AI News Feed
Market watch
Policy & Regulation

U.S. Bans DeepSeek From Civilian Federal Agency Systems

Trump administration bars civilian federal agencies from DeepSeek technology and procurement, citing security risks, DHS says.

The ban applies to federal civilian agency IT systems, including third-party products and services developed using DeepSeek technology. It covers agencies such as the Treasury, State and Justice departments but excludes the Department of Defense, according to the order, which was originally issued on July 24.

DHS said DeepSeek’s AI models “present multiple threat vectors.” The agency cited concerns that Chinese authorities could gain access to sensitive data and warned that use of the models could transfer sensitive U.S. government data to China, potentially providing intelligence on American citizens and government programs. It also said the models may contain malware or other security vulnerabilities, citing open-source research that identified multiple critical vulnerabilities in DeepSeek’s iOS app.

The order adds to a series of U.S. restrictions on DeepSeek since the company emerged at the start of 2025. Congress restricted the use of DeepSeek in intelligence community systems in December 2025. In March that year, U.S. Commerce Department bureaus told staff that DeepSeek was banned on government devices, Reuters reported at the time. The Defense Information Systems Agency moved to block access to DeepSeek models in January 2025, according to Bloomberg.

The order comes as Washington and Beijing compete for technological dominance in artificial intelligence. Executive agencies can request exceptions, including delays in compliance, by submitting a written justification to DHS within 60 days of the order’s issuance.

DeepSeek and China’s Embassy in the U.K. did not immediately respond to CNBC’s request for comment.