China’s AI Firm DeekSeek Suspends Service in South Korea Amid Data Privacy Concerns | Be Korea-savvy

China’s AI Firm DeekSeek Suspends Service in South Korea Amid Data Privacy Concerns


In a revealing test of China's latest artificial intelligence chatbot, DeepSeek has drawn criticism for its inconsistent and politically charged responses to sensitive questions about historical and territorial disputes in East Asia (Image courtesy of Yonhap)

In a revealing test of China’s latest artificial intelligence chatbot, DeepSeek has drawn criticism for its inconsistent and politically charged responses to sensitive questions about historical and territorial disputes in East Asia (Image courtesy of Yonhap)

SEOUL, Feb. 17 (Korea Bizwire) —  Chinese artificial intelligence firm DeepSeek has temporarily suspended its services in South Korea following concerns over excessive data collection and privacy violations.

The move comes after the Personal Information Protection Commission (PIPC) flagged deficiencies in the company’s data handling practices and recommended a pause in operations until compliance measures are implemented.

In a statement released on Monday, PIPC confirmed that DeepSeek’s application became unavailable in South Korea starting Saturday evening. “The service will resume once necessary improvements and safeguards are in place to align with domestic privacy regulations,” the commission said.

The suspension affects all major app marketplaces, including Apple’s App Store and Google Play, where new downloads of the DeepSeek app are now restricted. However, existing users can continue using the service, though PIPC has advised them to avoid inputting personal data until further notice.

PIPC had previously raised concerns about DeepSeek’s data collection policies, particularly regarding the sharing of personal information with third parties and the lack of clear disclosure.

These concerns prompted the commission to send a formal inquiry to DeepSeek’s headquarters on January 31, requesting details on its data processing methods, storage policies, and information-sharing practices.

Following the inquiry, DeepSeek appointed South Korean law firm Bae, Kim & Lee as its legal representative on February 10. The company acknowledged potential oversight in addressing local data protection laws and pledged full cooperation with regulators.

During the service suspension, PIPC plans to conduct an in-depth review of DeepSeek’s data handling processes to ensure compliance with South Korean law.

The commission aims for a swift resolution, noting that a previous five-month review of major AI firms, including OpenAI, Google, and Microsoft, took considerably longer due to the broader scope of the investigation. Given that DeepSeek is the sole focus of this probe, PIPC expects a more expedited assessment.

Beyond the DeepSeek case, PIPC is also pushing for amendments to South Korea’s privacy laws to enhance oversight of foreign AI firms and establish clearer regulatory guidelines. Additionally, the commission intends to strengthen international cooperation on AI governance during the upcoming Global Privacy Assembly (GPA) in Seoul this September.

“Users who have already downloaded DeepSeek should exercise caution, as there remains a potential risk of personal data exposure,” said Nam Seok, director of PIPC’s Investigation and Mediation Bureau. “We will explore additional measures to protect existing users throughout the review process.”

The case underscores growing regulatory scrutiny on AI-driven applications, particularly those handling vast amounts of personal data, as governments worldwide grapple with the challenges of balancing innovation and consumer protection.

M. H. Lee (mhlee@koreabizwire.com)

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