US orders federal agencies to remove China’s DeepSeek AI from their systems
techcrunch ·
The U.S. Department of Homeland Security has ordered federal civilian agencies to remove Chinese AI startup DeepSeek from their IT systems and halt new purchases of its services due to national security concerns. This directive extends beyond banning DeepSeek’s direct products to include third-party applications built on its technology, although agencies may request exceptions. Officials warned that sensitive data from U.S. government users could potentially be accessible to Chinese authorities under local laws. The move intensifies the ongoing tech rivalry between the two nations, as DeepSeek’s low-cost models have challenged American competitors like OpenAI and Meta. China’s Foreign Ministry criticized the decision, accusing the U.S. of politicizing trade and vowing to protect Chinese enterprises' rights. These restrictions follow earlier legislation targeting DeepSeek in intelligence systems and allegations that the company used model distillation to extract information from U.S. AI systems. Meanwhile, reports suggest China is considering export controls on various AI-related technologies in response to these tensions.
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