Italy's antitrust and consumer rights regulator has launched an investigation into Chinese AI start-up DeepSeek for allegedly not adequately warning users about the risk of false information generated by its chatbot's 'hallucinations'.
DeepSeek faces a separate probe from Italy's data protection regulator for insufficient answers regarding user data processing, leading to a restriction on processing Italian users' data and a call to block the app in Italy.
Italy's Garante data protection agency took action due to DeepSeek's perceived non-compliance with EU regulations, which led to fines and temporary bans in cases involving AI models like OpenAI and Replika AI.
Garante fined OpenAI 15 million euros previously and last month fined the company behind Replika AI 5 million euros for failing to safeguard against children's misuse of the service.
In a legal move, leading AI chip maker Nvidia has filed a lawsuit against the European Commission for investigating its acquisition of Run:ai beyond permitted limits, citing AGCM's role in triggering the probe.