Finance Ministry Restricts AI Tools Like ChatGPT & DeepSeek Over Data Security Risks

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Finance Ministry Restricts AI Tools Like ChatGPT & DeepSeek Over Data Security Risks

In a significant move to safeguard government data, the Finance Ministry has issued a directive restricting officers and staff from utilizing AI tools such as ChatGPT and DeepSeek on office computers. This decision underscores growing concerns about data confidentiality and the potential risks associated with AI-driven technologies in government operations.

The Department of Expenditure, in a note dated January 29, stated:

“It has been determined that AI tools and AI apps (such as ChatGPT, DeepSeek, etc.) in office computers and devices pose risks for the confidentiality of government data and documents.

It is, therefore, advised that the use of AI tools/AI apps in office devices may be strictly avoided. This may be brought to the notice of all employees.”

Why is the Finance Ministry Restricting AI Tools?

‘The directive strictly mandates that employees

refrain from using AI applications on official devices, aligning with a broader, global effort to mitigate AI-related security threats. These concerns are not unfounded, as AI-driven applications often require data inputs that could lead to unintentional exposure of sensitive government information.

Moreover, similar actions have been taken by several global powers, including the US, Australia, Italy, and Taiwan, where DeepSeek, a Chinese AI application, has already been banned from government devices due to security concerns.

DeepSeek and Its Rising Global Scrutiny

DeepSeek, a product of a Chinese startup, has gained significant traction due to its claim of surpassing OpenAI’s ChatGPT while offering a more cost-effective alternative. However, its rapid rise has led to speculation regarding data vulnerabilities, potential misuse, and security loopholes. With heightened concerns over foreign AI models accessing classified information, governments are strengthening cybersecurity protocols to prevent unauthorized access to sensitive data.

The Finance Ministry’s move is part of a larger strategic initiative to limit the use of foreign AI applications in official settings, preventing data leaks and bolstering digital security infrastructure.

Understanding DeepSeek and Its AI Capabilities

DeepSeek is a Chinese artificial intelligence company focused on developing advanced AI models, including large language models (LLMs) and AI-powered search engines. Unlike many AI tools, DeepSeek is known for its high-performance computing capabilities and cost-efficiency in AI-powered solutions.

Some of its notable models include:

• DeepSeek-V2: A sophisticated LLM designed for natural language processing tasks.
• DeepSeek-Coder: An AI model specializing in code generation and AI-assisted reasoning.

While these models have been gaining popularity, the privacy and security risks associated with foreign AI technology have raised red flags, prompting many nations to proactively regulate their use.

The Global Response to AI Security Risks

As AI becomes increasingly integrated into government and corporate environments, cybersecurity concerns continue to rise. Countries are implementing strict compliance measures to ensure that state data remains protected from potential cyber threats.

The Finance Ministry’s directive signals an evolving approach to AI governance, emphasizing the importance of data protection in an era where AI-driven innovations are reshaping workplaces. By restricting the use of AI tools like ChatGPT and DeepSeek, the government aims to strike a balance between technological advancement and national security.

Key Takeaways from the Finance Ministry’s Directive

• AI tools pose a risk to the confidentiality of government data.
• Employees must strictly avoid using AI applications like ChatGPT and DeepSeek on official devices.
• Countries such as the US, Australia, Italy, and Taiwan have already banned DeepSeek on government systems.
• The move highlights growing global scrutiny of AI-driven security threats.

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