DeepSeek's future in South Korea remains uncertain as it must comply with local regulations and work to regain user trust to resume app access.

In light of the allegations, China's Foreign Ministry emphasized its commitment to data privacy and security, asserting that it does not encourage illegal data collection by companies.

Users of the DeepSeek application were reportedly unaware that they had become victims of unauthorized data collection, which included their conversations and device information.

DeepSeek, a Chinese AI startup, is facing significant backlash after it was revealed that the company transferred user data without consent, as reported by South Korea's Personal Information Protection Commission (PIPC) on April 24, 2025.

The data shared included sensitive information such as device, network, and app details, along with content from user prompts, with some of this data transmitted to Volcano, a company associated with ByteDance.

Despite DeepSeek's claims of compliance, South Korean regulators consider the cessation of data transfers insufficient and are planning further legal action.

In response to the controversy, DeepSeek claimed that the data transfer aimed to enhance user experience, but it ceased sharing prompt content with Volcano Engine starting April 10, 2025.

The rise of DeepSeek's AI model, R1, has ignited discussions about the dominance of U.S. companies in the AI sector, prompting scrutiny of the high market valuations of firms like Nvidia and Meta.

DeepSeek's situation underscores broader issues of privacy, ethics, and cybersecurity in the rapidly evolving AI landscape, highlighting the company's need to address these challenges to rebuild user trust.

The scrutiny surrounding DeepSeek and its parent company, TikTok, is intensified by national security concerns linked to their Chinese ownership, with TikTok facing potential bans in the U.S. unless it divests from ByteDance.

The PIPC has given DeepSeek a deadline of ten days to accept compliance recommendations and sixty days to implement them, while the company has stated it has already addressed some of the issues raised.

The PIPC has not yet provided a timeline for when DeepSeek's app downloads will be reinstated in South Korea, following its ban due to violations including data leaks.