Union Minister of Information Technology Ashwini Vaishnaw on Thursday announced that DeepSeek, the popular Chinese open-source Artificial Intelligence (AI) model, will soon be hosted on Indian servers in an effort to address privacy and data security concerns.
The decision comes amid growing apprehensions about the security risks associated with Chinese AI models, particularly in light of concerns that user data processed by DeepSeek could be stored on servers located in China, potentially raising national security and data sovereignty issues.
DeepSeek’s Privacy Policy Sparks Security Concerns
DeepSeek's privacy policy has been under scrutiny, as it explicitly states that when users interact with its services, the platform may collect text inputs, chat history, audio prompts, uploaded files, and feedback, which are then stored in secure servers located in the People’s Republic of China.
"When you use our services, we may collect your text or audio inputs, prompts, uploaded files, feedback, chat history, or other content that you provide to our model and services. We store the information we collect in secure servers located in the People’s Republic of China," reads DeepSeek’s policy document.
This storage of user data in China has raised major concerns among cybersecurity experts, who argue that such a model could pose serious risks to personal data, government information, and even corporate intelligence.
Additionally, OpenAI, the US-based artificial intelligence company and the parent firm behind ChatGPT, has accused DeepSeek of allegedly copying its AI models and using OpenAI’s innovations to develop its own AI capabilities.
India’s Response: Developing an Indigenous AI Model
Responding to these concerns, Ashwini Vaishnaw emphasized that India will soon develop its own foundational AI model, independent of foreign influence.
"In the coming months, we will create our own AI foundational model," Vaishnaw stated, underlining the Indian government’s ambitious AI roadmap.
To support AI research and develop India’s computing infrastructure, the minister also announced that 18,693 Graphics Processing Units (GPUs) have been empaneled under a common computing facility, making it one of the most affordable compute facilities globally.
"Making modern technology accessible to everyone is the economic thinking of our Prime Minister Narendra Modi. Ours is the most affordable compute facility at this point of time," Vaishnaw added.
Furthermore, to enhance AI safety and regulatory oversight, the minister announced the establishment of an AI Safety Institution, which will focus on ensuring ethical AI deployment, data protection, and mitigating potential biases in AI models.
India’s AI Investment: A Bold Step Toward Self-Sufficiency
In March 2024, the Indian government announced a ₹10,300 crore AI investment initiative under the IndiaAI Mission. This comprehensive program includes:
- Funding for AI startups
- Development of India’s own AI infrastructure
- Establishment of research hubs to support AI innovation
Vaishnaw addressed critics who questioned India’s AI investment, citing DeepSeek’s rapid rise with just $5.5 million in funding as an example of what can be achieved with efficient resource allocation and strategic planning.
“Some people question the amount of investment the government has committed to the IndiaAI mission. You have seen what DeepSeek has done? $5.5 million and a very, very powerful model—because of the use of the brain,” he remarked during an event in Odisha.
The minister’s statement appeared to be a response to OpenAI CEO Sam Altman, who, during his 2023 visit to India, expressed skepticism about an Indian team’s ability to develop a significant AI model. Vaishnaw’s remarks signal India’s determination to prove doubters wrong and establish itself as a global AI powerhouse.
DeepSeek: A Rising Force in AI
Developed by a Chinese startup, DeepSeek R1 has rapidly gained traction in the AI domain, particularly for its efficiency in complex reasoning tasks.
In a notable development, downloads of DeepSeek’s app recently surpassed OpenAI’s ChatGPT on Apple’s App Store, highlighting its growing popularity.
Despite its success, DeepSeek’s security vulnerabilities and accusations of intellectual property theft have raised global concerns, prompting countries like India to reassess their engagement with foreign AI models and work towards self-reliance in AI technology.
A New Era for AI in India
With India stepping up its AI ambitions through domestic model development, enhanced AI infrastructure, and strategic investments, the nation is poised to become a key player in the global AI ecosystem.
By hosting DeepSeek on Indian servers, the government aims to mitigate data security risks while ensuring that India’s AI ecosystem remains secure, ethical, and competitive in the face of evolving global challenges.