U.S. Probes DeepSeek Over Possible Use of Banned AI Chips
The U.S. investigates DeepSeek, the U.S. Commerce Department is investigating whether China’s DeepSeek has accessed restricted American AI chips, according to a source familiar with the matter. DeepSeek recently launched a free AI assistant that has outperformed expectations, raising concerns about U.S. dominance in AI technology.
The AI model’s rapid success led to a selloff in U.S. tech stocks, wiping out approximately $1 trillion in market value. This has intensified scrutiny over how DeepSeek powers its AI systems and whether it has obtained restricted Nvidia chips.
Concerns Over AI Chip Smuggling
Current U.S. regulations prevent Nvidia from selling its most advanced AI processors to China. However, reports suggest that smuggling routes through Malaysia, Singapore, and the UAE have helped Chinese firms acquire restricted technology.
Nvidia, responding to concerns, stated that many of its customers operate through Singapore but insisted on compliance with all export laws. “If we receive any information to the contrary, we act accordingly,” an Nvidia spokesperson said.
DeepSeek claims to have used Nvidia’s H800 chips, which were legally available in 2023. It reportedly also has Nvidia’s H20s, which can still be shipped to China. However, U.S. officials are now debating whether to restrict these as well.
AI Experts Call for Stronger Controls
Anthropic CEO Dario Amodei suggested that DeepSeek’s chip supply likely includes processors that should have been banned, older models shipped before restrictions, and possibly smuggled chips.
The U.S. has already imposed strict AI chip export controls on China and is considering expanding these restrictions to other countries. The findings of this investigation could impact future AI trade policies.
with inputs from Reuters
