Australia has banned DeepSeek from all government devices, citing national security concerns.

The directive mandates the removal of all DeepSeek products from government systems. Home Affairs Minister Tony Burke called it an “unacceptable risk.”

DeepSeek, a Chinese AI start-up, recently launched a chatbot rivalling Western models at a lower cost, but scrutiny over its data handling practices has grown. The platform stores user data on Chinese servers, raising concerns about potential government access. Italy and Taiwan have also restricted its use, while the US and several European nations are investigating its security implications.

The ban follows similar actions against Chinese tech firms, including Huawei and TikTok, reflecting wider geopolitical tensions. DeepSeek’s launch has also disrupted global AI investments, leading to a decline in AI-related stocks, including Australian chipmaker BrainChip.

For businesses, the move highlights the need for strict AI security policies. Organisations should vet AI applications, ensure compliance with data regulations, and restrict sensitive data interactions to mitigate risks.