Taipei, Feb 01 (V7N) — Taiwan has banned the use of DeepSeek, a Chinese AI chatbot, in the public sector and at key infrastructure facilities, citing national security risks.

DeepSeek’s R1 chatbot, launched last month, claims to rival the capabilities of leading U.S. artificial intelligence firms while operating at a fraction of the cost. However, concerns over data security and potential information leaks have prompted several countries, including South Korea, Ireland, France, Australia, and Italy, to scrutinize the company’s practices.

Taiwan's Ministry of Digital Affairs announced Friday that all government agencies and critical infrastructure operators must refrain from using DeepSeek.

“DeepSeek AI service is a Chinese product,” the ministry said in a statement. “Its operation involves cross-border transmission and information leakage and other information security concerns.

Taiwan has long accused China of engaging in “grey zone” tactics—covert operations that stop short of direct military action—including cyberattacks aimed at destabilizing the island.

Since 2019, the Taiwanese government has banned public agencies from using information and communication technology (ICT) products that could pose a threat to national security. The latest ban on DeepSeek aligns with those broader cybersecurity efforts.

DeepSeek’s rapid rise has also raised alarms beyond Taiwan. This week, Italy launched an investigation into the AI startup’s data practices and blocked it from processing Italian users’ information. Meanwhile, data protection authorities in South Korea and Ireland have requested clarity on how the company manages personal data.

DeepSeek’s emergence has also sent shockwaves through financial markets. Investors were rattled by reports suggesting the Chinese firm’s AI capabilities are on par with U.S. tech giants, despite Washington’s strict export controls on advanced semiconductor technology to China.

The Biden administration has imposed stringent restrictions to limit Chinese access to high-performance chips crucial for developing AI models. Yet, DeepSeek’s advancements suggest China is making significant strides in the field, potentially undermining U.S. efforts to maintain a technological edge.

With growing global scrutiny and restrictions, DeepSeek now faces mounting challenges in expanding its AI footprint beyond China.

END/WD/RH/