South Korea Accuses DeepSeek of Unauthorized User Data Transfer to China and US

Curated by THEOUTPOST

On Thu, 24 Apr, 4:02 PM UTC

4 Sources

Share

South Korea's data protection authority claims Chinese AI startup DeepSeek transferred user data and AI prompts to overseas companies without consent, raising privacy concerns and leading to the app's suspension in the country.

DeepSeek's Unauthorized Data Transfer Uncovered

South Korea's Personal Information Protection Commission (PIPC) has revealed that Chinese artificial intelligence startup DeepSeek transferred user data and AI prompts to overseas companies without obtaining proper consent. This discovery has led to significant privacy concerns and regulatory actions in South Korea 12.

Investigation Findings and Violations

The PIPC's investigation, launched in February 2025, found that DeepSeek had been transferring personal information to several firms in China and the United States without user permission or disclosure in its privacy policy. Specifically, the commission highlighted that DeepSeek sent user-written AI prompts, along with device, network, and app information, to Beijing Volcano Engine Technology Co., a Chinese cloud service platform 13.

Data Transfer Details and Implications

The transferred data included:

  • User-written AI prompts
  • Device information
  • Network details
  • App information

This unauthorized data transfer raises significant concerns about user privacy and data protection, especially given the sensitive nature of AI prompt content 24.

DeepSeek's Response and Actions

Following the investigation, DeepSeek acknowledged its failure to fully consider South Korea's data protection laws. The company expressed willingness to cooperate with the commission and took several actions:

  1. Voluntarily suspended new downloads from domestic app markets in South Korea 2.
  2. Blocked the transfer of AI prompt information to Beijing Volcano Engine Technology Co. from April 10, 2025 14.
  3. Stated that the data transfer was intended to improve security and user experience 1.

Regulatory Actions and Recommendations

The PIPC has issued corrective recommendations to DeepSeek, including:

  1. Immediate removal of AI prompt content transferred to Volcano Engine 4.
  2. Establishment of a legal basis for transferring personal information abroad 4.

The commission's actions highlight the growing scrutiny of AI companies' data practices and the importance of compliance with local privacy laws 23.

International Concerns and Reactions

DeepSeek's data transfer practices have raised concerns beyond South Korea. Countries including Italy, Australia, and some US states have questioned the company's storage of user data, leading to bans or restrictions on its use 2.

In response to South Korea's findings, China's foreign ministry spokesperson, Guo Jiakun, emphasized that the Chinese government prioritizes data privacy and security, stating that it "has never and will never require companies or individuals to collect or store data in a manner that violates the law" 2.

DeepSeek's Market Impact and Future Implications

DeepSeek's R1 chatbot had initially stunned investors and industry insiders with its ability to match Western competitors at a fraction of the cost. The app was downloaded tens of millions of times within weeks of its launch 23. However, these privacy concerns and regulatory actions may significantly impact DeepSeek's global expansion plans and highlight the challenges AI companies face in navigating international data protection regulations 34.

As the AI industry continues to evolve rapidly, this incident underscores the critical need for companies to prioritize user privacy and comply with local data protection laws to maintain trust and operate successfully in global markets.

Continue Reading
DeepSeek AI Under Scrutiny: South Korea Investigates Data

DeepSeek AI Under Scrutiny: South Korea Investigates Data Sharing with ByteDance

South Korea's data protection authority accuses Chinese AI firm DeepSeek of sharing user data with ByteDance, TikTok's parent company, raising global privacy concerns and prompting investigations.

MediaNama logoTechRadar logoBreaking News.ie logoSky News logo

41 Sources

MediaNama logoTechRadar logoBreaking News.ie logoSky News logo

41 Sources

South Korea's Spy Agency Raises Alarm Over DeepSeek AI's

South Korea's Spy Agency Raises Alarm Over DeepSeek AI's Data Collection Practices

South Korea's National Intelligence Service warns government agencies about the Chinese AI app DeepSeek, citing excessive personal data collection and potential security risks.

NDTV Gadgets 360 logoMarket Screener logoEconomic Times logoDigital Trends logo

6 Sources

NDTV Gadgets 360 logoMarket Screener logoEconomic Times logoDigital Trends logo

6 Sources

South Korea Blocks Access to DeepSeek AI Amid Security

South Korea Blocks Access to DeepSeek AI Amid Security Concerns

South Korean government agencies and police have blocked access to DeepSeek, a Chinese AI startup, due to security concerns and the company's failure to respond to data management inquiries.

France 24 logoMarket Screener logoTech Xplore logoBorneo Bulletin Online logo

23 Sources

France 24 logoMarket Screener logoTech Xplore logoBorneo Bulletin Online logo

23 Sources

Global Governments Crack Down on Chinese AI Chatbot

Global Governments Crack Down on Chinese AI Chatbot DeepSeek Over Security Concerns

DeepSeek, a Chinese AI chatbot, has sparked international concern due to its data collection practices and potential security risks, leading to bans and investigations across multiple countries.

Economic Times logoTech Xplore logo

4 Sources

Economic Times logoTech Xplore logo

4 Sources

Taiwan Bans DeepSeek AI in Government Agencies, Citing

Taiwan Bans DeepSeek AI in Government Agencies, Citing National Security Concerns

Taiwan has banned the use of DeepSeek, a Chinese AI chatbot, in government agencies and critical infrastructure, citing national security risks. This move follows similar concerns raised by other countries regarding data privacy and potential censorship.

Tech Xplore logoVOA Voice of America logoThe Hacker News logoThe Korea Times logo

11 Sources

Tech Xplore logoVOA Voice of America logoThe Hacker News logoThe Korea Times logo

11 Sources

TheOutpost.ai

Your one-stop AI hub

The Outpost is a comprehensive collection of curated artificial intelligence software tools that cater to the needs of small business owners, bloggers, artists, musicians, entrepreneurs, marketers, writers, and researchers.

© 2025 TheOutpost.AI All rights reserved