At a Glance

• The US Department of Homeland Security has ordered federal civilian agencies to remove DeepSeek products from their IT systems.

• The restrictions also cover third-party products and services developed using DeepSeek implementations and prohibit their procurement by civilian agencies.

• US officials cite potential risks involving sensitive data transfers, intelligence gathering and cybersecurity vulnerabilities.

• The order adds to Washington’s scrutiny of Chinese technology amid intensifying US-China competition in artificial intelligence.

The United States has ordered federal civilian agencies to remove artificial intelligence products developed by China’s DeepSeek from their IT systems and barred future procurement of the technology, citing potential national security and cybersecurity risks.

Key Statements and Focus Areas

Scope of the Order

The US Department of Homeland Security’s order covers DeepSeek products and those developed by affiliated entities, as well as third-party products and services built using DeepSeek implementations.

It applies to federal civilian agencies, including the departments of Treasury, State and Justice. It does not constitute a general ban on DeepSeek for private companies or individual users across the United States.

Security Concerns

According to Reuters, the Department of Homeland Security said DeepSeek models pose “multiple threat vectors.” Officials warned that their use could result in sensitive data being transferred to China, generate actionable intelligence about US individuals or government agencies, or expose systems to malware and other security vulnerabilities.

The public notice outlines these potential risks, but the reporting does not establish that the cited threats have been proven in every case.

Effective Date

The order was made public on Monday, October 19, while reporting said the restrictions had taken effect at the end of July.

The order was issued under the Federal Acquisition Supply Chain Security Act of 2018, following a review of a recommendation from the Federal Acquisition Security Council.

DeepSeek’s Appeal

DeepSeek gained international attention after making its AI models available in 2025, offering developers access to models that can be used and adapted at comparatively low cost.

Its popularity has made it a significant competitor in a market dominated by major US AI companies. Technology firms have also incorporated DeepSeek models into some commercial services, illustrating how restrictions on a model can have implications beyond its original developer.

The United States has ordered federal civilian agencies to remove artificial intelligence products developed by Chinese company DeepSeek from their information technology systems, in a move that adds to Washington’s restrictions on Chinese technology.

The Department of Homeland Security also prohibited civilian agencies from procuring DeepSeek products and services, including third-party offerings developed using the company’s AI implementations.

The order covers products developed by DeepSeek and its affiliated entities. It applies to federal civilian agencies, including the departments of Treasury, State and Justice, while the reported restriction does not extend to a nationwide prohibition on use by private businesses or individuals.

US officials have raised concerns about the potential transfer of sensitive information to China, the possible generation of intelligence about US individuals and government agencies, and security vulnerabilities within AI models. Reuters reported that the department described DeepSeek as presenting “multiple threat vectors.”

The order was made public on October 19, although reporting indicates it had taken effect at the end of July. It was issued under the Federal Acquisition Supply Chain Security Act of 2018 following a review by the Federal Acquisition Security Council. The Commerce Department, the US Navy and several state governments had already imposed restrictions on DeepSeek use on government devices.

The decision comes amid intensifying competition between Washington and Beijing over AI development, access to advanced computing technology and the protection of intellectual property.

DeepSeek has drawn attention for developing models that offer relatively low-cost access and can be adapted by developers. Its rise challenged assumptions about the cost of building competitive AI systems and increased pressure on established US developers.

In 2025, DeepSeek said training one of its models cost about $6 million, a figure that drew comparisons with estimates of roughly $100 million for training OpenAI’s GPT-4. These figures refer to reported training costs and should not be treated as directly comparable measures of total research, development and infrastructure spending.

The order therefore addresses both government technology security and a broader strategic contest over AI capabilities. Its direct legal scope, however, remains federal civilian systems and procurement.

FYI

The DeepSeek order reflects a wider US effort to assess whether foreign-developed technology creates risks when used in government systems. AI tools may process sensitive information or connect to other software, making data handling, model security and supply-chain oversight central concerns for public agencies. The US government’s stated risks are potential threats; the public reporting does not establish that every DeepSeek deployment has caused a security breach.

The move also highlights a tension in the global AI market: comparatively inexpensive, adaptable models can broaden access for developers and businesses, while governments may impose restrictions when they judge the security risks to be unacceptable. The immediate effect of this order is on US federal civilian agencies and procurement, but its broader significance lies in the growing intersection of AI competition, cybersecurity and US-China technology policy.

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