US Navy bans use of DeepSeek AI over security concerns

The U.S. Navy has issued a stern warning to its personnel, instructing them to avoid using artificial intelligence (AI) technology developed by China's DeepSeek, citing potential security and ethical risks.

The directive was communicated in an email last week, which stated that DeepSeek’s AI, particularly its new R1 model, should not be used in any capacity for work-related or personal tasks, Caliber.Az reports via US media.

A Navy spokesperson confirmed the warning was based on the Department of the Navy's Chief Information Officer’s policy on generative AI, reinforcing the growing concern surrounding the origin and use of AI models from China.

DeepSeek's recent release of R1, a powerful reasoning AI that rivals OpenAI’s offerings, has generated a stir in the tech community. The model, which is open-source, has quickly gained popularity, soaring to the top of Apple’s App Store, overtaking OpenAI’s ChatGPT. Industry experts have lauded R1 for its reasoning capabilities and performance.

Despite facing U.S. export restrictions on semiconductor technology, DeepSeek reportedly built the R1 model for just $6 million in under two months, raising alarms in the market. The revelation sparked a sharp drop in shares of major AI chipmakers Nvidia and Broadcom, erasing $800 billion from the market. These events highlight concerns that future AI models may require less expensive infrastructure than previously assumed, potentially disrupting the industry.

In response to the surge in interest and security concerns, DeepSeek announced it would temporarily limit user registrations due to malicious attacks on its services. The company later resumed regular operations.

President Donald Trump, in his first week of office, remarked that DeepSeek’s rise serves as a "wake-up call" for American tech companies. Trump has also been vocal about national security concerns related to Chinese technologies, including the potential ban of TikTok in the U.S.

Venture capitalist David Sacks, who serves as Trump’s AI and crypto czar, commented that the AI race is becoming highly competitive, emphasizing that the U.S. must not become complacent in the face of China's advancements.

The rapid growth of DeepSeek and the intense global focus on AI capabilities have intensified the U.S.-China rivalry in the field, with experts like Alexandr Wang, CEO of Scale AI, describing the situation as an "AI war." Meta, in response to DeepSeek’s advancements, has initiated multiple “war rooms” to track the developments closely.

As the geopolitical landscape shifts, the U.S. is doubling down on its investments in AI infrastructure, with new ventures like Stargate, a joint project between OpenAI, Oracle, and SoftBank, aiming to strengthen America’s position in the global AI race.

By Khagan Isayev