DeepSeek has recently been in the spotlight after rapidly rising to fame and disrupting the AI industry with its cheaply made models. However, a newly proposed bill could ban the startup and other Chinese AI firms from operating in the US. The legislation also seeks to penalize businesses and individuals who use or support AI technologies developed in China.
A New Bill That Could Land Users in Jail for Using DeepSeek
Last week, Republican Senator Josh Hawley introduced new legislation aimed at banning the use and importation of Chinese-made AI technologies in the US. If passed, the bill would prohibit corporations and individuals from using these AI products, while also blocking American companies from exporting AI-related technologies. Additionally, US entities would be barred from aiding in the development of competing Chinese AI systems.
Under the proposed law, corporations violating the ban could face fines of up to $100 million and be blacklisted from federal contracts and assistance for up to five years. Individuals, including researchers and everyday users, could be subject to fines of up to $1 million and even imprisonment.
The bill follows recent moves by US government agencies, including NASA and the US Navy, which have already banned the use of DeepSeek over concerns that the Chinese government could exploit the AI platform to access sensitive data. Texas was the first state to take similar action, officially banning the app.
Beyond the US, countries such as Australia, Italy, and Taiwan have also restricted or blocked DeepSeek due to similar security concerns.
Besides the direct security concern, a recent report highlighted that DeepSeek has made its database with sensitive information containing user chat histories and API keys public and accessible to bad actors. However, this was said to be patched after the report.
Separately, OpenAI claims that it has evidence of DeepSeek distilling a large chunk of data from the US company’s more capable and larger AI models to train the rival’s smaller models. This method is said to help companies save on AI infrastructure and servers, as less hardware would be required to develop the models.
More Bills Aim to Ban DeepSeek?
Despite its strict penalties, the bill’s future remains uncertain. However, its introduction signals a growing push for legislation aimed at restricting Chinese AI technologies in the US. Even if this particular bill does not pass, similar regulations could emerge in the near future.
A comparable situation unfolded with TikTok, which faced a US ban due to national security concerns. Initially banned on January 19 after failing to meet legal requirements to sell its US operations, TikTok was later granted a 75-day extension via an executive order signed by President Donald Trump.
