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China’s BYD Cuts Entry Price for Smart EVs, Sparking Potential Price War

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China’s electric vehicle giant, BYD, made waves on Monday by launching its advanced autonomous driving features on a wide range of models, with prices starting as low as $9,555. This aggressive move, which analysts predict will ignite a price war, significantly undercuts competitors like Tesla. BYD now offers its proprietary “God’s Eye” advanced driver-assistance system (ADAS) on models priced above 100,000 yuan ($13,688), with three models priced below 100,000 yuan, starting at just 69,800 yuan for the Seagull. These new models went on sale immediately following the event.

Previously, BYD only included these high-tech features in EVs priced from $30,000. In comparison, Tesla offers similar features in China on vehicles starting at $32,000. This shift marks a significant democratization of technology, as BYD aims to make smart driving accessible to a broader audience. “Technology does not need to be high-end, and they can fight a price war here,” said Yale Zhang, managing director at Automotive Foresight.

BYD’s move is likely a strategic response to sales plateauing, as the company reached 4 million units sold last year. Industry expert John Zeng from GlobalData believes that smart driving technology could elevate BYD’s sales and put pressure on competitors, especially brands like Xpeng, which may struggle to offer similarly priced EVs with comparable smart features.

The introduction of these affordable smart driving cars comes after a period of aggressive price cuts by BYD, which had already stirred a price war in China’s automotive market. Shares of BYD surged 16% after reports of the smart driving plans surfaced. The company’s founder, Wang Chuanfu, suggested that smart driving will become as essential as seatbelts and airbags, pushing China’s AI-driven auto industry forward. The integration of DeepSeek’s AI models into BYD’s Xuanji smart car platform adds an additional layer to its technological advancements.

Europe’s Privacy Watchdogs to Discuss DeepSeek Amid Data Privacy Concerns

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European Union data protection authorities are set to discuss concerns surrounding the Chinese artificial intelligence startup DeepSeek during their monthly meeting on Tuesday, according to the meeting agenda. The discussions arise amid growing scrutiny of how DeepSeek handles personal data, especially regarding European users.

DeepSeek made waves globally last month by showcasing its ability to compete with major U.S. tech firms in human-like reasoning technology, while offering services at a significantly lower cost. However, concerns have been raised by several European privacy regulators about whether the company is using personal data from European citizens to train its AI models and if such data could be transferred to China.

The European Data Protection Board (EDPB), based in Brussels, has scheduled a session to address DeepSeek’s activities. During the meeting, national data protection authorities will share information on the actions they’ve taken in response to DeepSeek’s operations. Marie-Laure Denis, president of the French privacy watchdog CNIL, emphasized that the goal of the meeting is to harmonize responses and share insights on how to address privacy risks posed by the company.

The CNIL confirmed that it had reached out to DeepSeek for clarification on how the company’s AI system operates and whether there are any potential privacy risks for users. Ireland’s data protection authority has also sought further information from the Chinese startup. Meanwhile, Italy’s data watchdog has taken more drastic action, ordering DeepSeek to block its chatbot in the country due to non-compliance with privacy concerns over its policy.

Europe has been known for its strong stance on data privacy, with its General Data Protection Regulation (GDPR) considered one of the strictest data protection laws in the world. The scrutiny of DeepSeek highlights the region’s commitment to safeguarding user privacy amid the rapid growth of AI technologies.

South Korea’s Spy Agency Raises Concerns Over DeepSeek’s Data Practices

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South Korea’s National Intelligence Service (NIS) has raised alarms about the Chinese AI application DeepSeek, accusing it of “excessively” collecting personal data. The NIS claims that the app uses all user input to train itself and has questioned how it handles sensitive national issues, such as the origin of kimchi.

The NIS issued an official notice last week to government agencies, urging them to take extra security precautions due to concerns over DeepSeek’s data collection practices. According to the spy agency, unlike other AI services, DeepSeek records chat histories and captures keyboard input patterns that can identify individuals. It also communicates with Chinese servers, such as volceapplog.com, which raises privacy concerns.

Several South Korean government ministries have already blocked access to DeepSeek, following the lead of Australia and Taiwan, which have also placed restrictions or issued warnings about the app. The NIS also alleged that DeepSeek provides advertisers with unrestricted access to user data and stores South Korean users’ information on servers in China. Under Chinese law, the Chinese government could request access to this data.

The app has also been criticized for providing conflicting responses to sensitive questions based on the language in which they are asked. For instance, when asked about the origin of kimchi, DeepSeek claimed the dish was Korean when the question was posed in Korean, but said it originated in China when asked in Chinese. This issue has been a source of tension between South Korea and China in recent years.

DeepSeek has also faced accusations of censoring politically sensitive topics, such as the 1989 Tiananmen Square protests. In response to questions about this, the app allegedly suggests users “Let’s talk about something else.”

DeepSeek did not respond to requests for comment. A Chinese foreign ministry spokesperson, when asked about South Korea’s actions, emphasized China’s commitment to data privacy and security, stating that the Chinese government ensures data protection in accordance with the law.