CED Newsletters & Policy Alerts

State and Federal Governments Move to Ban DeepSeek on Government Devices

March 21, 2025

Action: Multiple states and Federal agencies have issued orders banning the use of the Chinese AI platform DeepSeek on government devices because of national security and privacy concerns. The White House is reportedly considering broader measures.

Key Insights

• DeepSeek is an AI startup owned by a Chinese parent company. It gained attention in early 2025 when it released a new large language model that matched the capabilities of some of the leading platforms (e.g., ChatGPT) while using a fraction of the computing power.
• The news sent shockwaves through the tech sector with Marc Andreessen characterizing it as “AI’s Sputnik moment.”
• Security experts have raised privacy and security concerns about DeepSeek, noting that all data it collects is stored on servers in China, potentially exposing it to surveillance by the Chinese government under that country’s data laws.
• Responding to these concerns, several Federal agencies, including the Department of Commerce and the Navy, have banned the use of DeepSeek on government devices. Multiple states including New York, Tennessee, and Virginia have taken similar steps.
• Legislation that would expand the ban to all Federal government devices is pending in Congress and the White House is reportedly considering additional measures.
• These concerns echo similar issues raised regarding TikTok, which is also owned by a Chinese company, leading the app to be banned from government devices and the enactment of a Federal law banning TikTok in the US if it is not sold to a company not based in a “foreign adversary country.” The White House is reportedly seeking to facilitate a sale.