Downloads of DeepSeek AI Apps Halted in South Korea Over Privacy Concerns

DeepSeek, a rising Chinese AI startup, has paused DeepSeek downloads of its chatbot applications in South Korea amid growing privacy concerns. The DeepSeek downloads move follows pressure from local authorities, who flagged issues with the company’s handling of user data.

The Personal Information Protection Commission (PIPC) of South Korea confirmed on Monday that DeepSeek’s apps were removed from the country’s Apple App Store and Google Play on Saturday evening.

According to Nam Seok, director of the commission’s investigation division, the company has agreed to collaborate with regulators to strengthen its privacy safeguards before relaunching DeepSeek downloads.

Reasoning

While the suspension only affects new downloads, existing users can still access the AI chatbot on their devices and computers. However, Nam urged users to exercise caution. “We advise South Korean users to delete the app from their devices or avoid entering personal information into the tool until the issues are resolved,” he said.

DeepSeek rose to global prominence last month after claiming it had developed its advanced chatbot at a fraction of the cost incurred by U.S. tech giants. The company’s rapid success fueled competition concerns in the AI sector, particularly between China and the United States.

However, its growing popularity has also raised red flags within South Korea. Many government agencies and private firms have restricted the use of DeepSeek over fears that the platform could collect sensitive information. Some institutions have either blocked the app from their networks or instructed employees not to use it for work-related tasks.

PIPC Investigation

The PIPC launched an investigation into DeepSeek’s data practices in January. The review uncovered issues related to transparency and data security. Regulators found that the startup failed to disclose details about third-party data transfers and potentially gathered excessive personal information from users.

Nam noted that the commission has not determined the exact number of South Korean users affected. However, a report by Wiseapp Retail Analytics estimated that DeepSeek had approximately 1.2 million smartphone users in the country during the fourth week of January. This made it the second-most-used AI chatbot in South Korea, trailing only OpenAI’s ChatGPT.

DeepSeek has not publicly commented on the app suspension or the PIPC’s findings. The company’s swift rise to prominence had positioned it as a significant player in the AI chatbot market, but privacy concerns now pose a challenge to its expansion efforts in South Korea and beyond.

As regulators continue their review, the outcome could shape the future of AI app operations in the country. The case highlights the increasing scrutiny global tech firms face when handling user data in international markets.

Users in South Korea are advised to monitor updates from authorities and exercise caution when using AI-powered tools, particularly those involving personal data input.