The directive requires government agencies to block, uninstall, and prevent the use of DeepSeek’s software, applications, and web services across official systems. The ban applies to a wide range of government sectors, though its enforcement in public institutions like schools remains unclear. Private citizens are not affected.
DeepSeek made global headlines in January after unveiling an AI chatbot that rivaled US models while claiming significantly lower training costs. The announcement rattled financial markets, wiping billions off AI-related stocks, including Australia’s Brainchip, which saw a sharp drop overnight.
The Australian government insists the ban is based solely on security concerns rather than the app’s Chinese origins. However, the move reflects a wider pattern of Western nations restricting Chinese technology, as seen with Huawei and TikTok.
DeepSeek is already under regulatory scrutiny in Italy, South Korea, Ireland, and France over its data practices. The US is also assessing potential security risks, with reports suggesting the US Navy has prohibited its personnel from using the chatbot.
Like other AI models, including OpenAI’s ChatGPT and Google Gemini, DeepSeek collects and processes user data to refine its responses. While this is standard practice, security experts warn that such tools pose risks for users handling sensitive information, especially when data is stored on servers in China.
DeepSeek has yet to comment on the ban, but concerns over AI security are unlikely to fade. As governments grapple with the implications of advanced AI, restrictions on foreign-developed models may become an increasingly common response.