data while fostering innovation, making compliance crucial for global AI firms.
The Personal Information Protection Commission (PIPC) in South Korea is conducting an investigation into DeepSeek, which will include on-site inspections to verify compliance with data protection regulations.
Critics argue that focusing on Chinese apps while ignoring similar issues with U.S. tech companies is hypocritical, raising questions about the fairness of the bans.
Summary based on 63 sources
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Sources

The New York Times • Feb 17, 2025
South Korea Bans Downloads of DeepSeek, the Chinese A.I. App
BBC News • Feb 17, 2025
South Korea bans new downloads of China's DeepSeek AI
BBC News • Feb 18, 2025
DeepSeek 'shared user data' with TikTok owner ByteDance
TechCrunch • Feb 17, 2025
South Korea blocks downloads of DeepSeek from local app stores | TechCrunch