Chinese artificial intelligence startup DeepSeek is facing growing scrutiny from governments and regulators worldwide over concerns related to data security, privacy practices, and potential national security risks.
DeepSeek said in January that it had developed an AI model capable of rivaling OpenAI’s ChatGPT at a significantly lower cost. However, its own privacy policy states that it stores various types of personal data — including user prompts and uploaded files — on servers located in China, raising alarm among regulators in multiple countries.
In Australia, authorities banned DeepSeek from all government devices in early February, citing security risks. The Czech Republic followed with a similar move in July, prohibiting public administration bodies from using any DeepSeek services due to data protection concerns.
In France, the national privacy watchdog said in January 2025 that it would question DeepSeek to better understand how its AI systems operate and assess potential risks to users’ personal data. Germany has gone a step further, asking Apple and Google to remove DeepSeek from their app stores over data safety concerns.
India’s finance ministry instructed government employees in early February to avoid using AI tools such as ChatGPT and DeepSeek for official work, warning of risks to the confidentiality of government documents. In Italy, regulators blocked the app in January 2025 due to insufficient information about its handling of personal data, although the antitrust authority later closed a separate investigation after DeepSeek agreed to binding commitments regarding misinformation risks.
The Netherlands announced an investigation into DeepSeek’s data collection practices and urged users to exercise caution. The Dutch government has also barred civil servants from using the app, referencing policies related to countries with offensive cyber capabilities.
In South Korea, new downloads of DeepSeek were suspended in mid-February after the company acknowledged failing to comply with certain personal data protection rules. The service later became available again at the end of April. Taiwan banned government departments from using DeepSeek, citing security risks, censorship concerns, and the possibility of sensitive data being transferred to China.
Meanwhile, United States authorities are weighing potential penalties that could restrict DeepSeek’s access to U.S. technology or even block American users from accessing its services, according to media reports. U.S. lawmakers have also urged the Pentagon and Commerce Department to assess whether Chinese open-source AI models like DeepSeek pose data security or military-related risks.
Despite the growing restrictions in Western and Asian markets, Russia has taken a different approach. President Vladimir Putin has instructed Sberbank to collaborate with Chinese researchers, including on joint AI projects involving Chinese technology firms.
As governments increasingly tighten oversight of artificial intelligence and cross-border data flows, DeepSeek’s experience highlights the rising geopolitical and regulatory challenges facing Chinese AI developers seeking global adoption.
