DeepSeek, the Chinese artificial intelligence startup, has found itself at the center of a regulatory storm in Italy after its app vanished from both Apple’s App Store and Google Play. The sudden removal follows a formal inquiry from Italy’s data protection authority, Garante, which is investigating how DeepSeek collects and processes user data. Concerns over data privacy and security have placed the AI company under intense scrutiny, echoing similar apprehensions raised in the United States and Australia.
Italian Privacy Regulator Investigates DeepSeek’s Data Practices
Italy’s privacy watchdog has given DeepSeek and its affiliated companies 20 days to disclose critical details about their data practices. Officials are demanding clarity on the nature of the personal data collected, its sources, intended usage, and whether it is stored on servers in China. The regulator has also asked how DeepSeek informs both registered and unregistered users about data processing, particularly in cases where information is acquired through web scraping.
Privacy concerns have been growing since DeepSeek’s recent meteoric rise. After launching an AI assistant that competes directly with OpenAI’s ChatGPT, the app surged to the top of download charts in multiple countries, triggering anxiety among competitors in the US tech industry. Meanwhile, American officials are assessing potential national security risks associated with a widely adopted Chinese AI model, and the US Navy has explicitly warned personnel against using DeepSeek.
Transparency over data handling remains a significant issue. The company’s privacy policy states that user data is stored on secure servers in China and may be shared with affiliated entities and service providers. However, Euroconsumers, a coalition of European consumer groups, has challenged the adequacy of these disclosures and questioned whether DeepSeek complies with the European Union’s General Data Protection Regulation (GDPR).
Italy’s scrutiny of DeepSeek is not unprecedented. In 2023, the country briefly banned ChatGPT over concerns about user data protection. OpenAI responded to these concerns by implementing several changes to the platform, including greater transparency about data processing, opt-out rights for users, and age verification measures to protect children under 13. These adjustments led to the chatbot being reinstated.
As DeepSeek gains traction globally, its regulatory challenges are mounting. The company must respond to the Italian watchdog’s questions by February 17, a deadline that could determine the fate of its operations in the European market. If authorities find violations of privacy laws, DeepSeek could face substantial penalties or restrictions, potentially setting a precedent for future scrutiny of AI applications developed outside of the West.
Check out our in-depth article on DeepSeek, China’s AI breakthrough that’s making waves and challenging the U.S. tech landscape.
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