South Korea Bans New Downloads of China’s DeepSeek AI Over Data Privacy Concerns
South Korea has banned new downloads of the Chinese artificial intelligence chatbot DeepSeek, citing concerns over personal data protection laws, the country’s Personal Information Protection Commission (PIPC) announced.
The AI chatbot, which gained rapid popularity in South Korea following its global release, soared to the top of app stores, amassing over a million weekly users. However, the surge in downloads also drew international scrutiny, with multiple governments imposing restrictions over privacy and national security risks.
DeepSeek Suspended from App Stores
According to the PIPC, Apple’s App Store and Google Play removed DeepSeek from their platforms in South Korea on Saturday evening. The decision follows an earlier move by several South Korean government agencies, which banned employees from downloading the chatbot on work devices.
South Korea’s acting president, Choi Sang-mok, called DeepSeek a “shock” and warned that its impact could extend beyond AI, potentially affecting key industries in the country.
While new downloads have been suspended, users who already have DeepSeek on their devices can continue using the app or access it through the company’s official website.
Growing Global Restrictions on DeepSeek
South Korea is not the only country to take action against DeepSeek. Taiwan and Australia have also banned the chatbot from all government devices, citing security risks.
The Australian government defended its decision, stating the move was not based on DeepSeek’s Chinese origins, but rather due to the “unacceptable risk” it poses to national security.
Meanwhile, Italy’s data regulator, which previously banned ChatGPT in 2023, has temporarily blocked DeepSeek until the company addresses privacy concerns. Regulators in France and Ireland have also raised questions about how the chatbot handles user data, particularly whether personal information is stored on servers in China, as DeepSeek’s privacy policy suggests.
The chatbot reportedly collects user data such as email addresses, dates of birth, and input prompts, which could be used to improve its AI model. This has raised data security concerns, particularly regarding potential access by the Chinese government.
US Moves Toward DeepSeek Ban
In the United States, lawmakers have proposed a bill to ban DeepSeek from all federal devices, citing concerns over state surveillance. At the state level, Texas, Virginia, and New York have already introduced similar restrictions for government employees.
DeepSeek’s large language model (LLM) has been compared to top-tier US models, such as OpenAI’s GPT-4, but is said to be significantly cheaper to train and operate. This has raised questions about the massive AI investments being made in the US and elsewhere, and whether they can compete with China’s cost-efficient advancements.
As global scrutiny of DeepSeek intensifies, the company will need to address privacy and security concerns before it can regain access to key markets, including South Korea.
Business
Apple Halts Advanced Data Protection in UK After Government Demand for Access
Apple is removing its top-tier data encryption feature, Advanced Data Protection (ADP), from UK users following a government request for access to user data. The decision means that Apple customers in the UK will no longer be able to activate ADP, which ensures that only account holders can access their iCloud-stored content through end-to-end encryption.
The UK government made the request earlier this month, seeking the ability to access encrypted data under the Investigatory Powers Act (IPA), which mandates that companies must provide information to law enforcement agencies upon request. While Apple has consistently resisted creating encryption backdoors, citing potential misuse by cybercriminals, the company confirmed it would disable ADP activation in the UK starting Friday at 3 p.m. GMT. Existing users will also lose access at a future date.
“We are gravely disappointed that UK customers will no longer have access to this security feature,” Apple said in a statement. “We have never built a backdoor or master key into our products and never will.”
The Home Office declined to comment on the specific order, stating, “We do not comment on operational matters.”
Cybersecurity experts have criticized the government’s move, arguing that it undermines online privacy. Professor Alan Woodward of Surrey University called the decision “an act of self-harm” that weakens security for UK users. “It was naïve of the UK government to think they could dictate terms to a US technology company on a global scale,” he added.
The development has sparked backlash from privacy advocates, who describe the order as an “unprecedented attack” on individual privacy. Concerns have also emerged in the United States, where two senior politicians warned that the UK’s demands could jeopardize intelligence-sharing agreements between the two countries.
Despite the removal of ADP in the UK, the feature will remain available to users in other countries, raising questions about the global impact of the UK’s IPA order. In its statement, Apple emphasized its commitment to user privacy and expressed hope that it could restore ADP in the UK in the future. “Enhancing the security of cloud storage with end-to-end encryption is more urgent than ever before,” the company stated.
This latest dispute highlights growing tensions between governments seeking access to encrypted data and technology companies prioritizing user privacy, with potential implications for international regulatory frameworks and cross-border data security.
Business
European PMI Data Reveals Mixed Economic Signals
February economic data across Europe showcased divergent trends, with the UK’s services sector seeing growth, Germany’s manufacturing hitting a two-year high, and France continuing to face challenges.
The flash estimate for France’s HCOB Manufacturing PMI rose to 45.5 in February from 45 in January, according to S&P Global. While still indicating contraction, this was the mildest decline since May 2024. The services sector, however, fell more sharply, with its PMI dropping to 44.5 from 48.2, driving the composite PMI to 44.5—the steepest contraction since September 2023. Economist Dr. Tariq Kamal Chaudhry of Hamburg Commercial Bank noted that shrinking order intakes and subdued future activity expectations remain key concerns.
In contrast, the UK’s services sector expanded, with its PMI rising to 51.1 from 50.8, surpassing analyst expectations. Despite this growth, new work fell at the fastest rate since November 2022 due to weakened business investment and budget cuts. The UK manufacturing sector continued to contract, with its PMI falling to 46.4 from 48.3, missing market forecasts.
Germany’s manufacturing PMI climbed to 46.1, its highest in two years, supported by slower declines in factory output. Meanwhile, the services sector experienced a slight dip, with its PMI at 52.2 compared to 52.5 in January. Overall, Germany’s private sector remains affected by manufacturing challenges, though the pace of contraction has slowed.
Across the eurozone, the composite PMI held steady at 50.2, signaling marginal growth but falling short of expectations. The manufacturing PMI rose to 47.3 from 46.6, while the services PMI dropped to 50.7 from 51.3. Kyle Chapman, FX markets analyst at Ballinger Group, noted that while modest growth is preferable to contraction, consumer caution due to political and economic uncertainty continues to limit recovery.
In the UK, Chapman pointed to the impact of rising payroll taxes on employment, with one-third of surveyed companies linking lower staffing levels to the October budget. Weak demand and stagnant productivity levels are further hindering the country’s economic performance.
The latest PMI data highlight the complex economic landscape in Europe, with some sectors showing signs of resilience while others grapple with ongoing challenges, influenced by both domestic policies and broader global conditions.
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