DeepSeek aids China's military and evaded export controls, U.S. official says

AI firm DeepSeek is aiding China's military and intelligence operations, a senior U.S. official said, adding that the Chinese tech startup sought to use Southeast Asian shell companies to access high-end semiconductors that cannot be shipped to China under U.S. rules. The U.S. conclusions reflect a growing conviction in Washington that the capabilities behind the rapid rise of one of China's flagship AI enterprises may have been exaggerated and relied heavily on U.S. technology. Hangzhou-based DeepSeek sent shockwaves through the technology world in January, saying its artificial intelligence reasoning models were on par with or better than U.S. industry-leading models at a fraction of the cost.