The Indian government is closely monitoring the rise of DeepSeek, an artificial intelligence app that has quickly climbed app store charts, amid concerns over data security and sovereignty, The Economic Times reported. Officials are particularly wary because DeepSeek is linked to China, raising fears about how Indian users’ data might be handled.
On Wednesday, Chinese tech giant Alibaba launched the latest version of its own AI model, Qwen, claiming it surpasses DeepSeek’s capabilities.
The report cited officials, claiming that while AI models like DeepSeek are open-source and can run locally on devices, their privacy policies indicate that user data could be stored on servers in China. This has raised alarms about potential data transfers out of India.
The report cited a senior government official saying, “We are monitoring. There is nothing alarming as of now, but if there is an issue around data transfer, we will take action as we did in the past.”
India had previously banned several Chinese apps, including TikTok and WeChat, in 2020 over national security concerns.
Authorities expect a clearer picture within a week regarding whether Indian user data is being moved to China. If any misuse is detected, action will be taken under existing IT rules, officials said.
Experts have warned that users’ personal data could be stored in China, citing DeepSeek’s own privacy policy. The policy states:
“We store the information we collect in secure servers located in the People’s Republic of China. Where we transfer any personal information out of the country where you live, including for one or more of the purposes as set out in this policy, we will do so in accordance with the requirements of applicable data protection laws.”
Privacy experts also pointed out that even without storing data, AI apps can profile users based on their prompts, which could be misused.
DeepSeek has gained significant popularity, becoming the most downloaded free app in the US on Apple’s App Store. In India, it ranks among the top free productivity apps on Google Play Store, alongside OpenAI’s ChatGPT, Perplexity, and Google’s Gemini.
Governments worldwide are taking a cautious approach. The US has launched a national security investigation into DeepSeek, while Australia has warned its citizens to be careful when using the app. Italy’s data protection authority has also raised concerns about personal data security.
Indian authorities, including the Ministry of Home Affairs, the Ministry of Electronics and IT (MeitY), and law enforcement agencies, are monitoring the situation closely. The Department of Telecommunications (DoT) will also be involved if any suspicious data transfers are detected, officials told ET.
For now, Indian officials remain watchful, but any evidence of data being misused could lead to strict action against the app.