China Tightens Control Over AI Startup DeepSeek Amid Rising Global Interest

China appears to think homegrown AI startup DeepSeek could become a notable tech success story for the country. 

      Image:VCG / Getty Images

After DeepSeek’s sudden rise to fame in January with the release of its open “reasoning” model, R1, the company is now operating under new, tighter government-influenced restrictions, according to The Information. Some of the company’s employees have been prevented from traveling abroad freely, and the Chinese government is now playing a role in screening potential investors, according to The Information. 

DeepSeek is enforcing the travel restrictions by having its parent company, quantitative hedge fund High-Flyer, hold onto certain staff’s passports. 

The developments come a few weeks after it was reported that the Chinese government was instructing AI researchers and entrepreneurs to avoid traveling to the U.S., fearing the loss of trade secrets.

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