South Korea and Australia barred officials in select departments on Wednesday from using Chinese artificial intelligence (AI) chatbot DeepSeek, Seoul-based Yonhap News reported.
Access to the service has been blocked on computers linked to external networks in foreign, trade, and defense ministries,
The Interior and Safety Ministry sent a notice Tuesday to government agencies, cautioning against sharing personal details when using AI services.
Separately, several major South Korean tech companies, including Kakao, Samsung Electronics, SK Group, and LG Electronics, have banned DeepSeek for business purposes.
Acting President Choi Sang-mok said Wednesday that DeepSeek has emerged as a "fresh shock," which could reshape the global industrial landscape.
"A Chinese company recently unveiled its AI model, DeepSeek R1, to deliver high performance at a low cost. This has come as a fresh shock," Choi said during a meeting with ministers.
The latest model, according to him, would not only intensify global AI competition but extend its effect to other software sectors, further complicating competition for the country's core technologies.
Choi emphasized the need for "swift" government countermeasures after a careful review of the current state of key industries, such as semiconductors, batteries, automobiles, shipping and steel, to meet the challenges posed by the new AI model.
He said the government would provide strong and rapid support in this regard.
As part of the response, the government plans to launch a new 34 trillion won ($23.4 billion) fund within the state-run Korea Development Bank to support cutting-edge technologies, including AI and semiconductor advancements.
Separately, DeepSeek has been banned from all Australian government devices and systems due to national security concerns.
Australia has ordered the public to delete DeepSeek from all government-issued devices, as the government implements an immediate ban.
The direction from the Home Affairs Department follows "risk and threat information" from Australia's intelligence agencies — with authorities stating that DeepSeek poses an unacceptable risk to Australian government technology.
"DeepSeek represented an unacceptable risk to Australia's national security. And for that reason, we took action similar to a number of other jurisdictions around the world to ban deep seek on Australian government devices," said government envoy Andrew Charlton.
