AsianFin -- The U.S. Commerce Department has banned the use of Chinese artificial intelligence model DeepSeek on government-issued devices, according to an internal message seen by Reuters and two sources familiar with the matter.
“To help keep Department of Commerce information systems safe, access to the new China-based AI DeepSeek is broadly prohibited on all government-furnished equipment (GFE),” read a department-wide email. Staffers were instructed not to download, view, or access any applications, desktop apps, or websites related to DeepSeek.
The Commerce Department has not yet responded to requests for comment, and the full scope of the ban across the U.S. government remains unclear.
DeepSeek’s low-cost AI models triggered a significant selloff in global equity markets in January, as investors worried about its potential to challenge the U.S.'s leadership in AI. Lawmakers and officials have raised concerns over data privacy and security risks, warning that the AI model could expose sensitive government information.
In February, Representatives Josh Gottheimer and Darin LaHood, members of the House Permanent Select Committee on Intelligence, introduced legislation to prohibit DeepSeek on government devices. Earlier this month, they urged U.S. governors to enforce similar bans, warning that DeepSeek users may unknowingly share confidential data—including contracts, documents, and financial records—with the Chinese Communist Party (CCP). “In the wrong hands, this data is an enormous asset to the CCP, a known foreign adversary,” they wrote in a March 3 letter.
Several U.S. states, including Virginia, Texas, and New York, have already banned DeepSeek from government devices. Additionally, a coalition of 21 state attorneys general has called on Congress to enact federal legislation restricting the Chinese AI model’s use.
China has always opposed the overstretching of the concept of national security and the politicization of economic, trade and scientific and technological issues. We will also firmly safeguard the legitimate rights and interests of Chinese enterprises, said spokesperson of China's Ministry of Foreign Affairs on Tuesday.
