South Korea has accused Chinese AI startup DeepSeek of sharing user data with ByteDance, the owner of TikTok in China.
Regulator Investigation and App Store Removal
“We confirmed DeepSeek communicating with ByteDance,” the South Korean data protection regulator told Yonhap News Agency. The country had already removed DeepSeek from app stores over the weekend over data protection concerns.
The Chinese app caused shockwaves in the AI world in January, wiping billions off global stock markets over claims its new model was trained at a much lower cost than US rivals such as ChatGPT. Since then, multiple countries have warned that user data may not be properly protected, and in February a US cybersecurity company alleged potential data sharing between DeepSeek and ByteDance.
DeepSeek’s Market Impact
DeepSeek’s apparent overnight impact saw it shoot to the top of App Store charts in the UK, US, and many other countries around the world, although it now sits far below ChatGPT in UK rankings.
In South Korea, it had been downloaded over a million times before being pulled from Apple and Google’s App Stores on Saturday evening. Existing users can still access the app and use it on a web browser.
Privacy Concerns and National Security Risks
The data regulator, the Personal Information Protection Commission (PIPC), told South Korea’s Yonhap News Agency that despite finding a link between DeepSeek and ByteDance, it was “yet to confirm what data was transferred and to what extent.” Critics argue that China’s National Intelligence Law could allow government access to corporate data, though ByteDance maintains it operates independently.
Fears over user data being sent to China contributed to the US Supreme Court upholding a ban on TikTok, which is owned by ByteDance. The US ban is on hold until April 5 as President Donald Trump attempts to broker a resolution.
Cybersecurity Warnings
Cybersecurity company Security Scorecard published a report on DeepSeek on February 10, suggesting “multiple direct references to ByteDance-owned” services. “These references suggest deep integration with ByteDance’s analytics and performance monitoring infrastructure,” it stated.
Security Scorecard also raised concerns that DeepSeek’s “user behavior and device metadata [are] likely sent to ByteDance servers,” with data being transmitted to domains linked to Chinese state-owned entities.
South Korean Response and User Advisory
On Monday, South Korea’s PIPC stated it “found out traffic generated by third-party data transfers and insufficient transparency in DeepSeek’s privacy policy.” While DeepSeek is cooperating with the regulator and acknowledging oversight regarding South Korean privacy laws, officials advise users to “exercise caution and avoid entering personal information into the chatbot.”
South Korea has already joined Australia and Taiwan in banning DeepSeek from government devices. The BBC has contacted PIPC, ByteDance, and DeepSeek’s parent company, High Flyer, for a response.
