The U.S. Department of Commerce has officially banned Chinese AI model DeepSeek from all government-furnished equipment (GFE), citing security and data privacy concerns. According to an internal email seen by Reuters, staffers were instructed not to download, view, or access any applications, desktop apps, or websites related to DeepSeek.
Growing National Security Concerns
The ban comes amid rising concerns from U.S. officials and lawmakers over DeepSeek’s potential threat to sensitive government information. The low-cost AI model, developed in China, triggered a major selloff in global markets in January, as investors worried about its impact on the United States’ AI dominance.
In February, Congressmen Josh Gottheimer and Darin LaHood, members of the House Permanent Select Committee on Intelligence, introduced legislation to ban DeepSeek from government devices. Earlier this month, they also urged U.S. governors to ban the AI model from state government-issued devices, warning of potential data exposure to the Chinese Communist Party (CCP).
Statewide Bans and Legislative Push
Several U.S. states, including Virginia, Texas, and New York, have already banned DeepSeek on government devices. Additionally, a coalition of 21 state attorneys general has called on Congress to take further legislative action.
In a March 3 letter, lawmakers expressed concerns about DeepSeek’s ability to collect sensitive data, stating:
“By using DeepSeek, users are unknowingly sharing highly sensitive, proprietary information with the CCP such as contracts, documents, and financial records. In the wrong hands, this data is an enormous asset to the CCP, a known foreign adversary.”
Future Implications
While the Commerce Department’s ban is now in effect, it remains unclear how extensively the restriction applies across the entire U.S. government. With pressure mounting from lawmakers and state officials, the push to prohibit DeepSeek at the federal level may soon gain momentum, further escalating U.S.-China tensions in the AI sector.
