The rapid growth of AI chatbots in South Korea has led to increased scrutiny of data privacy practices by local authorities. DeepSeek, a Chinese AI startup, has emerged as a popular alternative to ChatGPT in South Korea, with approximately 1.2 million smartphone users as of January 2025.
Latest developments: DeepSeek has temporarily suspended downloads of its chatbot applications in South Korea’s App Store and Google Play while addressing privacy concerns raised by regulators.
- The suspension was implemented on Saturday evening following discussions with South Korea’s Personal Information Protection Commission
- Existing users can continue to access DeepSeek on their phones and computers
- Officials recommend users delete the app or avoid sharing personal information until privacy issues are resolved
Privacy concerns and regulatory action: South Korean authorities identified several critical issues during their review of DeepSeek’s services that began in early 2025.
- The privacy commission found a lack of transparency regarding third-party data transfers
- Concerns were raised about excessive collection of personal information
- Multiple government agencies and companies have blocked DeepSeek from their networks or banned its use for work-related purposes
Market impact and user base: Despite privacy concerns, DeepSeek has achieved significant market penetration in South Korea’s competitive AI landscape.
- The platform ranks as the second most popular AI model in South Korea, behind only ChatGPT
- Approximately 1.2 million smartphone users accessed DeepSeek during the fourth week of January 2025
- The temporary suspension affects new downloads only, while existing users retain access to the service
Looking ahead: South Korea’s stringent approach to AI privacy regulation could set a precedent for other countries grappling with similar concerns about Chinese AI companies and data protection. The outcome of DeepSeek’s collaboration with South Korean authorities may influence how international AI companies approach privacy compliance in emerging markets.
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