The U.S. Navy has recently issued a directive to its personnel, advising them to avoid using the artificial intelligence (AI) technology developed by the Chinese company DeepSeek. This decision, based on security and ethical concerns, highlights the growing global tension around the use of AI models and the national security implications of foreign-developed technology.
Navy’s Cautionary Stance on DeepSeek AI
In an email sent to its members on Friday, the Navy warned that DeepSeek’s AI model should not be used “in any capacity.” The email highlighted potential security and ethical issues related to the model’s origins and usage. A Navy spokesperson confirmed that this warning was part of the Department of the Navy’s broader policy on generative AI, which aims to safeguard against risks associated with external AI technology.
This announcement came just days after DeepSeek released its new AI model, R1, which has garnered significant attention for its performance. The model, which is open-source, has become a direct competitor to AI technology from companies like OpenAI, attracting both praise for its reasoning abilities and concerns about its security implications.
DeepSeek’s Rise and the Impact on the Tech Industry
DeepSeek’s recent success has shaken the tech industry. The company’s new R1 model has impressed many experts with its capabilities, causing it to surge in popularity. In fact, DeepSeek’s app recently reached the top of the Apple App Store, surpassing OpenAI’s ChatGPT, which has long dominated the AI chatbot market.
One of the reasons DeepSeek has made such an impact is its cost-effective development. The company revealed that it took just two months and less than $6 million to build its large language model, a fraction of the cost that companies like OpenAI and Google have incurred for similar models. This has raised concerns among investors about the future cost of AI products, especially with DeepSeek’s claim that its infrastructure requirements are far less expensive than initially thought.
On the day DeepSeek’s AI model made headlines, shares of AI chipmakers like Nvidia and Broadcom plummeted by 17%, erasing a combined $800 billion in market value. This market reaction reflects the growing fear that DeepSeek’s success could disrupt the AI industry and its traditional players.
The Navy’s Advisory and National Security Concerns Of DeepSeek
The Navy’s warning came just ahead of this market turmoil. The email specifically advised Navy personnel to “refrain from downloading, installing, or using the DeepSeek model in any capacity.” This caution was based on an advisory from the Naval Air Warfare Center Division Cyber Workforce Manager, a department responsible for cybersecurity within the Navy. The memo was sent to an extensive distribution list, including the operational Navy, indicating the seriousness of the directive.
DeepSeek’s sudden rise to prominence also led to a temporary suspension of user registrations due to what the company described as “large-scale malicious attacks” on its platform. While the company resumed normal operations soon after, the security concerns surrounding the platform remain a point of contention.
Political and Market Reactions to DeepSeek’s Success
The rise of DeepSeek has sparked not only security concerns but also political debates. Former U.S. President Donald Trump called the rapid growth of DeepSeek a “wake-up call” for America’s tech companies. His comments come as the U.S. continues to wrestle with how to address the rise of Chinese technology companies like TikTok, which has been under scrutiny for potential national security risks.
Trump’s administration also made headlines with the announcement of Stargate, a joint venture between OpenAI, Oracle, and SoftBank, which aims to invest billions of dollars into AI infrastructure in the U.S. This partnership signals the growing importance of AI development in both domestic and international politics.
The AI Arms Race Between the U.S. and China
The competition between the U.S. and China in AI technology is becoming more intense. Venture capitalist David Sacks, who served as Trump’s AI and crypto czar, recently tweeted that DeepSeek’s R1 model demonstrates the fierce competition in the AI race. “The AI race will be very competitive,” Sacks said, adding that while he is “confident in the U.S.,” it is crucial not to be complacent.
Other industry leaders have echoed similar sentiments. Alexandr Wang, CEO of Scale AI, which provides training data to companies like OpenAI, Google, and Meta, described DeepSeek’s R1 release as “earth-shattering.” He noted that the R1 model is “roughly on par with the best American models,” framing the ongoing competition between the U.S. and China as an “AI war.”
