Tech giant Microsoft has launched an investigation into Chinese artificial intelligence startup DeepSeek, suspecting the firm of leveraging OpenAI’s ChatGPT to develop its own competing R-1 model. According to a report by the Financial Times, Microsoft, a major investor in OpenAI, raised concerns after detecting a suspicious group allegedly linked to DeepSeek extracting large volumes of data from OpenAI’s API.
💥💥Suspicious Activity Detected in OpenAI’s API💥
In late 2024, Microsoft’s security researchers identified unusual large-scale data harvesting activity targeting OpenAI’s API, prompting them to alert OpenAI of a potential breach. The activity, which was deemed a violation of OpenAI’s terms of service, coincided with the recent launch of DeepSeek’s R-1 model. The Chinese AI startup’s latest model gained rapid attention for its high-speed performance and cost-effectiveness, outperforming models from US tech giants such as Meta and X in several benchmark tests. DeepSeek attributed its model’s efficiency to the use of cost-effective chips, a revelation that sent shockwaves through the US tech sector, leading to a significant decline in Nvidia’s market value amid fears of China gaining a competitive edge in AI development.
🚨🚨🚨Accusations of Training AI with OpenAI Outputs🚨
Amid growing scrutiny, US officials have also weighed in on the controversy. David Sacks, President Donald Trump’s appointed AI and crypto advisor, claimed there is strong evidence suggesting DeepSeek employed a technique called "distillation"—where an AI model learns by mimicking outputs from another—to enhance its own capabilities using OpenAI’s models. OpenAI acknowledged that foreign AI companies, including those in China, frequently attempt to extract insights from US-developed models but stopped short of directly accusing DeepSeek of wrongdoing.
🎉US Government Moves to Restrict DeepSeek🎉🎉
As Microsoft’s investigation progresses, US authorities have taken swift action in response to the concerns. On January 24, the US Navy issued a directive prohibiting its personnel from engaging with DeepSeek in any capacity, citing potential risks of Chinese government involvement in digital espionage. The directive underscores rising geopolitical tensions in the AI sector, as the US seeks to safeguard its technological advancements from foreign entities. With the investigation ongoing, all eyes remain on the evolving dispute between Microsoft, OpenAI, and DeepSeek, as well as its broader implications for the global AI industry.
