Microsoft has banned its employees from using the Chinese AI app DeepSeek. Microsoft has showed concerns over data security.
The announcement came from Microsoft President Brad Smith during a U.S. Senate hearing on artificial intelligence and national security.
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DeepSeek, developed by a Chinese AI startup, has raised red flags due to its data storage practices. The app stores user data on servers in China, making it subject to Chinese laws that could require companies to hand over information to authorities upon request.
Due to this privacy risk, Microsoft has not only prohibited its employees from using the app but has also refused to list it in its app store.
Earlier this year, the state of New York banned DeepSeek from all government devices, due to privacy and censorship concerns. Australia has also taken steps to block the app, calling it an “unacceptable risk” to data privacy and corporate integrity.
Interestingly, Microsoft had previously allowed one of DeepSeek’s open-source models, DeepSeek R1, to be used on its Azure cloud platform—but only for testing in a controlled envirnment. The full app was never integrated, and Microsoft ensured that all content was carefully reviewed to reduce risks factors.