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Microsoft and OpenAI probe alleged data theft by China's DeepSeek
Jacqueline Choi
February 14, 2025
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👨⚖️ Microsoft and OpenAI probe alleged data theft by China’s DeepSeek
🇪🇺 AI systems with ‘unacceptable risk’ are now banned in the EU
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Microsoft and OpenAI are investigating a potential breach of the AI firm’s system by a group allegedly linked to Chinese AI startup DeepSeek. According to Bloomberg, the investigation stems from suspicious data extraction activity detected in late 2024 via OpenAI’s application programming interface (API), sparking broader concerns over international AI competition.
Microsoft, OpenAI’s largest financial backer, first identified the large-scale data extraction and informed the ChatGPT maker of the incident. Sources believe the activity may have violated OpenAI’s terms of service, or that the group may have exploited loopholes to bypass restrictions limiting how much data they could collect.
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As of Sunday in the European Union, the bloc’s regulators can ban the use of AI systems they deem to pose “unacceptable risk” or harm.
February 2 is the first compliance deadline for the EU’s AI Act, the comprehensive AI regulatory framework that the European Parliament finally approved last March after years of development.
The act officially went into force August 1; what’s now following is the first of the compliance deadlines. The specifics are set out in Article 5, but broadly, the Act is designed to cover a myriad of use cases where AI might appear and interact with individuals, from consumer applications through to physical environments.
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