Companies Block DeepSeek AI Over China Data Concerns

DeepSeek's Rapid Rise and Subsequent Restrictions in the U.S.

This week witnessed a significant surge in popularity for DeepSeek within the United States. The chatbot, developed by a Chinese company, quickly achieved the number one position in both the Apple App Store and the Google Play Store.

Furthermore, prominent U.S. cloud service providers, including Microsoft, have begun to integrate DeepSeek into their offerings.

Widespread Blocking by Organizations

However, a substantial number of organizations – estimated to be in the “hundreds” – have actively blocked access to the service. This is particularly true for companies with connections to governmental entities, as reported by Bloomberg.

These restrictions are based on interviews conducted with executives from leading cybersecurity firms, namely Armis and Netskope.

Data Security Concerns

A primary driver behind these blocks is the apprehension regarding potential data leakage to the Chinese government. This concern was articulated by Nadir Izrael, CTO of Armis.

Bloomberg Law also reported that the law firm Fox Rothschild, based in San Francisco, has implemented a block on DeepSeek.

Privacy Policy and Data Storage

DeepSeek’s official privacy policy reveals that all user data is stored within China. Local legislation in China compels companies to cooperate with intelligence agencies and provide data when requested.

Government Response

The U.S. Department of Defense has recently initiated measures to block DeepSeek. Prior to this, the Navy had already implemented a ban on the service last week.

This swift action underscores the sensitivity surrounding data security and potential national security implications.