Chinese AI App DeepSeek Sparks Privacy and Security Concerns in the US
DeepSeek, a Chinese app, surged to the top of Apple’s App Store charts last week, surpassing ChatGPT to become the most downloaded app in the US.
Amid rising US-China tensions and growing wariness of tech companies, many are questioning the decision to engage with an app that has rapidly amassed a massive user base.
This rapid ascent has sparked serious concerns among privacy advocates and national security experts alike.
Within days of its rise to the top, organisations such as NASA, the US Navy, Taiwanese government, and the Italian government swiftly banned its use.
Despite these moves, millions of users have already downloaded the app, unknowingly feeding their data into an AI system developed within China’s regulatory framework, intensifying fears of sensitive search data being exposed to Chinese oversight.
DeepSeek's Rapid Growth and the Shadow of Suspicion
DeepSeek has been described as a major AI breakthrough due to its rapid development and significantly lower reported costs.
Yet, AI specialists remain sceptical, with some estimating that the actual investment in DeepSeek was understated by hundreds of millions of dollars.
While its technological capabilities are drawing attention, the biggest concerns revolve around user data privacy and national security.
Experts warn that information collected through DeepSeek could provide China with a level of access far beyond what platforms like Google search currently allow.
Dewardric McNeal, managing director at Longview Global, explained the severity of the risk.
“It is a rich trove of intelligence.”
McNeal, who has studied Chinese data-sharing regulations, emphasised that the issue goes beyond standard privacy concerns, as the AI's ability to analyse search trends could be exploited on a much larger scale.
DeepSeek's Data Collection Could Be a Security Nightmare
McNeal highlighted the dangers of DeepSeek gathering personal banking or health-related information, while cybersecurity firms are already identifying vulnerabilities in the platform.
DeepSeek itself reported a significant cyberattack last week, adding to concerns about its security infrastructure.
However, McNeal warned that the implications extend far beyond individual data leaks.
“I want us to speak broader than just the narrow data; we often don’t speak about the degree to which this information paints a mental map through understanding queries.”
He explained that Chinese intelligence agencies could analyse search patterns to gain insights into American industries or even use this data to manipulate public sentiment.
National security professionals fear that DeepSeek’s AI capabilities, combined with China’s open-source technology approach, could allow it to track user behaviours, access supply chain data, and provide China with an advantage in economic and geopolitical competition.
McNeal remarked,
“The world won’t end tomorrow because I logged into DeepSeek.”
However, he also highlighted that this does not mean there is no considerable risk involved.
DeepSeek’s Privacy Policy Dismissed as Meaningless
Concerns over DeepSeek's operations have been compounded by scrutiny of its privacy policy.
Matt Pearl, formerly a senior advisor in the Biden administration and now a director at the Center for Strategic and International Studies, dismissed it outright.
He pointed out that, under Chinese law, all data entered into the app is subject to government access, adding,
"DeepSeek’s privacy policy is not worth the paper it is written on."
Pearl also raised alarm over the app's ability to track users through keystroke patterns, gather data from advertisers, and potentially exploit device cameras and microphones.
He said,
“If they can do it technically in the app and the PRC determines it is something they want to do, then it poses a danger.”
His biggest concern, however, lies in the possibility of a large-scale cyberattack.
“It is hard to emphasise all the different potential ways in which it could be used. And, in theory, it could be done in a single update to the app.”
ChatGPT Still Dominates, But DeepSeek’s Growth Raises Questions
Despite the controversy, DeepSeek remains far behind OpenAI’s ChatGPT in terms of usage.
Data from Semrush shows that ChatGPT had an average of tens of millions of daily visitors, although it has experienced a decline—from 22.1 million visits on 1 October 2024 to 14.9 million by 19 January.
Meanwhile, DeepSeek's traffic in the US surged from 2.3K daily visits in October to 71.2K by mid-January, shortly before its impact on the stock market.
The rapid rise of DeepSeek has added another layer of complexity to AI governance, according to Joe Jones from The International Association of Privacy Professionals.
“It is challenging for people to do that work when you have proliferating laws that are complex, diverse, and often in tension, and technologies like DeepSeek that come at you from left field, upend status quos and make you rethink good governance.”
US Response Could Include a Potential Ban
DeepSeek’s success has raised questions about the effectiveness of US export controls on advanced AI chips.
While restrictions have been designed to slow China's AI development, experts argue they are not a comprehensive solution.
Anthropic CEO Dario Amodei wrote in a recent blog post,
“In the end, AI companies in the US and other democracies must have better models than those in China if we want to prevail. But we shouldn’t hand the Chinese Communist Party technological advantages when we don’t have to.”
Regulatory action could be the next step.
Pearl pointed out that the US government already has the legal authority to ban DeepSeek under the same law that was used to target TikTok.
He referenced legislation allowing the president to block companies deemed a national security risk, saying,
"The law that was passed doesn’t just apply to TikTok."
With US tech firms likely to lobby against DeepSeek’s presence in the market, Pearl suggested that the issue will gain traction at the highest levels.
“China has made champions by keeping the USA out of their markets. Why should we allow them to dominate ours?”
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