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Vance Warns Europeans That Heavy AI Regulations Could Stifle Innovation

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U.S. Vice President JD Vance warned European leaders on Tuesday that heavy regulation on artificial intelligence (AI) could stifle the industry’s potential, arguing that “massive” regulations in Europe might “kill a transformative industry.” Speaking at the AI summit in Paris, Vance expressed opposition to the European Union’s strict regulatory approach, particularly criticizing the Digital Services Act and GDPR privacy rules, which he argued impose legal compliance costs on smaller firms.

Vance emphasized that AI must remain free from ideological bias and rejected the idea of AI being used as a tool for “authoritarian censorship.” In his speech, he argued that while ensuring safety online is important, it should not extend to restricting access to opinions deemed “misinformation” by governments. The U.S. delegation, led by Vance, did not sign the final statement of the summit, which endorsed principles of inclusive, ethical, and safe AI, diverging from the positions of Europe and other countries.

Vance also took the opportunity to address competition from China, warning about partnering with authoritarian regimes, which he said could pose a risk to nations’ information infrastructure. His comments seemed to reference the recent rise of Chinese startup DeepSeek, which challenged U.S. AI leadership with its freely distributed AI model.

While European leaders like French President Macron and European Commission chief Ursula von der Leyen supported trimming regulatory red tape, they stressed that regulation is crucial for ensuring trust in AI. Macron called for “trustworthy AI,” while von der Leyen assured that the EU would reduce bureaucracy and invest more in AI development.

The U.S. and the UK did not explain why they did not sign the final statement, but the decision aligns with their focus on encouraging innovation over regulatory measures. Russell Wald, executive director at the Stanford Institute for Human-Centered Artificial Intelligence, noted that the U.S. policy shift suggests a focus on accelerating innovation rather than safety-focused regulations.

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.

Italy’s Data Regulator Blocks DeepSeek AI Chatbot Over Privacy Concerns

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Italy’s data protection authority, the Garante, has ordered Chinese AI startup DeepSeek to block its chatbot in the country after the company failed to address concerns over its privacy practices. The regulator had questioned DeepSeek about its handling of personal data, including details on what data is collected, its sources, the purposes for which it is used, its legal basis, and whether it is stored in China.

The Garante’s decision came after the company provided what was deemed “totally insufficient” information, prompting the watchdog to take immediate action to protect Italian users’ privacy. DeepSeek has yet to comment on the ruling.

The Chinese startup, which recently claimed that its AI models rival or outperform industry-leading U.S. models at a fraction of the cost, has made headlines for surpassing ChatGPT as the top-rated free app on Apple’s App Store in the U.S. However, its swift rise has drawn increasing scrutiny over data protection.

The Garante’s order, which took effect immediately, also includes an investigation into DeepSeek’s data handling practices. Meanwhile, other European regulators, including those in France and Ireland, are investigating the chatbot’s privacy policy.

In response to Italy’s concerns, DeepSeek stated that it had removed its AI assistant from Italian app stores after facing scrutiny. However, Agostino Ghiglia, a member of the Garante board, revealed that the company’s stance—which claimed it was not subject to Italian regulation—further aggravated the situation, prompting the block. Ghiglia emphasized that DeepSeek’s lack of cooperation had made the situation worse.

As of Friday, some Italian users who had previously downloaded the app reported that the chatbot was still functional on their devices, and the web version of the service remained operational. The Garante emphasized that citizens must have the right to consent based on how their data is handled, especially when servers in countries outside the EU, such as China, may not provide the same privacy guarantees as European standards.

The Garante has been at the forefront of data protection in Europe, with a history of taking action against companies, including a brief ban on Microsoft-backed ChatGPT two years ago over potential privacy rule violations.