South Korea has suspended new downloads of DeepSeek, and it was were right to do so.
Chinese tech firms operate under the shadow of state influence, misusing data for surveillance and geopolitical advantage. Any country that values its data and sovereignty must watch this national security threat and take note of South Korea’s response.
Every AI tool captures vast amounts of data, but DeepSeek collects data unnecessary to its function as a simple chatbot. The company was caught over-collecting personal data and failed to be transparent about where that data was going. This typifies China’s lack of transparency about data collection, usage and storage.
South Korea’s National Intelligence Service flagged the chatbot for logging keystrokes and chat interactions, which were all stored on Chinese-controlled servers.
Once data enters China’s jurisdiction, it’s fair game for Beijing’s intelligence agencies. That’s not paranoia; it’s the law. Chinese companies must hand over data to the government upon request. South Korea saw the writing on the wall and acted before it was too late.
Data in the wrong hands can be weaponised. By cross-referencing DeepSeek’s collected data with other stolen datasets, Chinese intelligence agencies could build profiles on foreign officials, business leaders, journalists and dissidents. Keystroke tracking could help to identify individuals even when they use anonymous communication platforms. AI-powered analysis could pinpoint behavioral patterns, making it easier to manipulate public opinion or even blackmail individuals with compromising data.
If this sounds familiar, you’re not mistaken. Huawei was banned from operating 5G networks in multiple countries based on similar concerns. TikTok has come under scrutiny for its ties to the Chinese government. China has spent years perfecting cyber-espionage and DeepSeek appears to be the latest tool in its arsenal, joining the growing list of Chinese tech products raising red flags.
Chinese actors have displayed a pattern of digital intrusion. Recent events include the Volt Typhoon and Salt Typhoon operations, which targeted US digital infrastructure and telecom networks. These attacks compromised the data of more than one million people, including government officials. Looking to Europe, Germany fell victim to Chinese-backed hackers breaching its federal cartography agency.
China is using AI tools for influence, data gathering and geopolitical maneuvering. AI is a versatile tool through which the flow of information is controlled.
The risk goes far beyond espionage. It extends to economic coercion and intellectual property theft. For example, multinational companies relying on AI-powered tools may unknowingly send sensitive business strategies to foreign adversaries. Government agencies may unknowingly feed points of information that would be classified in aggregate into an AI system that Beijing can tap into. The consequences would be far-reaching and deeply troubling.
What if South Korea had looked the other way? Millions of South Korean citizens would have been at risk of Chinese coercion and exposed to data harvesting under the guise of harmless AI. In an era where data shapes power, handing control to foreign entities is dangerous.
Some countries are beginning to grasp these threats. India and Australia are ramping up scrutiny of foreign AI applications, and Australia and Taiwan have banned DeepSeek on government devices. The European Union is tightening regulations to demand transparency and accountability for data usage.
The United States, on the other hand, is still deliberating. President Donald Trump has focused on AI as a push for Silicon Valley to lift its game, rather than considering the technology’s national security implications. US lawmakers are beginning to propose restrictions on AI tools linked to foreign adversaries. For Texan officials and US navy personnel, for example, DeepSeek has been banned due to its links to the Chinese government.
However, regulatory action has been slow to gain traction, caught in a web of political disagreements and lobbying pressures. Meanwhile, security agencies warn that inaction could leave critical infrastructure and government institutions vulnerable to AI-driven espionage. Without decisive policies, the US risks becoming not only a prime target for data manipulation and intelligence gathering, but a soft target. It must act to prevent another major data breach, before it finds itself reacting to one. Waiting is not an option.
China’s AI ambitions aren’t slowing down, and global vigilance must not flag. The battle for digital sovereignty is already underway, and governments that hesitate will find themselves at a disadvantage from both economic and security standpoints.
Act now or pay later. AI is the new frontier of global competition, and data is the ultimate weapon. Those who don’t secure it will face the consequences. South Korea made the right move—who’s next?
