United States Vs. China: Is the Fear of Competition Driving U.S. Actions Against Deepseek? Article

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A ban of Deepseek AI in the US. Photo Credits: Pixabay

United States Vs. China: Is The Fear Of Competition Driving U.S. Actions Against Deepseek?

NorthAmerica
Technology

Deepseek, developed by a Chinese firm in Hangzhou, China, has emerged as the most popular AI model in the country. Founded in 2023 by Liang Wenfeng, Deepseek aims to redefine AI by addressing inefficiencies and high development costs seen in existing models. Despite its advancements, the model faces challenges that require ongoing improvement.

China vs. US: The AI Superpower Rivalry

China and the United States have long competed for dominance in technology and innovation. This rivalry extends to AI development, with the US boasting models like ChatGPT, Pi, Claude, and Gemini, while China counters with Baidu’s Ernie, Moonshot AI’s Kimi, and Deepseek. The competition raises questions about whether the US actions against Deepseek are driven by genuine concerns or fear of losing its technological edge.

Security Concerns Surrounding Deepseek

In the past year, Deepseek has faced scrutiny over security and data privacy issues. Countries like Australia and the US have raised concerns about database leaks and consumer protection. Liang Wenfeng, however, assures that Deepseek is still developing and should not be dismissed prematurely. The model’s origin in finance rather than tech adds complexity to the debate.

US Sanctions and Allegations

The US has accused Deepseek of misappropriating proprietary AI technology and infringing intellectual property rights. Trump's nominee for secretary of commerce, Lutnick, vowed to impose sanctions to maintain the US’s competitive edge. Deepseek has already been banned in certain sectors, including government devices and the US Navy, citing national security concerns.

Competition or Fear?

While the allegations against Deepseek remain unproven, the US’s actions suggest a deeper fear of competition. Deepseek’s ability to develop advanced AI at a fraction of the cost incurred by US firms has sparked discussions about the efficiency of the American tech industry. Critics argue that the US should focus on improving its own AI models rather than restricting China’s advancements.

The Path Forward for Deepseek

Despite the challenges, Deepseek continues to make progress in its development. Liang Wenfeng acknowledges the gaps in the model but emphasizes the importance of innovation and improvement in tech. As the US plans further sanctions, it faces criticism for prioritizing competition over collaboration.

Innovation Amid Rivalry

Deepseek represents a significant step forward in AI development, showcasing China’s growing capabilities in the tech sector. While the US raises concerns about security and privacy, the underlying fear of competition cannot be ignored. Rather than imposing restrictions, fostering innovation and collaboration could pave the way for mutual growth in AI technology.

Kenneth Njoroge
Kenneth Njoroge Financial Expert/Bsc. Commerce/CPA
MARCH 5, 2025 AT 1:39 PM

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