DeepSeek Faces Cyber Attack Amid Rising AI Popularity

Chinese AI startup DeepSeek faced a significant cyber attack that forced the company to temporarily limit new user registrations. The attack occurred shortly after DeepSeek's AI Assistant became the top free app on Apple's U.S. App Store, surpassing competitors like OpenAI's ChatGPT.

Nature of the Attack

DeepSeek reported experiencing "large-scale malicious attacks" on its systems, leading to performance issues and outages. In response, the company restricted new sign-ups to users with mainland China phone numbers to mitigate the impact and ensure service continuity for existing users.

Security Vulnerabilities

Prior to this incident, in December 2024, security researchers identified a prompt injection vulnerability in DeepSeek's AI chatbot. This flaw allowed attackers to execute unauthorized JavaScript code, potentially leading to account takeovers. DeepSeek promptly addressed and patched this vulnerability upon discovery.

Impact on the Tech Industry

DeepSeek's rapid ascent in the AI sector, combined with the recent cyber attack, has had notable repercussions in the technology industry. The company's success in developing a competitive AI assistant with relatively low investment has led investors to reassess spending in AI development. Following the cyber attack, DeepSeek's decision to limit new registrations has raised concerns about the security and scalability of emerging AI platforms.

Company's Response and Future Outlook

DeepSeek has stated that existing users can continue to access the AI Assistant without interruption. The company is actively working to enhance its security measures and restore full access to new users as soon as possible. This incident underscores the importance of robust cybersecurity practices, especially for rapidly growing tech startups in the competitive AI landscape.